Global Digital Creations : THIRD QUARTERLY RESULTS FOR THE NINE MONTHS ENDED 30 SEPTEMBER 2016

環球數碼創意控股有限公司*

(Incorporated in Bermuda with limited liability)

THIRD QUARTERLY RESULTS

FOR THE NINE MONTHS ENDED 30 SEPTEMBER 2016

Hong Kong Exchanges and Clearing Limited and 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 Digital Creations Holdings Limited (the "Company") collectively and individually accept full responsibility, includes particulars given in compliance with the Rules Governing the Listing of Securities on the GEM 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 enquiries, 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.

* For identification purpose only

The Board of Directors of the Company (the "Board") hereby announces the unaudited condensed consolidated financial results of the Company and its subsidiaries (the "Group") for the three months and nine months ended 30 September 2016 with comparative figures for the corresponding periods in the year 2015.

For the nine months ended 30 September 2016

Three months ended 30 September

Nine months ended 30 September

to profit or loss:

Exchange differences on translation of financial statements from functional

currency to presentation currency (1,604) (22,386) (21,598) (22,350)

Items that may be reclassified subsequently to profit or loss:

Decrease in fair value of

available-for-sale investment - - (3,210) (445)

Cumulative gain reclassified to profit or loss on sale of available-for-sale

investment - - - (20,789)

- - (3,210) (21,234)

Other comprehensive expenses for the

period (1,604) (22,386) (24,808) (43,584)

Total comprehensive expenses for the

period (107,799) (20,059) (129,328) (16,278)

Three months ended 30 September

Nine months ended 30 September

NOTE 2016 2015 2016 2015

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

(Loss) profit for the period attributable to:

Owners of the Company Non-controlling interests

Total comprehensive (expenses) income for the period attributable to:

Owners of the Company (73,720) (20,281) (94,968) (20,026)

Non-controlling interests (34,079) 222 (34,360) 3,748

(107,799) (20,059) (129,328) (16,278)

HK cents HK cents HK cents HK cents

(Loss) earnings per share: 8

Basic (4.73) 0.06 (4.68) 1.47

NOTES:

1. BASIS OF PREPARATION

   The unaudited condensed consolidated statement of profit or loss and other comprehensive income have been prepared in accordance with applicable disclosure requirements of Chapter 18 of the Rules Governing the Listing of Securities on the Growth Enterprise Market of The Stock Exchange of Hong Kong Limited.

2. PRINCIPAL ACCOUNTING POLICIES

   The unaudited condensed consolidated statement of profit or loss and other comprehensive income have been prepared on the historical cost basis except for certain properties and financial instruments, which are measured at fair values, as appropriate.

   Except as described below, the accounting policies and methods of computation used in the unaudited condensed consolidated statement of profit or loss and other comprehensive income for the nine months ended 30 September 2016 are the same as those followed in the preparation of the Group's annual financial statements for the year ended 31 December 2015.

   In the current period, the Group has applied, for the first time, certain amendments to Hong Kong Financial Reporting Standards ("HKFRSs") issued by the Hong Kong Institute of Certified Public Accountants ("HKICPA") that are mandatorily effective for the current period.

3. REVENUE

An analysis of the Group's revenue is as follows:

Three months ended 30 September

Nine months ended 30 September

Revenue from contracts for computer graphic ("CG") creation and

production (Note) 12,501 11,554 33,990 56,276 Rental and building management

39,325 43,349 112,607 145,701

Note: During the nine months ended 30 September 2015, an amount of approximately HK$15,406,000 was attributable to revenue from the release of an animated film based on an agreed sharing percentage of the box office receipts. No animated film has been released during the nine months ended 30 September 2016.