Global Link Communications : Third Quarterly Results Announcement 2016

(incorporated in the Cayman Islands with limited liability)

(Stock Code: 8060)

Hong Kong Exchanges and Clearing Limited and The Stock Exchange of Hong Kong Limited (the "Stock Exchange") take no responsibility for the contents of this announcement, make no representation as to its accuracy or completeness and expressly disclaim any liability whatsoever for any loss howsoever arising from or in reliance upon the whole or any part of the contents of this announcement. This announcement, for which the directors (the "Directors") of Global Link Communications Holdings Limited collectively and individually accept full responsibility, includes particulars given in compliance with the Rules Governing the Listing of Securities on the Growth Enterprise Market of the Stock Exchange (the "GEM Listing Rules") for the purpose of giving information with regard to the Company. The Directors, having made all reasonable enquires, confirm that to the best of their knowledge and belief the information contained in this announcement is accurate and complete in all material respects and not misleading or deceptive, and there are no other matters the omission of which would make any statement herein or this announcement misleading.

This announcement will remain on the GEM website at www.hkgem.com on the "Latest Company Announcements" page for at least 7 days from the date of its posting. This announcement will also be posted on the website of the Company at www.glink.hk.

Turnover for the nine months ended 31 December 2016 was approximately HK$51,931,000 representing approximately 37% increase from that of the Last Corresponding Period.

Loss attributable to equity shareholders of the Company was approximately HK$5,799,000 and net loss of HK$13,208,000 was recorded in the Last Corresponding Period.

The board of directors (the "Board") of Global Link Communications Holdings Limited (the "Company") announces the unaudited condensed consolidated financial statements of the Company and its subsidiaries (the "Group") for the three months and the nine months ended 31 December 2016 together with the unaudited comparative figures for the corresponding periods in 2015 ("Last Corresponding Period") as follows:

Note HK$'000 HK$'000 HK$'000 HK$'000

Gross profit 1,511 (80) 7,773 (2,619)

Other revenue 1,357 1,879 6,844 3,467

Selling expenses (1,716) (1,829) (6,326) (4,946)

Exchange differences on

translating foreign operations (1,002) (998) (1,908) (2,155)

Equity shareholders of the

Company (6,440) (3,215) (5,799) (13,208)

Non-controlling interests - - - -

Equity shareholders of the

(6,440) (3,215) (5,799) (13,208)

1. BASIS OF PREPARATION

   The Group's unaudited quarterly results have been prepared in accordance with Hong Kong Financial Reporting Standards ("HKFRSs") issued by the Hong Kong Institute of Certified Public Accountants ("HKICPA"), accounting principles generally accepted in Hong Kong and the applicable disclosures required by the Rules Governing the Listing of Securities on the Growth Enterprise Market of The Stock Exchange of Hong Kong Limited and by the Hong Kong Companies Ordinance.

   These financial statements have been prepared under the historical cost convention.

2. REVENUE

   Revenue, which is also the Group's turnover, presents net of value-added tax, trade discounts and returns.

3. INCOME TAX

   No Hong Kong profits tax has been provided in the financial statements as the Company and its subsidiaries in Hong Kong did not derive any assessable profits for the period. (2015: Nil)

   A PRC subsidiary, Guangzhou Global Link Communications Inc. ("Guangzhou GL") was qualified as a high and new technology enterprise from October 2014 and was entitled to a concessionary rate of PRC enterprise income tax (the "PRC EIT") at 15% over 3 years.

   Except for Guangzhou GL as mentioned above, remaining subsidiaries located in the PRC is subject to the PRC EIT rate of 25% (2015: 25%) on its assessable profits.

   The Company and its subsidiaries incorporated in countries other than the PRC and Hong Kong are not subject to any income tax pursuant to the rules and regulations of their respective countries of incorporation.

   There was no significant unprovided deferred taxation for the nine months ended 31 December 2016.

4. DIVIDEND

The Board does not recommend a dividend for the nine months ended 31 December 2016 (2015: Nil).