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DIVIDEND
The directors have resolved to declare an interim dividend of HK6 cents (2014: HK3 cents)
per share for the six months ended 30th September 2015 to the shareholders whose names
are on the register of members of the Company on 11th December 2015. The dividend
warrants are expected to be despatched on 22nd December 2015.

CLOSURE OF REGISTER OF MEMBERS

The register of members of the Company will be closed from Thursday, 10th December
2015 to Friday, 11th December 2015, both days inclusive, during which period no transfer
of shares will be effected. In order to qualify for the interim dividend, all transfers of shares,
accompanied by the relevant share certificates, must be lodged with the Company’s share
registrars in Hong Kong, Tricor Abacus Limited at Level 22, Hopewell Centre, 183 Queen’s
Road East, Hong Kong not later than 4:30 p.m. on Wednesday, 9th December 2015.
MANAGEMENT DISCUSSION AND ANALYSIS

Group results

For the six months ended 30th September 2015, the Group reported turnover of HK$1.4
billion (2014: HK$1.1 billion), with profit attributable to shareholders amounting to HK$71
million. Gross margin increased to 11.6% compared with 5.9% for the corresponding period
last year. The rise in turnover was mainly due to the encouraging performance of the Group’s
tablet products and stable sales generated by its existing product portfolio, all of which have
capitalised on a rise in consumption in key markets.

Business review

With the economic recovery in the United States continuing, albeit still only at a modest pace,
the Group has shrewdly exploited improving consumption sentiment through its appealing
range of products.

One of the Group’s best performing categories is its tablet series, which is expected to
provide strong organic growth for the short and medium terms. So far, the majority of the
Group’s tablet products have been engineered to run on Google’s Android operating system
(OS), and larger-size models (10-inch and above) have also been equipped with wireless
keyboards that are paired with Bluetooth technology. It is now obvious that in many markets,
larger size tablets installed with Microsoft Windows 10 OS are fast becoming the productivity
tool of choice, hence, the Group has also developed and introduced, even though only in
relatively low quantities for the time being, 10-inch and 11-inch Windows 10 tablets.
While infotainment products such as Android tablets and Windows tablets mentioned above
have performed favourably during the reporting period, the Group’s many AV product lines,
including sound bar systems, home theatre systems and the like, have at the same time
provided stable sources of revenue.

Interim Report 2015 ALCO HOLDINGS LIMITED 15