Half Yearly Results - 6 months ended 30 June 2015

RNS Number : 4535U

Jardine Matheson Hldgs Ltd

31 July 2015

 

To: Business Editor                                                                            31st July 2015

                                                                                                           For immediate release

The following announcement was issued today to a Regulatory Information Service approved by the Financial Conduct Authority in the United Kingdom.

Jardine Matheson Holdings Limited

Half-Yearly Results for the Six Months ended 30th June 2015

Highlights

·     Underlying earnings 10% lower

·     Challenging trading conditions

·     Astra contribution hit by lower earnings and weak rupiah

·     Significant acquisitions by a number of Group companies

·     Rights issues by Mandarin Oriental and JC&C fully subscribed

"The more challenging conditions experienced in the first half are expected to continue for the remainder of the year.  Nevertheless, the Group companies are trading well and taking advantage of the opportunities made available by our strong finances and market-leading positions."

Sir Henry Keswick, Chairman

Results

(unaudited) Six months ended 30th June
	2015 US$m	2014 US$m	Change %
Revenue together with revenue of associates and joint ventures*	31,506	30,782	+2
Underlying profit† attributable to shareholders	667	739	-10
Profit attributable to shareholders	709	818	-13
Shareholders' funds#	19,461	19,267	+1
	US$	US$	%
Underlying earnings per share†	1.79	2.00	-11
Earnings per share	1.91	2.22	-14
Net asset value per share#	52.01	51.79	-
	US¢	US¢	%
Interim dividend per share	38.00	38.00	-
* Includes 100% of revenue from associates and joint ventures. †  The Group uses 'underlying profit' in its internal financial reporting to distinguish between ongoing business performance and non-trading items, as more fully described in note 7 to the condensed financial statements.  Management considers this to be a key measure which provides additional information to enhance understanding of the Group's underlying business performance. #  At 30th June 2015 and 31st December 2014, respectively.  Net asset value per share is based on the book value of shareholders' funds.

The interim dividend of US¢38.00 per share will be payable on 14th October 2015 to shareholders on the register of members at the close of business on 21st August 2015 and will be available in cash with a scrip alternative. 

Jardine Matheson Holdings Limited

Half-Yearly Results for the Six Months ended 30th June 2015

Overview

Many of the Group's businesses are being affected by economic conditions in the region that are proving less strong than those seen in recent years, which has led to an overall decline in underlying profit in the first half.  Astra's reduced rupiah earnings were further impacted on consolidation by a weaker exchange rate.  There have, however, been a number of investments made during the period by Group companies to lay the foundations for future growth.

Results

Jardine Matheson's underlying profit for the first six months of 2015 was US$667 million, 10% below the same period in 2014. Underlying earnings per share were 11% lower at US$1.79.  The revenue of the Group, including 100% of the revenue from associates and joint ventures, was US$31.5 billion, compared to US$30.8 billion in the first half of 2014.

Non-trading items in the first half represented a modest gain of US$42 million, primarily in respect of revaluations of investment properties, and compares with a non-trading gain of US$79 million in the first half of 2014.  As a result, the Group's profit attributable to shareholders was US$709 million for the six months under review, compared with US$818 million in 2014.

The Board has declared an unchanged interim dividend of US¢38.00 per share.

Business Performances

Jardine Pacific achieved an increase in earnings for the period primarily due to a stronger performance from Gammon compared with the first half of 2014.  Jardine Schindler is also performing well.  A number of actions are being taken in JOS to enhance its focus and profitability, and the outlook is for a better second half.  Jardine Pacific has disposed of the bulk of its shipping service activities with the sale of its port and liner agency business.

Jardine Motors saw earnings decline following a record year in Hong Kong in 2014, which had benefited from new models. The market in mainland China is again presenting challenges to earnings, although it is hoped that some recovery will be achieved in the second half of the year.

JLT's profits for the period were held back, as anticipated, by its investment in its new US specialty business, which has begun well and continues to attract talent, laying the foundation for future profitability.  Elsewhere, the group continues to expand its operations through organic growth and acquisition.

Hongkong Land's commercial portfolio produced another strong contribution with the benefit of lower vacancy.  In the residential sector, the group achieved improved results in mainland China, although these were offset in part by the absence of a contribution from Hong Kong.  In May, Hongkong Land signed a memorandum of understanding to develop a mixed-use project in Pudong, Shanghai, with a total developable area of some 227,000 sq. m.

Dairy Farm saw modest like-for-like sales growth in most of its major markets, but underlying profit was lower as it faced margin pressures across its food businesses and disappointing trading in its health and beauty business in Malaysia. Adverse exchange rates also affected the group's results on translation into US dollars.  Its investment in a 20% shareholding in Yonghui Superstores in mainland China completed in the first half.

Mandarin Oriental raised US$316 million in April through a rights issue.  The proceeds of the issue were used to pay down debt in advance of a US$130 million refurbishment of its London hotel, which is due to commence next year, and to help finance the acquisition of a 50% joint venture interest in the Hotel Ritz, Madrid.  Mandarin Oriental has also announced a new management contract for a second hotel in Beijing, scheduled to open in 2017 in Hongkong Land's new luxury retail centre in Wangfujing.

In April, Jardine Cycle & Carriage increased the Group's exposure to the Thai economy through the acquisition of a 24.9% interest in Siam City Cement for some US$615 million.  Siam City Cement is the second largest cement manufacturer in Thailand.  To refinance this acquisition, Jardine Cycle & Carriage raised some US$749 million by way of a rights issue in July 2015.

Astra continued to face slowing economic growth in Indonesia resulting from soft demand and weak commodity prices. Its automotive operations in particular saw reduced activity which, when coupled with discounting in the motor car market caused by manufacturing overcapacity, had a negative impact on earnings.  Of its business segments, only heavy equipment and mining produced an increase in earnings.

People

Giles White is retiring as a Director on 31st July 2015, and we would like to thank him for his significant contribution to the Board.

Outlook

The more challenging conditions experienced in the first half are expected to continue for the remainder of the year. Nevertheless, the Group companies are trading well and taking advantage of the opportunities made available by our strong finances and market-leading positions.

Sir Henry Keswick

Chairman

Operating Review

Jardine Pacific

Jardine Pacific's underlying profit for the first half of 2015 was US$56 million, 20% ahead of 2014.  Profit attributable to shareholders was US$58 million, compared to US$47 million last year.

Jardine Schindler saw steady earnings growth during the period, benefiting from stable margins and an expanding maintenance portfolio.  Gammon recorded a higher profit, and its order book has remained steady at some US$4 billion.  JEC's earnings declined following softer trading in Singapore and its Trane joint venture.  Jardine Pacific's transport services businesses recorded an increased profit contribution, despite weaker trading at Hactl in the face of challenging market conditions.  Jardine Restaurants performed broadly in line with last year against a background of softer consumer sentiment in Hong Kong.  The turnaround at JOS is continuing.

Jardine Motors

Jardine Motors produced an underlying profit of US$33 million in the first half of 2015, compared to US$52 million last year. Zung Fu in Hong Kong and Macau saw sales and margins decline following a record year in 2014 which had benefited from new models.  The market in mainland China again proved challenging with higher volumes being offset by lower margins, leading to an overall loss being recorded.  The United Kingdom reported improved earnings due to steady trading and a US$10 million profit from property disposals, despite somewhat unfavourable exchange rates.

Zhongsheng saw volumes, sales revenue and the contribution from after sales all increase in the first quarter, but the market in mainland China remains challenging.  Despite this, as the fourth largest dealer group in the country, Zhongsheng is well placed as the market continues to consolidate.  The income from the Group's interest in Zhongsheng, which is held through Jardine Strategic, is included in Corporate and Other Interests.

Jardine Lloyd Thompson

JLT's total revenue for the period was US$905 million, an increase of 6% in its reporting currency in what continued to be a challenging insurance rating environment.  Underlying trading profit was US$157 million, 7% lower in its reporting currency, which reflected development costs of US$19 million in its Specialty business in the United States, a shift in the phasing of trading profit between the two halves of the year and the impact of a move from commission payments to fees in the UK Employee Benefits business.  Excluding the US development costs, the group's profit before tax would have shown a modest improvement.  The contribution to the Group's underlying profit was down 17%.

JLT's Risk and Insurance business revenue grew by 4%, and its Employee Benefits business achieved revenue growth of 11% reflecting strong performances from its operations in Asia and Australia.

Hongkong Land

Hongkong Land produced an underlying profit of US$419 million, compared with US$433 million in the first half of 2014.  While operating results were marginally higher, this was offset by  higher tax charges due to the geographical mix of sales.  After accounting for a net gain of US$94 million, principally on the valuation of investment properties, its profit attributable to shareholders was US$513 million, and compares with US$563 million in 2014 which included net non-trading gains of US$130 million.

Hongkong Land's average office rent in Hong Kong remained unchanged from the second half of 2014 although reversions were marginally positive overall.  Vacancy at the end of June was 4.2%, down from 5.4% at the end of 2014.  Its retail portfolio remained fully occupied and saw positive rental reversions.  A stable market in Singapore enabled the group's office portfolio to maintain low vacancy of 1.9%.  In Jakarta, its 50%-owned office portfolio continued to perform well, and its new office tower is making good progress.  Construction is also progressing well at its luxury retail complex project in Wangfujing in Beijing.

Earnings from Hongkong Land's residential developments in mainland China were higher following completions at two projects, although the timing of new project launches meant that contracted sales are lower than the second half of 2014.  In April, the group sold its joint venture interest in the Park Life project in Shenyang, and expects to dispose of its stakes in two remaining Shenyang projects.  In Singapore, MCL Land completed two residential projects during the period, and a further project is expected to complete in the second half of 2015.  MCL Land acquired another residential site at Jurong West in Singapore, adjacent to its existing development, on which it plans to build some 700 units.  Work is progressing well on Hongkong Land's two joint venture residential projects in Indonesia and its joint venture luxury development in Manila.

Dairy Farm

Dairy Farm's sales for the period including 100% of associates and joint ventures rose 27% to US$8.0 billion, including initial contributions from Yonghui and San Miu from the dates of acquisition.  Sales for continuing businesses rose 3% to US$6.5 billion, while at constant rates of exchange the increase would have been 7%.  Its underlying net profit of US$193 million was 14% lower as a weaker operating performance was only partially compensated for by the initial contribution from Yonghui.   

Despite increased sales, the group's Food businesses experienced reduced margins and lower earnings due to cost pressures, price deflation on certain commodities and currency movements.  The convenience store operations performed satisfactorily in Hong Kong and Macau, but were weaker in Singapore.  In the Health and Beauty division, where sales were higher, Hong Kong and Macau produced good performances and further improvement was seen in mainland China, but profitability was lower in Malaysia and Indonesia.  In Home Furnishings, the IKEA stores in both Hong Kong and Taiwan traded well, and the new store in Indonesia is performing in line with expectations.  In the Restaurant division, Maxim's achieved improved sales and profits in Hong Kong and mainland China.

In February, Dairy Farm divested 30% of the ordinary shares in its previously wholly-owned food retail business in Malaysia to meet local regulatory requirements.  In March, the group acquired the 15 store San Miu Supermarket chain in Macau, where it already operates convenience stores and health and beauty outlets.  In early April, the group completed its US$900 million purchase of an interest of some 20% in Yonghui Superstores in mainland China.

Dairy Farm has established an on-line presence in Guardian Singapore, which is the first of several planned new moves into e-commerce.  New finance and merchandising systems are also being introduced in stages across the group, and investment is continuing in existing stores to enhance the shopping experience, in the supply chain, and in building the people capability needed to support the company's growth objectives. 

Mandarin Oriental

An uncertain operating environment and the impact of renovations at a number of its properties led Mandarin Oriental to record a reduced underlying profit for the period of US$33 million.  This compares to US$46 million in 2014, which included US$9 million of branding fees from residences in Bodrum.  Profit attributable to shareholders was  US$32 million, after deducting US$1 million of acquisition expenses, and compares with US$46 million last year.  In April 2015, the group raised US$316 million by way of a rights issue. 

Lower occupancy and average rates were seen at the group's two wholly-owned hotels in Hong Kong.  Its properties in Tokyo and Bangkok benefited from increased visitor arrivals, but softer corporate demand led to weaker performances in Singapore and Kuala Lumpur.  In Europe, there was an improved result in London, but challenges elsewhere led to a lower contribution from the region.  In The Americas, most properties experienced positive trading conditions.

In May, the group acquired the Hotel Ritz, Madrid in joint venture with The Olayan Group, and it is planned to undertake a comprehensive renovation of the property in 2017, which will bring the group's total investment in the property to some US$126 million.  Mandarin Oriental, Milan has just opened, and will be followed by a new resort in Marrakech in September.

Jardine Cycle & Carriage

Jardine Cycle & Carriage reported an underlying profit of US$364 million, down 12%, while its profit attributable to shareholders of US$362 million was 16% lower.  Astra contributed US$294 million to the group's underlying profit, which was 23% lower due to more difficult trading conditions coupled with the rupiah exchange rate being on average 10% weaker than in the first half of 2014.

The group's non-Astra motor interests produced a profit of US$69 million, up 88%.  There was a strong performance from Truong Hai Auto Corporation in Vietnam, which benefited from significantly higher unit sales and good margins.  The contribution from its Singapore motor operations improved following an increase in the government vehicle quota.  In Malaysia, Cycle & Carriage Bintang's earnings rose in response to strong sales and enhanced margins.  In Indonesia, Tunas Ridean's profit declined due to reduced motor car  sales and a lower contribution from its rental operations, although its financing business performed better.  The group's Other Interests, comprising two new associates, 24.9% held Siam City Cement in Thailand and 22% held Refrigeration Electrical Engineering Corporation in Vietnam, contributed US$12 million. 

Astra

Astra reported a net profit equivalent to US$619 million under Indonesian accounting standards, 18% down in its reporting currency, with reduced contributions from all its businesses with the exception of heavy equipment and mining.

Astra's car sales fell by 21% to 263,000 units, in an Indonesian wholesale car market that contracted by 18%, and its market share decreased from 52% to 50%.  The wholesale market for motorcycles decreased by 24%, while Astra Honda Motor's sales were 19% lower at 2.1 million units, with its market share increasing to 67%.  The contribution from the group's component manufacturing business also declined as lower volumes and a weaker rupiah resulted in reduced manufacturing margins.

Net income from Astra's financial services businesses was 16% lower at US$160 million, although was up 2% if the gain from the acquisition of the 50% stake in Astra Aviva Life in May 2014 is excluded.  The consumer finance operations saw increased activity, and while earnings from motorcycle financing rose, the contribution from motor car financing declined. There was increased financing in the heavy equipment-focused operations.  Astra's 45% held joint venture, Permata Bank, reported net income rising 4% to US$64 million on modest loan growth and an improved funding environment.  Group insurance company, Asuransi Astra Buana, recorded higher profits due to an increase in investment earnings.  Astra's new life insurance joint venture with Aviva plc made a satisfactory start.

United Tractors, which is 60% owned, saw net income rise 4% to US$262 million as it benefited from a weaker rupiah on its US dollar denominated income.  Its construction machinery business experienced a 38% decline in Komatsu heavy equipment sales, which was partly offset by higher parts and services revenue.  Its contract mining operations through Pamapersada Nusantara reported a 9% decrease in revenue as coal production and overburden removal declined.  United Tractors' mining subsidiaries reported reduced coal sales, which led to an 18% decline in revenue.  During the second quarter, United Tractors acquired a further 10% interest in listed construction group Acset Indonusa, raising its shareholding to 50.1%.

Astra Agro Lestari, which is 80% held, reported net income down 68% at US$34 million as average crude palm oil prices achieved were 12% lower and crude palm oil sales were down 18%.  Olein sales increased by 109%.

Net income from infrastructure, logistics and others fell by 60% to US$5 million, mainly due to initial losses arising on the first 14.7 km section of the greenfield 40.5 km Kertosono-Mojokerto toll road.  In July a 25% interest in the 73 km Semarang-Solo toll road was acquired.  Serasi Autoraya's earnings fell due to a 9% decrease in the number of vehicles under contract at its TRAC car rental business.  Anandamaya Residences, the group's 60% held luxury residential development project located in Jakarta's Central Business District, continued to achieve market-leading pricing and strong buyer interest with close to 90% of the units sold.  In information technology, 77% owned Astra Graphia, which is active in the areas of document information and communication technology solutions, reported net income down 11%.

Jardine Matheson Holdings Limited Consolidated Profit and Loss Account
										(unaudited)
		Six months ended 30th June																								Year ended 31st December
						2015												2014												2014
Underlying business performance US$m			Non-trading items US$m							Total US$m		Underlying business performance US$m					Non-trading items US$m					Total US$m		Underlying business performance US$m					Non-trading items US$m					Total US$m
Revenue (note 2)		18,769				-				18,769				19,565				-				19,565				39,921				-				39,921
Net operating costs (note 3)		(17,262)				2				(17,260)				(17,769)				34				(17,735)				(36,287)				(17)				(36,304)
Change in fair value of investment properties		-				83				83				-				16				16				-				59				59
Operating profit		1,507				85				1,592				1,796				50				1,846				3,634				42				3,676
Net financing charges
- financing charges		(134)				-				(134)				(122)				-				(122)				(279)				-				(279)
- financing income		75				-				75				85				-				85				163				-				163
		(59)				-				(59)				(37)				-				(37)				(116)				-				(116)
Share of results of associates and joint ventures (note 4)
- before change in fair value of investment properties		449				4				453				458				33				491				933				23				956
- change in fair value of investment properties		-				13				13				-				123				123				-				394				394
		449				17				466				458				156				614				933				417				1,350
Profit before tax		1,897				102				1,999				2,217				206				2,423				4,451				459				4,910
Tax (note 5)		(340)				(5)				(345)				(406)				(8)				(414)				(839)				(1)				(840)
Profit after tax		1,557				97				1,654				1,811				198				2,009				3,612				458				4,070
Attributable to:
Shareholders of the Company     (notes 6 & 7)		667				42				709				739				79				818				1,534				176				1,710
Non-controlling interests		890				55				945				1,072				119				1,191				2,078				282				2,360
		1,557				97				1,654				1,811				198				2,009				3,612				458				4,070
		US$								US$				US$								US$				US$								US$
Earnings per share (note 6)
- basic		1.79								1.91				2.00								2.22				4.14								4.62
- diluted		1.79								1.90				2.00								2.21				4.13								4.61

Jardine Matheson Holdings Limited Consolidated Statement of Comprehensive Income
		(unaudited) Six months ended 30th June											Year ended 31st December
			2015 US$m					2014 US$m						2014 US$m
Profit for the period			1,654						2,009						4,070
Other comprehensive income/(expense)
Items that will not be reclassified to profit or loss:
Remeasurements of defined benefit plans			2						(3)						(60)
Net revaluation surplus on intangible assets before transfer to investment properties			-						6						20
Tax on items that will not be reclassified			(1)						1						11
			1						4						(29)
Share of other comprehensive income/ (expense) of associates and joint ventures			11						(8)						(41)
			12						(4)						(70)
Items that may be reclassified subsequently to profit or loss:
Net exchange translation differences
- net (loss)/gain arising during the period			(608)						110						(415)
- transfer to profit and loss			1						-						7
			(607)						110						(408)
Revaluation of other investments
- net gain/(loss) arising during the period			46						(4)						(78)
- transfer to profit and loss			(8)						-						(19)
			38						(4)						(97)
Cash flow hedges
- net loss arising during the period			(27)						(66)						(107)
- transfer to profit and loss			38						45						102
			11						(21)						(5)
Tax relating to items that may be reclassified			(5)						6						3
Share of other comprehensive (expense)/ income of associates and joint ventures			(255)						60						(251)
			(818)						151						(758)
Other comprehensive (expense)/income for the period, net of tax			(806)						147						(828)
Total comprehensive income for the period			848						2,156						3,242
Attributable to:
Shareholders of the Company			485						862						1,245
Non-controlling interests			363						1,294						1,997
			848						2,156						3,242

Jardine Matheson Holdings Limited Consolidated Balance Sheet
			(unaudited) At 30th June						At 31st December
		2015 US$m				2014 US$m				2014 US$m
Assets
Intangible assets		2,813				2,478				2,679
Tangible assets		6,410				6,977				6,690
Investment properties		24,495				24,215				24,309
Plantations		888				897				908
Associates and joint ventures		10,137				9,017				8,881
Other investments		1,359				1,380				1,354
Non-current debtors		3,521				3,417				3,540
Deferred tax assets		303				293				305
Pension assets		20				45				23
Non-current assets		49,946				48,719				48,689
Properties for sale		3,056				3,211				2,953
Stocks and work in progress		3,178				3,444				3,280
Current debtors		5,967				6,291				6,068
Current investments		26				15				18
Current tax assets		156				132				133
Bank balances and other liquid funds
- non-financial services companies		4,626				4,317				4,933
- financial services companies		256				323				382
		4,882				4,640				5,315
		17,265				17,733				17,767
Non-current assets classified as held for sale		2				4				1
Current assets		17,267				17,737				17,768
Total assets		67,213				66,456				66,457

			(unaudited) At 30th June						At 31st December
		2015 US$m				2014 US$m				2014 US$m
Equity
Share capital		175				172				173
Share premium and capital reserves		149				130				138
Revenue and other reserves		22,584				21,702				22,061
Own shares held		(3,447)				(2,985)				(3,105)
Shareholders' funds		19,461				19,019				19,267
Non-controlling interests		25,388				25,165				25,538
Total equity		44,849				44,184				44,805
Liabilities
Long-term borrowings
- non-financial services companies		5,145				5,550				5,240
- financial services companies		2,248				1,744				2,176
		7,393				7,294				7,416
Deferred tax liabilities		648				721				695
Pension liabilities		343				309				350
Non-current creditors		372				426				364
Non-current provisions		135				147				138
Non-current liabilities		8,891				8,897				8,963
Current creditors		8,351				8,889				8,244
Current borrowings
- non-financial services companies		3,151				2,004				2,176
- financial services companies		1,557				2,096				1,892
		4,708				4,100				4,068
Current tax liabilities		331				315				300
Current provisions		83				71				77
Current liabilities		13,473				13,375				12,689
Total liabilities		22,364				22,272				21,652
Total equity and liabilities		67,213				66,456				66,457

Jardine Matheson Holdings Limited Consolidated Statement of Changes in Equity
	Share capital US$m		Share premium US$m		Capital reserves US$m		Revenue reserves US$m	Asset revaluation reserves US$m			Hedging reserves US$m		Exchange reserves US$m		Own shares held US$m	Attributable to shareholders of the Company US$m		Attributable to non-controlling interests US$m			Total equity US$m
Six months ended 30th June 2015 (unaudited)
At 1st January 2015	173		20		118		22,824		176		(10)		(929)		(3,105)		19,267		25,538		44,805
Total comprehensive income	-		-		-		756		-		8		(279)		-		485		363		848
Dividends paid by the Company (note 8)	-		-		-		(398)		-		-		-		-		(398)		73		(325)
Dividends paid to non-controlling interests	-		-		-		-		-		-		-		-		-		(645)		(645)
Employee share option schemes	-		-		13		-		-		-		-		-		13		1		14
Scrip issued in lieu of dividends	2		(2)		-		480		-		-		-		-		480		-		480
Increase in own shares held	-		-		-		-		-		-		-		(342)		(342)		(72)		(414)
Subsidiaries acquired	-		-		-		-		-		-		-		-		-		30		30
Capital contribution from non-controlling interests	-		-		-		-		-		-		-		-		-		80		80
Change in interests in subsidiaries	-		-		-		(7)		-		-		-		-		(7)		20		13
Change in interests in associates and joint ventures	-		-		-		(37)		-		-		-		-		(37)		-		(37)
Transfer	-		1		(1)		-		-		-		-		-		-		-		-
At 30th June 2015	175		19		130		23,618		176		(2)		(1,208)		(3,447)		19,461		25,388		44,849
Six months ended 30th June 2014 (unaudited)
At 1st January 2014	170		19		100		21,224		169		7		(639)		(2,664)		18,386		24,396		42,782
Total comprehensive income	-		-		-		802		2		(6)		64		-		862		1,294		2,156
Dividends paid by the Company (note 8)	-		-		-		(380)		-		-		-		-		(380)		68		(312)
Dividends paid to non-controlling interests	-		-		-		-		-		-		-		-		-		(663)		(663)
Issue of shares	-		2		-		-		-		-		-		-		2		-		2
Employee share option schemes	-		-		11		-		-		-		-		-		11		1		12
Scrip issued in lieu of dividends	2		(2)		-		449		-		-		-		-		449		-		449
Increase in own shares held	-		-		-		-		-		-		-		(321)		(321)		(68)		(389)
Change in interests in subsidiaries	-		-		-		12		-		-		-		-		12		137		149
Change in interests in associates and joint ventures	-		-		-		(2)		-		-		-		-		(2)		-		(2)
Transfer	-		1		(1)		-		-		-		-		-		-		-		-
At 30th June 2014	172		20		110		22,105		171		1		(575)		(2,985)		19,019		25,165		44,184

	Share capital US$m		Share premium US$m		Capital reserves US$m		Revenue reserves US$m	Asset revaluation reserves US$m			Hedging reserves US$m		Exchange reserves US$m		Own shares held US$m	Attributable to shareholders of the Company US$m		Attributable to non-controlling interests US$m			Total equity US$m
Year ended 31st December 2014
At 1st January 2014	170		19		100		21,224		169		7		(639)		(2,664)		18,386		24,396		42,782
Total comprehensive income	-		-		-		1,545		7		(17)		(290)		-		1,245		1,997		3,242
Dividends paid by the Company	-		-		-		(521)		-		-		-		-		(521)		94		(427)
Dividends paid to non-controlling interests	-		-		-		-		-		-		-		-		-		(940)		(940)
Unclaimed dividends forfeited	-		-		-		-		-		-		-		-		-		1		1
Issue of shares	-		2		-		-		-		-		-		-		2		-		2
Employee share option schemes	-		-		21		-		-		-		-		-		21		2		23
Scrip issued in lieu of dividends	3		(3)		-		619		-		-		-		-		619		-		619
Increase in own shares held	-		-		-		-		-		-		-		(441)		(441)		(94)		(535)
Subsidiaries acquired	-		-		-		-		-		-		-		-		-		1		1
Capital contribution from non-controlling interests	-		-		-		-		-		-		-		-		-		4		4
Change in interests in subsidiaries	-		-		-		(30)		-		-		-		-		(30)		77		47
Change in interests in associates and joint ventures	-		-		-		(14)		-		-		-		-		(14)		-		(14)
Transfer	-		2		(3)		1		-		-		-		-		-		-		-
At 31st December 2014	173		20		118		22,824		176		(10)		(929)		(3,105)		19,267		25,538		44,805

Total comprehensive income for the six months ended 30th June 2015 included in revenue reserves comprises profit attributable to shareholders of the Company of US$709 million (2014: US$818 million) and net fair value gain on other investments of US$36 million (2014: net fair value loss of US$5 million).  Cumulative net fair value gain on other investments amounted to US$225 million.

Total comprehensive income for the year ended 31st December 2014 included in revenue reserves comprises profit attributable to shareholders of the Company of US$1,710 million and net fair value loss on other investments of US$80 million.  Cumulative net fair value gain on other investments amounted to US$189 million.

______________________________________________________________________________________________________________________________________________________

Jardine Matheson Holdings Limited Consolidated Cash Flow Statement
		(unaudited) Six months ended 30th June							Year ended 31st December
		2015 US$m				2014 US$m				2014 US$m
Operating activities
Operating profit		1,592				1,846				3,676
Change in fair value of investment properties		(83)				(16)				(59)
Depreciation and amortization		495				491				1,007
Other non-cash items		107				52				403
Increase in working capital		(186)				(747)				(1,410)
Interest received		78				92				171
Interest and other financing charges paid		(134)				(138)				(303)
Tax paid		(393)				(364)				(829)
		1,476				1,216				2,656
Dividends from associates and joint ventures		354				427				698
Cash flows from operating activities		1,830				1,643				3,354
Investing activities
Purchase of subsidiaries (note 10(a))		(175)				(3)				(53)
Purchase of associates and joint ventures (note 10(b))		(1,574)				(121)				(390)
Purchase of shares and convertible bonds in Zhongsheng		-				(731)				(732)
Purchase of other investments (note 10(c))		(104)				(36)				(184)
Purchase of intangible assets		(120)				(158)				(279)
Purchase of tangible assets		(438)				(601)				(1,158)
Additions to investment properties		(90)				(104)				(232)
Additions to plantations		(40)				(27)				(82)
Advance to associates and joint ventures (note 10(d))		(71)				(7)				(15)
Advance and repayment from associates and joint      ventures (note10(e))		272				42				481
Sale of subsidiaries		(7)				-				1
Sale of associates and joint ventures		-				-				17
Sale of other investments (note 10(f))		64				138				217
Sale of intangible assets		1				1				1
Sale of tangible assets		43				44				105
Cash flows from investing activities		(2,239)				(1,563)				(2,303)
Financing activities
Issue of shares		-				2				2
Capital contribution from non-controlling interests		80				-				4
Change in interests in subsidiaries (note 10(g))		13				151				44
Drawdown of borrowings		10,650				9,969				20,863
Repayment of borrowings		(9,783)				(9,915)				(20,576)
Dividends paid by the Company		(259)				(252)				(343)
Dividends paid to non-controlling interests		(653)				(663)				(940)
Cash flows from financing activities		48				(708)				(946)
Net (decrease)/increase in cash and cash equivalents		(361)				(628)				105
Cash and cash equivalents at beginning of period		5,288				5,189				5,189
Effect of exchange rate changes		(65)				47				(6)
Cash and cash equivalents at end of period		4,862				4,608				5,288

Jardine Matheson Holdings Limited Analysis of Profit Contribution
		(unaudited) Six months ended 30th June							Year ended 31st December
		2015 US$m				2014 US$m				2014 US$m
Reportable segments
Jardine Pacific		56				47				131
Jardine Motors		33				52				97
Jardine Lloyd Thompson		43				52				85
Hongkong Land		173				178				384
Dairy Farm		123				143				320
Mandarin Oriental		20				28				59
Jardine Cycle & Carriage		51				22				50
Astra		180				231				439
		679				753				1,565
Corporate and other interests		(12)				(14)				(31)
Underlying profit attributable to shareholders*		667				739				1,534
Increase in fair value of investment properties		43				54				179
Other non-trading items		(1)				25				(3)
Profit attributable to shareholders		709				818				1,710
Analysis of Jardine Pacific's contribution
Jardine Schindler		20				17				36
JEC		6				8				25
Gammon		11				3				28
Jardine Restaurants		10				11				19
Transport Services		11				9				28
JOS		2				3				7
Jardine Property Investment		3				3				5
Corporate and other interests		(7)				(7)				(17)
		56				47				131
Analysis of Jardine Motors' contribution
Hong Kong, Macau and mainland China		10				38				63
United Kingdom		24				15				35
Corporate		(1)				(1)				(1)
		33				52				97

*  Underlying profit attributable to shareholders is the measure of profit adopted by the Group in accordance with IFRS 8 'Operating Segments'.

__________________________________________________________________________________________

Jardine Matheson Holdings Limited Notes to Condensed Financial Statements

1.    Accounting Policies and Basis of Preparation

The condensed financial statements have been prepared in accordance with IAS 34 'Interim Financial Reporting'.  The condensed financial statements have been prepared on a going concern basis.  The condensed financial statements have not been audited or reviewed by the Group's auditors pursuant to the UK Auditing Practices Board guidance on the review of interim financial information.

The following amendments which are effective in the current accounting period and relevant to the Group's operations are adopted in 2015:

Amendments to IAS 19

Defined Benefit Plans: Employee Contributions

Annual Improvements to IFRSs

2010 - 2012 Cycle

2011 - 2013 Cycle

Amendments to IAS 19 'Employee Benefits' clarify the accounting requirements for contributions from employees or third parties to defined benefit plans.  The objective of the amendments is to simplify the accounting for contributions that are independent of the number of years of employee service, for example, employee contributions that are calculated according to a fixed percentage of salary.

Annual Improvements to IFRSs 2010 - 2012 Cycle and 2011 - 2013 Cycle comprise a number of non-urgent but necessary amendments to IFRSs.  The amendments which are relevant to the Group's operations include the followings:

Amendment to IFRS 2 'Share-based Payment' clarifies the definition of a 'vesting condition' and separately defines 'performance condition' and 'service condition'.

Amendment to IFRS 3 'Business Combinations' clarifies that an obligation to pay contingent consideration which meets the definition of a financial instrument is classified as a financial liability or as equity, on the basis of the definitions in IAS 32 'Financial Instruments: Presentation'.  The standard is further amended to clarify that all non-equity contingent consideration, both financial and non-financial, is measured at fair value at each reporting date, with changes in fair value recognized in profit and loss.

Amendment to IFRS 8 'Operating Segments' requires disclosure of the judgements made by management in aggregating operating segments.  This includes a description of the segments which have been aggregated and the economic indicators which have been assessed in determining that the aggregated segments share similar economic characteristics.

Amendment to IAS 24 'Related Party Disclosures' includes, as a related party, an entity that provides key management personnel services to the reporting entity or to the parent of the reporting entity ('the management entity').  The reporting entity is not required to disclose the compensation paid by the management entity to the management entity's employees or directors, but it is required to disclose the amounts charged to the reporting entity by the management entity for services provided.

Amendment to IFRS 3 'Business Combinations' clarifies that IFRS 3 does not apply to the accounting for the formation of any joint arrangement under IFRS 11.  The amendment also clarifies that the scope exemption only applies in the financial statements of the joint arrangement itself.

Amendment to IFRS 13 'Fair Value Measurement' clarifies that the portfolio exception in IFRS 13, which allows an entity to measure the fair value of a group of financial assets and financial liabilities on a net basis, applies to all contracts within the scope of IAS 39 or IFRS 9.

Amendment to IAS 40 'Investment Property' clarifies that IAS 40 and IFRS 3 are not mutually exclusive.  The guidance in IAS 40 assists preparers to distinguish between investment property and owner-occupied property.  Preparers also need to refer to the guidance in IFRS 3 to determine whether the acquisition of an investment property is a business combination.

There have been no changes to the accounting policies described in the 2014 annual financial statements upon the adoption of the above amendments to existing standards.  The adoption of these amendments do not have any significant impact on the results or financial position of the Group.

The Group has not early adopted any standard, interpretation or amendment that has been issued but is not yet effective.

2.    Revenue

			Six months ended 30th June
			Gross revenue								Revenue
			2015 US$m				2014 US$m				2015 US$m				2014 US$m
	By business:
	Jardine Pacific		2,991				2,779				1,201				1,234
	Jardine Motors		2,555				2,597				2,555				2,597
	Jardine Lloyd Thompson		905				937				-				-
	Hongkong Land		1,484				1,069				905				602
	Dairy Farm		8,011				6,312				5,593				5,299
	Mandarin Oriental		463				518				295				341
	Jardine Cycle & Carriage		2,652				1,731				1,119				808
	Astra		12,720				15,196				7,118				8,694
	Intersegment transactions		(275)				(357)				(17)				(10)
			31,506				30,782				18,769				19,565

Gross revenue comprises revenue together with 100% of revenue from associates and joint ventures.

3.    Net Operating Costs

	Six months ended 30th June
			2015 US$m				2014 US$m
	Cost of sales		(14,491)				(15,048)
	Other operating income		271				270
	Selling and distribution costs		(2,085)				(2,004)
	Administration expenses		(913)				(918)
	Other operating expenses		(42)				(35)
			(17,260)				(17,735)
	Net operating costs included the following gains/(losses) from non-trading items:
	Reversal of asset impairment		12				1
	Sale of property interests		-				11
	Sale of other investments		-				16
	Sale of business		(9)				10
	Acquisition-related costs		(2)				-
	Fair value (loss)/gain on convertible component of Zhongsheng bonds		(1)				4
	Expenses relating to transfer of listing segment of group companies' shares		-				(6)
	Value added tax recovery in Jardine Motors		3				-
	Other		(1)				(2)
			2				34

4.    Share of Results of Associates and Joint Ventures

	Six months ended 30th June
			2015 US$m				2014 US$m
	By business:
	Jardine Pacific		47				38
	Jardine Lloyd Thompson		47				46
	Hongkong Land		99				199
	Dairy Farm		32				22
	Mandarin Oriental		4				7
	Jardine Cycle & Carriage		59				20
	Astra		176				282
	Corporate and other interests		2				-
			466				614
	Share of results of associates and joint ventures included the following gains/(losses) from non-trading items:
	Increase in fair value of investment properties		13				123
	Sale of businesses		12				-
	Restructuring of businesses		(7)				(5)
	Negative goodwill on acquisition of business		-				38
	Other		(1)				-
			17				156

Results are shown after tax and non-controlling interests in the associates and joint ventures.

5.    Tax

	Six months ended 30th June
			2015 US$m				2014 US$m
	Tax charged to profit and loss is analyzed as follows:
	Current tax		(396)				(451)
	Deferred tax		51				37
			(345)				(414)
	Greater China		(124)				(124)
	Southeast Asia		(212)				(280)
	United Kingdom		(7)				(6)
	Rest of the world		(2)				(4)
			(345)				(414)
	Tax relating to components of other comprehensive income or expense is analyzed as follows:
	Remeasurements of defined benefit plans		(1)				1
	Cash flow hedges		(5)				6
			(6)				7

Tax on profits has been calculated at rates of taxation prevailing in the territories in which the Group operates.

Share of tax charge of associates and joint ventures of US$135 million and US$4 million (2014: charge of US$150 million and credit of US$4 million) are included in share of results of associates and joint ventures and share of other comprehensive income of associates and joint ventures, respectively.

6.    Earnings per Share

Basic  earnings  per share are calculated on profit attributable to shareholders of  US$709 million (2014: US$818 million)  and  on  the  weighted  average  number of  372 million (2014: 369 million) shares in issue during the period.

Diluted earnings per share are calculated on profit attributable to shareholders of US$709 million (2014: US$818 million), which is after adjusting for the effects of the conversion of dilutive potential ordinary shares of subsidiaries, associates or joint ventures, and on the weighted average number of 373 million (2014: 370 million) shares after adjusting for the number of shares which are deemed to be issued for no consideration under the Senior Executive Share Incentive Schemes based on the average share price during the period.

The weighted average number of shares is arrived at as follows:

			Ordinary shares in millions
			2015				2014
	Weighted average number of shares in issue		692				682
	Company's share of shares held by subsidiaries		(320)				(313)
	Weighted average number of shares for basic earnings per share calculation		372				369
	Adjustment for shares deemed to be issued for no consideration under the Senior Executive Share Incentive Schemes		1				1
	Weighted average number of shares for diluted earnings per share calculation		373				370

Additional basic and diluted earnings per share are also calculated based on underlying profit attributable to shareholders.  A reconciliation of earnings is set out below:

						Six months ended 30th June
						2015									2014
			US$m			Basic earnings per share US$			Diluted earnings per share US$			US$m			Basic earnings per share US$			Diluted earnings per share US$
	Profit attributable to shareholders		709			1.91			1.90			818			2.22			2.21
	Non-trading items (note 7)		(42)									(79)
	Underlying profit attributable to shareholders		667			1.79			1.79			739			2.00			2.00

7.    Non-trading items

Non-trading items are separately identified to provide greater understanding of the Group's underlying business performance.  Items classified as non-trading items include fair value gains or losses on revaluation of investment properties and plantations; gains and losses arising from the sale of businesses, investments and properties; impairment of non-depreciable intangible assets and other investments; provisions for the closure of businesses; acquisition-related costs in business combinations; and other credits and charges of a non-recurring nature that require inclusion in order to provide additional insight into underlying business performance.

	Six months ended 30th June
			2015 US$m				2014 US$m
	By business:
	Jardine Pacific		1				-
	Jardine Motors		1				(1)
	Jardine Lloyd Thompson		5				(5)
	Hongkong Land		39				54
	Dairy Farm		(1)				6
	Mandarin Oriental		(1)				-
	Jardine Cycle & Carriage		(1)				(1)
	Astra		-				13
	Corporate and other interests		(1)				13
			42				79
	An analysis of non-trading items after interest, tax and non-controlling interests is set out below:
	Increase in fair value of investment properties
	- Hongkong Land		33				54
	- other		10				-
	Reversal of asset impairment		4				-
	Sale of property interests		-				7
	Sale of other investments		-				14
	Sale of businesses		2				2
	Acquisition-related costs		(1)				-
	Restructuring of businesses		(7)				(7)
	Fair value (loss)/gain on convertible component of Zhongsheng bonds		(1)				3
	Expenses relating to transfer of listing segment of group companies' shares		-				(4)
	Negative goodwill on acquisition of business		-				11
	Value added tax recovery in Jardine Motors		3				-
	Other		(1)				(1)
			42				79

8.    Dividends

	Six months ended 30th June
			2015 US$m				2014 US$m
	Final dividend in respect of 2014 of US¢107.00 (2013: US¢103.00) per share		739				701
	Company's share of dividends paid on the shares held by subsidiaries		(341)				(321)
			398				380

An interim dividend in respect of 2015 of US¢38.00 (2014: US¢38.00) per share amounting to a total of US$265 million (2014: US$261 million) is declared by the Board.  The net amount after deducting the Company's share of the dividends payable on the shares held by subsidiaries of US$123 million (2014: US$121 million) will be accounted for as an appropriation of revenue reserves in the year ending 31st December 2015.

9.    Financial Instruments

Financial instruments by category

The fair values of financial assets and financial liabilities, together with carrying amounts at 30th June 2015 and 31st December 2014 are as follows:

		Loans and receivables US$m			Derivatives used for hedging US$m				Available- for-sale US$m		Other financial instruments at amortized cost US$m				Other financial instruments fair value through profit and cost US$m			Total carrying amount US$m			Fair value US$m
	30th June 2015
	Assets
	Other investments		-			-			1,378			-			-			1,378			1,378
	Debtors		8,034			267			-			-			11			8,312			8,181
	Bank balances and other liquid funds		4,882			-			-			-			-			4,882			4,882
			12,916			267			1,378			-			11			14,572			14,441
	Liabilities
	Borrowings (excluding finance lease liabilities)		-			-			-			(12,033)			-			(12,033)			(12,134)
	Finance lease liabilities		-			-			-			(68)			-			(68)			(68)
	Trade and other payables excluding non-financial liabilities		-			(36)			-			(6,803)			(66)			(6,905)			(6,905)
			-			(36)			-			(18,904)			(66)			(19,006)			(19,107)
	31st December 2014
	Assets
	Other investments		-			-			1,372			-			-			1,372			1,372
	Debtors		8,308			204			-			-			13			8,525			8,455
	Bank balances and other liquid funds		5,315			-			-			-			-			5,315			5,315
			13,623			204			1,372			-			13			15,212			15,142
	Liabilities
	Borrowings (excluding finance lease liabilities)		-			-			-			(11,400)			-			(11,400)			(11,471)
	Finance lease liabilities		-			-			-			(84)			-			(84)			(84)
	Trade and other payables excluding non-financial liabilities		-			(43)			-			(6,805)			(67)			(6,915)			(6,915)
			-			(43)			-			(18,289)			(67)			(18,399)			(18,470)

Fair value estimation

(i)  Financial instruments that are measured at fair value

For financial instruments that are measured at fair value in the balance sheet, the corresponding fair value measurements are disclosed by level of the following fair value measurement hierarchy:

(a)  Quoted prices (unadjusted) in active markets for identical assets or liabilities ('quoted prices in active markets')

The fair value of listed securities, which are classified as available-for-sale, is based on quoted prices in active markets at the balance sheet date.  The quoted market price used for listed investments held by the Group is the current bid price.

(b)  Inputs other than quoted prices in active markets that are observable for the asset or liability, either directly or indirectly ('observable current market transactions')

The fair values of derivative financial instruments are determined using rates quoted by the Group's bankers at the balance sheet date.  The rates for interest rate swaps and caps, cross-currency swaps, forward foreign exchange contracts and credit default swaps are calculated by reference to market interest rates and foreign exchange rates.

The fair values of unlisted investments, which are classified as available-for-sale and mainly include club and school debentures, are determined using prices quoted by brokers at the balance sheet date.

(c)  Inputs for assets or liabilities that are not based on observable market data ('unobservable inputs')

The fair value of other unlisted securities, which are classified as available-for-sale, is determined using valuation techniques by reference to observable current market transactions (including price-to earnings and price-to book ratios of listed securities of entities engaged in similar industries) or the market prices of the underlying investments with certain degree of entity specific estimates.  The fair value of convertible component of convertible bonds held is made reference to market interest rate, the quoted price of the underlying shares and estimation on volatility.

There were no changes in valuation techniques during the periods.

The table below analyzes financial instruments carried at fair value at 30th June 2015 and  31st December 2014, by the levels in the fair value measurement hierarchy:

			Quoted prices in active markets US$m				Observable current market transactions US$m			Unobservable inputs US$m						Total US$m
		30th June 2015
		Assets
		Available-for-sale financial assets
		- listed securities		1,113				-				-				1,113
		- unlisted investments		-				44				221				265
				1,113				44				221				1,378
		Derivative designated at fair value
		- through other comprehensive income		-				247				-				247
		- through profit and loss		-				20				-				20
				1,113				311				221				1,645
		Liabilities
		Contingent consideration payable		-				-				(66)				(66)
		Derivative designated at fair value
		- through other comprehensive income		-				(26)				-				(26)
		- through profit and loss		-				(10)				-				(10)
				-				(36)				(66)				(102)
		31st December 2014
		Assets
		Available-for-sale financial assets
		- listed securities		1,140				-				-				1,140
		- unlisted investments		-				43				189				232
				1,140				43				189				1,372
		Derivative designated at fair value
		- through other comprehensive income		-				184				-				184
		- through profit and loss		-				20				-				20
				1,140				247				189				1,576
		Liabilities
		Contingent consideration payable		-				-				(67)				(67)
		Derivative designated at fair value
		- through other comprehensive income		-				(33)				-				(33)
		- through profit and loss		-				(10)				-				(10)
				-				(43)				(67)				(110)

There were no transfers among the three categories during the periods.

Movement of financial instruments which are valued based on unobservable inputs during the six months ended 30th June 2015 and year ended 31st December 2014 are as follows:

			Available-for-sale financial assets US$m				Contingent consideration payable US$m
		At 1st January 2015		189				(67)
		Exchange differences		(3)				-
		Additions		6				-
		Payment of contingent consideration		-				1
		Net change in fair value during the period included in
		other comprehensive income		29				-
		At 30th June 2015		221				(66)
		At 1st January 2014		161				(66)
		Exchange differences		(2)				-
		Additions		2				-
		Payment of contingent consideration		-				1
		Net change in fair value during the year
		- included in other comprehensive income		28				-
		- included in profit and loss		-				(2)
		At 31st December 2014		189				(67)

The contingent consideration payable mainly arose from Astra's acquisition of a 60% interest in PT Duta Nurcahya in 2012 and represents the fair value of service fee payable for mining services to be provided by the vendor.

(ii)  Financial instruments that are not measured at fair value

The fair values of current debtors, bank balances and other liquid funds, current creditors and current borrowings are assumed to approximate their carrying amounts due to the short-term maturities of these assets and liabilities.

The fair values of long-term borrowings are based on market prices or are estimated using the expected future payments discounted at market interest rates.

10.  Notes to Consolidated Cash Flow Statement

(a)   Purchase of subsidiaries

		Six months ended 30th June
				2015 US$m				2014 US$m
		Intangible assets		4				-
		Tangible assets		36				1
		Non-current debtors		2				-
		Current assets		121				3
		Deferred tax liabilities		(2)				-
		Pension liabilities		(1)				-
		Current liabilities		(92)				(3)
		Non-current borrowings		(3)				-
		Fair value of identifiable net assets acquired		65				1
		Adjustment for non-controlling interests		(30)				-
		Goodwill		218				3
		Total consideration		253				4
		Payment for contingent consideration		1				-
		Adjustment for deferred consideration		(57)				2
		Carrying value of associates and joint ventures		-				(1)
		Cash and cash equivalents of subsidiaries acquired		(22)				(2)
		Net cash outflow		175				3

For the subsidiaries acquired during 2015, the fair values of identifiable assets and liabilities at the acquisition dates are provisional and will be finalized within one year after the acquisition dates.

Net cash outflow for the six months ended 30th June 2015 included US$114 million for Dairy Farm's acquisition of a 100% interest in San Miu Supermarket Limited ('San Miu'), which operates a supermarket chain in Macau, in March 2015, and US$59 million for Astra's acquisition of a 50.1% interest in PT Acset Indonusa, a construction company in Indonesia, in May 2015.

The goodwill arising from the acquisition of San Miu amounted to US$185 million and was attributable to its leading market position and retail network in Macau.  The goodwill arising from the acquisition of PT Acset Indonusa of US$33 million was attributable to the expected synergies from combining its operations with Astra's existing businesses.

None of the goodwill is expected to be deductible for tax purposes.

Revenue and profit after tax since acquisition in respect of subsidiaries acquired during  the six months ended 30th June 2015 amounted to US$89 million and   US$1 million, respectively.  Had the acquisitions occurred on 1st January 2015, consolidated revenue and consolidated profit after tax for the six months ended  30th June 2015 would have been US$18,819 million and US$1,655 million, respectively.

(b)   Purchase of associates and joint ventures for the six months ended 30th June 2015 included US$909 million for Dairy Farm's acquisition of a 19.99% interest in Yonghui Superstores Co., Ltd, a Shanghai-listed hypermarket and supermarket operator in mainland China, and US$615 million for Jardine Cycle & Carriage's acquisition of a 24.9% interest in Siam City Cement Public Company Limited ('Siam City Cement'), a cement manufacturer in Thailand.

Purchase for the six months ended 30th June 2014 included US$35 million for Hongkong Land's investments in the Philippines and Indonesia, and US$57 million and US$25 million for Astra's subscription to PT Bank Permata's rights issue and capital injection into PT Aisin, respectively.

(c)   Purchase of other investments for the six months ended 30th June 2015 and 2014 mainly included acquisition of securities by Astra.

(d)   Advance to associates and joint ventures for the six months ended 30th June 2015 included Mandarin Oriental's loans to its hotel joint venture.

        Advances for the six months ended 30th June 2014 comprised Hongkong Land's loans to its property joint ventures.

(e)   Advance and repayment from associates and joint ventures for the six months ended 30th June 2015 and 2014 comprised advance and repayment from Hongkong Land's property joint ventures.

 (f)   Sale of other investments for the six months ended 30th June 2015 comprised Astra's sale of securities.

Sale for the six months ended 30th June 2014 comprised US$119 million for Jardine Strategic's sale of Tata Power and US$19 million for Astra's sale of securities.

(g)   Change in interests in subsidiaries

		Six months ended 30th June
				2015 US$m		2014 US$m
		Increase in attributable interests
		- Jardine Cycle & Carriage		(4)		(33)
		- other		(17)		(3)
		Decrease in attributable interests		34		187
				13		151

Increase in attributable interests in other subsidiaries for the six months ended 30th June 2015 comprised Dairy Farm's acquisition of an additional 2.49% interest in PT Hero Supermarket.

Decrease in attributable interests for the six months ended 30th June 2015 comprised Dairy Farm's sale of a 15% economic interest in GCH Retail (Malaysia) Sdn Bhd, reducing its controlling interest to 85%. 

Decrease for the six months ended 30th June 2014 comprised Astra's sale of a 25% interest in PT Astra Sedaya Finance to PT Bank Permata, reducing its controlling interest to 75%.

11.  Capital Commitments and Contingent Liabilities

Total capital commitments at 30th June 2015 and 31st December 2014 amounted to US$1,865 million and US$2,062 million, respectively.

Various Group companies are involved in litigation arising in the ordinary course of their respective businesses.  Having reviewed outstanding claims and taking into account legal advice received, the Directors are of the opinion that adequate provisions have been made in the condensed financial statements.

12.  Related Party Transactions

In the normal course of business the Group undertakes a variety of transactions with certain of its associates and joint ventures.

The most significant of such transactions relate to the purchases of motor vehicles and spare parts from the Group's associates and joint ventures in Indonesia including PT Toyota-Astra Motor, PT Astra Honda Motor and PT Astra Daihatsu Motor.  Total cost of motor vehicles and spare parts purchased for the six months ended 30th June 2015 amounted to US$2,848 million (2014: US$3,799 million).  The Group also sells motor vehicles and spare parts to its associates and joint ventures in Indonesia including PT Astra Honda Motor, PT Astra Daihatsu Motor and PT Tunas Ridean.  Total revenue from sales of motor vehicles and spare parts for the six months ended 30th June 2015 amounted to US$438 million (2014: US$586 million).

PT Bank Permata provides banking services to the Group.  The Group's deposits with PT Bank Permata at 30th June 2015 amounted to US$381 million (2014: US$443 million).

There were no other related party transactions that might be considered to have a material effect on the financial position or performance of the Group that were entered into or changed during the first six months of the current financial year.

Amounts of outstanding balances with associates and joint ventures are included in debtors and creditors, as appropriate.

13.  Post Balance Sheet Event

In July 2015, Jardine Cycle & Carriage completed a rights issue raising approximately US$749 million.  The proceeds of the rights issue was used primarily to repay borrowings taken on to fund investment in Siam City Cement, as well as for general corporate purposes.  Jardine Strategic had taken up its entitlement of the rights issue.

Jardine Matheson Holdings Limited

Principal Risks and Uncertainties

The Board has overall responsibility for risk management and internal control. The following have been identified previously as the areas of principal risk and uncertainty facing the Company, and they remain relevant in the second half of the year.

●    Economic Risk

●    Commercial Risk and Financial Risk

●    Concessions, Franchises and Key Contracts

●    Regulatory and Political Risk

●    Terrorism, Pandemic and Natural Disasters

For greater detail, please refer to page 122 of the Company's Annual Report for 2014, a copy of which is available on the Company's website www.jardines.com.

Responsibility Statement

The Directors of the Company confirm to the best of their knowledge that:

(a)  the condensed financial statements have been prepared in accordance with IAS 34; and

(b)  the interim management report includes a fair review of all information required to be disclosed by the Disclosure and Transparency Rules 4.2.7 and 4.2.8 issued by the Financial Conduct Authority of the United Kingdom.

For and on behalf of the Board

Ben Keswick

James Riley

Directors

31st July 2015

	The interim dividend of US¢38.00 per share will be payable on 14th October 2015 to shareholders on the register of members at the close of business on 21st August 2015.  The shares will be quoted ex-dividend on the Singapore Exchange and the London Stock Exchange on 19th and 20th August 2015, respectively.  The share registers will be closed from 24th to 28th August 2015, inclusive.  The dividend will be available in cash with a scrip alternative. Shareholders will receive their cash dividends in United States dollars, unless they are registered on the Jersey branch register where they will have the option to elect for sterling.  These shareholders may make new currency elections for the 2015 interim dividend by notifying the United Kingdom transfer agent in writing by 25th September 2015.  The sterling equivalent of dividends declared in United States dollars will be calculated by reference to a rate prevailing on 30th September 2015.   Shareholders holding their shares through CREST in the United Kingdom will receive their cash dividends only in sterling as calculated above.  Shareholders holding their shares through The Central Depository (Pte) Limited ('CDP') in Singapore will receive their cash dividends in United States dollars unless they elect, through CDP, to receive Singapore dollars. Shareholders on the Singapore branch register who wish to deposit their shares into the CDP system by the dividend record date, being 21st August 2015, must submit the relevant documents to M & C Services Private Limited, the Singapore branch registrar, no later than 5.00 p.m. (local time) on 20th August 2015.

The Jardine Matheson Group

Founded as a trading company in China in 1832, Jardine Matheson is today a diversified business group focused principally on Asia.  Its businesses comprise a combination of cash generating activities and long-term property assets.

Jardine Matheson holds interests directly in Jardine Pacific (100%), Jardine Motors (100%) and Jardine Lloyd Thompson (42%), while its 82% held Group holding company, Jardine Strategic, is interested in Hongkong Land (50%), Dairy Farm (78%), Mandarin Oriental (74%) and Jardine Cycle & Carriage (74%), which in turn has a 50% shareholding in Astra.  Jardine Strategic also has a 56% shareholding in Jardine Matheson.

These companies are leaders in the fields of engineering and construction, transport services, insurance broking, property investment and development, retailing, restaurants, luxury hotels, motor vehicles and related activities, financial services, heavy equipment, mining and agribusiness.

Jardine Matheson Holdings Limited is incorporated in Bermuda and has a standard listing on the London Stock Exchange as its primary listing, with secondary listings in Bermuda and Singapore.  Jardine Matheson Limited operates from Hong Kong and provides management services to Group companies.

- end -

For further information, please contact:

Jardine Matheson Limited
James Riley	(852) 2843 8229
Brunswick Group Limited
Monica Wong	(852) 3512 5081

As permitted by the Disclosure and Transparency Rules of the Financial Conduct Authority in the United Kingdom, the Company will not be posting a printed version of the Half-Yearly Results announcement to shareholders.  The Half-Yearly Results announcement will remain available on the Company's website, www.jardines.com, together with other Group announcements.

 

END

 

 

IR EAAXNAESSEFF