Jardine Cycle & Carriage 2021 HY Financial Stmts

RNS Number : 8825G

Jardine Matheson Hldgs Ltd

29 July 2021

 

To:  Business Editor

	29th July 2021
	For immediate release

Jardine Cycle & Carriage Limited

2021 Half Year Financial Statements and Dividend Announcement

The following announcement was issued today by the Company's 75%-owned subsidiary, Jardine Cycle & Carriage Limited.

For further information, please contact:

Jardine Matheson Limited

Joey Ho     ( 65) 9765 0717  

Brunswick Group Limited

Ben Fry  (65) 9017 9886

29th July 2021 

JARDINE CYCLE & CARRIAGE LIMITED

2021 HALF YEAR FINANCIAL STATEMENTS AND DIVIDEND ANNOUNCEMENT

Highlights

· Underlying profit more than doubled to US$346 million

· Higher earnings from Astra, principally in its automotive businesses

· Improved profits from Direct Motor Interests in Singapore

· Other Strategic Interests stronger, led by a continued THACO recovery

· Interim dividend of US¢18 per share, up from US¢9 in 2020

"The Group's underlying profit improved in the first half of 2021, compared with the same period in 2020, when the second quarter of 2020 was particularly affected by significant pandemic-related business restrictions. Although business conditions have since improved, the Group remains cautious about performance in the second half of 2021, given the worsening COVID-19 situation in a number of countries across the region."

Ben Keswick, Chairman

Group Results
	Six months ended 30th June
			2021 US$m	2020 US$m	Change %		2021 S$m
Revenue			8,287	6,595	26		11,045
Underlying profit attributable to
shareholders *			346	138	152		462
Non-trading items^			(120)	163	nm		(160)
Profit attributable to shareholders			226	301	-25		302
			US¢	US¢			S¢
Underlying earnings per share *			88	35	152		117
Earnings per share			57	76	-25		76
Interim dividend per share			18	9	100		24
			At 30.6.2021	At 31.12.2020			At 30.6.2021
			US$m	US$m			S$m
Shareholders' funds			6,918	6,974	-1		9,300
			US$	US$			S$
Net asset value per share			17.50	17.65	-1		23.53

The exchange rate of US$1=S$1.34 (31st December 2020: US$1=S$1.32) was used for translating assets and liabilities at the balance sheet date, and US$1=S$1.33 (30th June 2020: US$1=S$1.40) was used for translating the results for the period. The financial results for the six months ended 30th June 2021 and 30th June 2020 have been prepared in accordance with International Financial Reporting Standards and have not been audited or reviewed by the auditors.

*  The Group uses 'underlying profit attributable to shareholders' in its internal financial reporting to distinguish between ongoing business performance and non-trading items, as more fully described in Note 6 to the condensed financial statements.  Management considers this to be a key performance measurement that enhances the understanding of the Group's underlying business performances.

^  Included in 'non-trading items' are unrealised gains/losses arising from the revaluation of the Group's equity investments.

nm  not meaningful

CHAIRMAN'S STATEMENT

Overview

Jardine Cycle & Carriage ("JC&C" or "the Group") produced an increase in underlying profit in the first half of 2021, compared to the same period in 2020, which saw the emergence of the pandemic and the implementation of major lockdown restrictions in the second quarter. Most of the Group's businesses have also seen some performance improvements compared to previous quarters.

Astra contributed US$293 million to the Group's underlying profit in the first half of 2021, 71% higher than the same period last year, with the improvement in its performance largely driven by its automotive businesses.

Direct Motor Interests contributed US$24 million, compared to a loss of US$0.3 million in the same period last year, with performance benefiting mainly from higher profits in the Singapore operations.

Other Strategic Interests contributed a profit of US$66 million compared to US$28 million in the same period last year, mainly due to the continued recovery of THACO's automotive and real estate operations.

Exchange losses of US$21 million from the translation of foreign currency loans at JC&C parent company were substantially lower than in the same period last year.

The Group's underlying profit attributable to shareholders more than doubled from US$138 million to US$346 million. After accounting for non-trading items which included unrealised losses arising from the revaluation of the Group's equity investments and a gain on disposal of Astra's investment in Permata Bank in 2020, the Group's profit attributable to shareholders was 25% lower at US$226 million.

The Group's consolidated net cash position, excluding the net borrowings from Astra's financial services subsidiaries, was US$40 million at the end of June 2021, compared to a net debt of US$854 million at the end of 2020. The change from net debt to net cash was mainly due to strong trading cashflows, together with low capital expenditure and improved working capital management. Net debt within Astra's financial services subsidiaries increased slightly to US$2.9 billion. JC&C parent company's net debt was US$1.6 billion at the end of June 2021.

JC&C parent company increased its interest in Cycle & Carriage Bintang from 59.1% to 88.0% through market purchases and acceptances under its Voluntary General Offer which closed on 4th June 2021. JC&C parent company increased its interest in REE from 29.8% to 30.8%. It also entered into an agreement to acquire the remaining 30% stake that it did not own in Republic Auto, a used car business in Singapore.

Group Review

The contributions to JC&C's underlying profit attributable to shareholders by business segment were as follows:  

		Contribution to JC&C's underlying profit
			Six months ended 30th June
Business segments			2021 US$m	2020 US$m	Change %
Astra			293	171	71
Direct Motor Interests			24	-	nm
Other Strategic Interests			66	28	138
Corporate Costs - exchange losses			(21)	(41)	-49
Corporate Costs - others			(16)	(20)	-22
Underlying profit attributable to   shareholders			346	138	152

Astra

Astra contributed US$293 million to JC&C's underlying profit, 71% higher than the same period last year. Under Indonesian accounting standards, Astra reported a net profit equivalent to US$615 million.

 

Automotive

Net income increased significantly to US$231 million, mainly due to the negative impact on performance in the second quarter of 2020 from the pandemic and related containment measures, and an increase in sales volumes in the first half of 2021, especially in the car segment, which  benefited from temporary luxury sales tax incentives. Key points were as follows:

· The wholesale car market increased by 51% in the first half to 393,000 units. Astra's car sales were 50% higher at 210,000 units, with its market share maintained at 53%.  Eight new models and six revamped models were launched.

· The wholesale market for motorcycles increased by 30% in the first half to 2.5 million units. Astra's Honda motorcycle sales grew by 29% to 1.9 million units, maintaining its market share.  Four new models and seven revamped models were launched.

· Components business, Astra Otoparts, reported a net profit of US$19 million compared to a net loss of US$20 million in the same period last year, mainly due to higher   revenues from the original equipment manufacturer and replacement market segments.

Financial Services

Net income increased by 2% to US$149 million, due to higher contribution s from the consumer finance and general insurance businesses . Key points were as follows:

· Consumer finance businesses saw a 13% increase in the amounts financed to US$2.8 billion. The net income contribution from the car-focused finance companies increased by 3% to US$39 million, and the contribution from the motorcycle-focused financing business also increased by 3% to US$66 million. Both increases were mainly due to lower loan loss provisioning.

· Heavy equipment-focused finance operations saw a 46% increase in the amounts financed to US$188 million, but the net income contribution from this business fell 20% to US$2 million.

· General insurance company, Asuransi Astra Buana, reported a 15% increase in net income to US$42 million due to higher   investment income .

Heavy Equipment, Mining, Construction and Energy

Net income increased by 13% to US$187 million, mainly due to higher Komatsu heavy equipment sales and improved coal prices . Key points were as follows:

· United Tractors reported a 11% increase in net income to US$313 million.

· Komatsu heavy equipment sales increased by 60% to 1,361 units.

· Mining contracting operations reported 3% lower overburden removal volume at 409 million bank cubic metres, while coal production was 3% higher at 58 million tonnes.

· Coal mining subsidiaries achieved 12% higher coal sales at 6.3 million tonnes, including 1.4 million tonnes of metallurgical coal.

· Agincourt Resources saw 5% lower gold sales at 176,000 oz.

· General contractor, Acset Indonusa, reported a net loss of US$11 million, mainly due to the slowdown of several ongoing projects and reduced construction project opportunities during the pandemic.

Agribusiness

Net income increased by 66% to US$36 million, mainly due to improved crude palm oil prices.  

Infrastructure and Logistics

Astra's infrastructure and logistics division reported a net profit of US$6 million, compared to a net loss of US$6 million for the same period last year, mainly due to improved performances in its toll road and Serasi Autoraya operations.  Key points were as follows:

· Toll road revenues were 41% higher. Astra has 358km of operational toll roads along the Trans-Java network and in the Jakarta Outer Ring Road.

· Serasi Autoraya's net income increased significantly to US$6 million mainly due to increased used car sales, improved operating margins and an increase in the numbers of vehicles under contract to 23,000 units.

· In June, Astra acquired an additional 14% stake in Marga Lingkar Jakarta, the operator of the 7.7km Kebon Jeruk-Ulujami toll road, part of the Jakarta Outer Ring Road I, which brought Astra's ownership to 49%.

Direct Motor Interests

The Group's Direct Motor Interests contributed a profit of US$24 million, compared to a loss of US$0.3 million in the same period last year.  Key points were as follows:  

· C ycle & Carriage Singapore made a significantly higher contribution of US$19 million, compared to US$1 million in the previous year. Passenger car sales grew 33% to 4,188 units, with market share at 16%. There was also an improved trading performance in used car operations.

· In Indonesia, Tunas Ridean contributed US$7 million, compared to US$3 million last year, supported by improved profits from i ts automotive and financial services businesses.

· Cycle & Carriage Bintang in Malaysia contributed a profit of US$0.2 million, compared to a loss of US$3 million in the previous year. Despite challenging trading conditions, the financial performance of the business benefited from improved sales due to a sales tax reduction, as well as cost savings initiatives.

Other Strategic Interests

The Group's Other Strategic Interests contributed a profit of US$66 million, compared to US$28 million in the previous year.  Key points were as follows:

· THACO contributed a profit of US$37 million. THACO's automotive unit sales were up 40%, and margins also increased due to an improved sales mix. The real estate business continued to benefit from a gradual recovery of the market.

· The contribution from Siam City Cement was US$14 million, 19% higher than the same period last year. This was mainly due to higher cement volumes mainly in the regional operations, although overall prices remained under pressure. Margins were also down due to an increase in coal prices, despite continued cost-saving initiatives.

· REE's contribution of US$6 million, based on its first-quarter results, was 72% higher than the same period last year. There were improved performances from its power and water investments as a result of favourable hydrography and an increase in REE's solar projects. Profits from REE's real estate leasing business were relatively stable.

· The Group's investment in Vinamilk produced a dividend income of US$11 million, consistent with the same period last year. Vinamilk reported a net profit of US$235 million in the first half, 7% down in local currency terms, due to a weaker domestic market.

Corporate Costs

There were lower foreign exchange losses from the translation of foreign currency loans and lower net financing charges than in the first half of last year.  Corporate costs totalled US$37 million in the first half, compared to US$61 million in the same period last year.

Dividend

The Board has declared an interim one-tier tax-exempt dividend of US¢18 per share (2020: US¢9 per share) for the half-year ended 30th June 2021.

Outlook 

Although business conditions have improved in the first half of 2021, the Group remains cautious about performance in the second half of 2021, given the worsening COVID-19 situation in a number of countries across the region.

Ben Keswick

Chairman

CORPORATE PROFILE

Jardine Cycle & Carriage is the investment holding company of the Jardine Matheson Group in Southeast Asia. JC&C seeks to grow with Southeast Asia by investing in market-leading businesses based on the themes of urbanisation and the emerging consumer class. The Group works closely with its businesses to enable them to achieve their potential and to elevate their communities.

The Group has a 50.1% interest in Astra, a diversified group in Indonesia, which is also the largest independent automotive group in Southeast Asia.

JC&C also has significant interests in Vietnam, including 26.6% in THACO Corporation, 30.8% in Refrigeration Electrical Engineering Corporation and 10.6% in Vinamilk. Its 25.5%-owned Siam City Cement also has a presence in South Vietnam, in addition to operating in Thailand, Sri Lanka, Cambodia and Bangladesh.

The Direct Motor Interests in JC&C's portfolio are the Cycle & Carriage businesses in Singapore, Malaysia and Myanmar, and 46.2%-owned Tunas Ridean in Indonesia.

JC&C is a leading Singapore-listed company, 75%-owned by the Jardine Matheson group. Together with its subsidiaries and associates, JC&C employs around 240,000 people across Southeast Asia.

Statement pursuant to Rule 705(5) of the Listing Rules of the Singapore Exchange Securities Trading Limited ("SGX-ST")

The directors confirm that, to the best of their knowledge, nothing has come to the attention of the Board of Directors which may render the accompanying unaudited interim financial results for the six months ended 30th June 2021 to be false or misleading in any material aspect.

On behalf of the Board of Directors

Ben Keswick

Director

Vimala Menon

Director

29th July 2021

Jardine Cycle & Carriage Limited Consolidated Profit and Loss Account for the six months ended 30th June 2021

			2021		2020	Change
	Note		US$m		US$m	%
Revenue 1	2		8,287.0		6,594.6	26
Net operating costs	3		(7,622.6)		(5,650.8)	35
Operating profit	3		664.4		943.8	-30
Financing income			63.1		48.6	30
Financing charges 2			(90.5)		(143.2)	-37
Net financing charges			(27.4)		(94.6)	-71
Share of associates' and joint
ventures' results after tax			263.6		91.3	189
Profit before tax			900.6		940.5	-4
Tax	4		(209.1)		(127.1)	65
Profit after tax			691.5		813.4	-15
Profit attributable to:
Shareholders of the Company			226.3		300.9	-25
Non-controlling interests			465.2		512.5	-9
			691.5		813.4	-15
			US¢		US¢
Earnings per share	6		57		76	-25

(1)  Higher revenue was mainly due to higher sales in Astra's automotive, heavy equipment and mining operations and higher sales in Direct Motor Interests.

(2)  Decrease in financing charges was mainly due to lower level of net debt.

Jardine Cycle & Carriage Limited Consolidated Statement of Comprehensive Income for the six months ended 30th June 2021

		2021		2020
		US$m		US$m
Profit for the year		691.5		813.4
Items that will not be reclassified to profit or loss:
Asset revaluation
- surplus during the year		0.1		-
Remeasurements of defined benefit pension plans		(4.5)		(0.7)
Tax relating to items that will not be reclassified		0.7		(0.8)
Share of other comprehensive income/(expense) of
associates and joint ventures, net of tax		(2.0)		(1.8)
		(5.7)		(3.3)
Items that may be reclassified subsequently to profit or loss:
Translation difference
- gain/(loss) arising during the year		(339.9)		(325.3)
- transfer to profit and loss		-		(0.3)
		(339.9)		(325.6)
Financial assets at FVOCI (1)
- gain/(loss) arising during the year		(10.4)		(2.9)
- transfer to profit and loss		(1.7)		2.6
		(12.1)		(0.3)
Cash flow hedges
- gain/(loss) arising during the year		81.8		(11.6)
- transfer to profit and loss		-		2.8
		81.8		(8.8)
Tax relating to items that may be reclassified		(16.7)		(0.8)
Share of other comprehensive income/(expense) of
associates and joint ventures, net of tax		35.2		(78.6)
		(251.7)		(414.1)
Other comprehensive income/(expense) for the year		(257.4)		(417.4)
Total comprehensive income for the year		434.1		396.0
Attributable to:
Shareholders of the Company		92.3		121.9
Non-controlling interests		341.8		274.1
		434.1		396.0

⁽¹⁾  Fair value through other comprehensive income ("FVOCI")

Jardine Cycle & Carriage Limited Consolidated Balance Sheet at 30th June 2021

				At		At
		Note		30.06.2021		31.12.2020
				US$m		US$m
Non-current assets
Intangible assets				1,788.4		1,816.9
Right-of-use assets				781.9		832.4
Property, plant and equipment				3,957.4		4,243.2
Investment properties				519.3		532.2
Bearer plants				486.1		496.7
Interests in associates and joint ventures				4,034.1		4,032.6
Non-current investments				2,165.8		2,283.9
Non-current debtors				2,822.4		2,846.8
Deferred tax assets				364.6		370.8
				16,920.0		17,455.5
Current assets
Current investments				79.7		60.4
Properties for sale				375.6		390.2
Stocks				1,217.3		1,320.2
Current debtors				4,948.1		4,676.9
Current tax assets				123.2		111.4
Bank balances and other liquid funds
- non-financial services companies				3,754.6		3,095.1
- financial services companies				358.7		402.5
				4,113.3		3,497.6
				10,857.2		10,056.7
Total assets				27,777.2		27,512.2
Non-current liabilities
Non-current creditors				191.4		278.4
Provisions				188.5		186.3
Non-current lease liabilities				80.5		79.7
Long-term borrowings		8
- non-financial services companies				2,980.8		1,719.3
- financial services companies				1,133.4		1,246.0
				4,114.2		2,965.3
Deferred tax liabilities				323.9		343.5
Pension liabilities				393.9		389.4
				5,292.4		4,242.6
Current liabilities
Current creditors				4,012.1		3,534.9
Provisions				114.6		115.9
Current lease liabilities				45.2		65.2
Current borrowings		8
- non-financial services companies				733.9		2,229.3
- financial services companies				2,054.2		1,930.4
				2,788.1		4,159.7
Current tax liabilities				152.9		87.3
				7,112.9		7,963.0
Total liabilities				12,405.3		12,205.6
Net assets				15,371.9		15,306.6
Equity
Share capital		9		1,381.0		1,381.0
Revenue reserve		10		7,012.9		6,937.7
Other reserves		11		(1,476.0)		(1,344.6)
Shareholders' funds				6,917.9		6,974.1
Non-controlling interests		12		8,454.0		8,332.5
Total equity				15,371.9		15,306.6

Jardine Cycle & Carriage Limited

Consolidated Statement of Changes in Equity for the six months ended 30th June 2021

Attributable to shareholders of the Company
													Attributable
					Asset				Fair value				to non-
	Share		Revenue		revaluation		Translation		and other				controlling		Total
	capital		reserve		reserve		reserve		reserves		Total		interests		equity
	US$m		US$m		US$m		US$m		US$m		US$m		US$m		US$m
2021
Balance at 1st January	1,381.0		6,937.7		403.4		(1,683.7)		(64.3)		6,974.1		8,332.5		15,306.6
Total comprehensive income	-		223.7		0.1		(164.8)		33.3		92.3		341.8		434.1
Dividends paid by the Company	-		(134.2)		-		-		-		(134.2)		-		(134.2)
Dividends declared/paid to non-controlling
interests	-		-		-		-		-		-		(198.1)		(198.1)
Issue of shares to non-controlling interests	-		-		-		-		-		-		0.3		0.3
Change in shareholding	-		(14.3)		-		-		-		(14.3)		(21.5)		(35.8)
Others	-		-		-		-		-		-		(1.0)		(1.0)
Balance at 30th June	1,381.0		7,012.9		403.5		(1,848.5)		(31.0)		6,917.9		8,454.0		15,371.9
2020
Balance at 1st January	1,381.0		6,720.0		403.4		(1,611.0)		(33.3)		6,860.1		8,124.4		14,984.5
Total comprehensive income	-		299.3		-		(152.1)		(25.3)		121.9		274.1		396.0
Dividends declared by the Company	-		(265.1)		-		-		-		(265.1)		-		(265.1)
Dividends declared/paid to non-controlling
interests	-		-		-		-		-		-		(110.9)		(110.9)
Issue of shares to non-controlling interests	-		-		-		-		-		-		0.8		0.8
Others	-		1.3		-		-		(1.3)		-		-		-
Balance at 30th June	1,381.0		6,755.5		403.4		(1,763.1)		(59.9)		6,716.9		8,288.4		15,005.3

Jardine Cycle & Carriage Limited Company Balance Sheet at 30th June 2021

				At		At
		Note		30.06.2021		31.12.2020
				US$m		US$m
Non-current assets
Property, plant and equipment				33.6		34.1
Interests in subsidiaries				1,423.6		1,412.2
Interests in associates and joint ventures				981.3		998.2
Non-current investment				254.1		223.0
				2,692.6		2,667.5
Current assets
Current debtors				1,141.6		1,157.0
Bank balances and other liquid funds				-		46.5
				1,141.6		1,203.5
Total assets				3,834.2		3,871.0
Non-current liabilities
Non-current borrowings				1,547.5		-
Deferred tax liabilities				6.2		6.3
				1,553.7		6.3
Current liabilities
Current creditors				64.1		65.2
Current borrowings				15.2		1,569.1
Current tax liabilities				1.6		1.8
				80.9		1,636.1
Total liabilities				1,634.6		1,642.4
Net assets				2,199.6		2,228.6
Equity
Share capital		9		1,381.0		1,381.0
Revenue reserve		10		480.6		471.7
Other reserves		11		338.0		375.9
Total equity				2,199.6		2,228.6

Jardine Cycle & Carriage Limited Company Statement of Comprehensive Income for the six months ended 30th June 2021

	2021		2020
	US$m		US$m
Profit/(loss) for the year	143.1		(61.4)
Items that may be reclassified subsequently to profit or loss:
Translation difference
- loss arising during the year	(37.9)		(81.2)
Other comprehensive expense for the year	(37.9)		(81.2)
Total comprehensive income/(expense) for the year	105.2		(142.6)

Jardine Cycle & Carriage Limited Company Statement of Changes in Equity for the six months ended 30th June 2021

	Share		Revenue		Translation		Total
	capital		reserve		reserve		equity
	US$m		US$m		US$m		US$m
2021
Balance at 1st January	1,381.0		471.7		375.9		2,228.6
Total comprehensive income/ (expense)	-		143.1		(37.9)		105.2
Dividends paid	-		(134.2)		-		(134.2)
Balance at 30th June	1,381.0		480.6		338.0		2,199.6
2020
Balance at 1st January	1,381.0		683.6		338.0		2,402.6
Total comprehensive income/ (expense)	-		(61.4)		(81.2)		(142.6)
Dividends paid	-		(265.1)		-		(265.1)
Balance at 30th June	1,381.0		357.1		256.8		1,994.9

Jardine Cycle & Carriage Limited Consolidated Statement of Cash Flows for the six months ended 30th June 2021

			2021		2020
	Note		US$m		US$m
Cash flows from operating activities
Cash generated from operations	15		1,513.5		1,170.8
Interest paid			(75.5)		(101.2)
Interest received			63.1		44.5
Other finance costs paid			(14.8)		(42.3)
Income tax paid			(168.9)		(228.0)
			(196.1)		(327.0)
Dividends received from associates and joint ventures (net)			226.7		49.5
			30.6		(277.5)
Net cash flows from operating activities			1,544.1		893.3
Cash flows from investing activities
Sale of intangible assets			-		0.6
Sale of property, plant and equipment			18.2		23.0
Sale of subsidiaries, net of cash disposed			-		0.5
Sale of associates and joint ventures			-		1,138.3
Sale of investments			131.9		187.6
Purchase of intangible assets			(55.9)		(49.4)
Additions to right-of-use assets			(7.0)		(7.7)
Purchase of property, plant and equipment			(122.7)		(164.7)
Purchase of investment properties			(0.9)		(5.6)
Additions to bearer plants			(15.5)		(16.0)
Purchase of subsidiaries, net of cash acquired			-		(0.1)
Purchase of associates and joint ventures			(26.3)		(23.9)
Purchase of investments			(217.0)		(213.2)
Net cash flows used in investing activities			(295.2)		869.4
Cash flows from financing activities
Drawdown of loans (1)			3,271.1		1,188.3
Repayment of loans (1)			(3,419.0)		(1,694.3)
Principal elements of lease payments			(45.4)		(47.3)
Changes in controlling interests in subsidiaries			(35.8)		-
Investments by non-controlling interests			0.3		0.8
Dividends paid to non-controlling interests			(191.0)		(22.0)
Dividends paid by the Company			(134.2)		-
Net cash flows used in financing activities			(554.0)		(574.5)
Net change in cash and cash equivalents			694.9		1,188.2
Cash and cash equivalents at the beginning of the year			3,497.6		1,843.4
Effect of exchange rate changes			(79.2)		9.0
Cash and cash equivalents at the end of the year (2)			4,113.3		3,040.6

(1)  The increase in drawdown and repayment of loans includes the refinancing effect of the Company's borrowings from current liabilities to non-current liabilities .

(2)  For the purpose of the Consolidated Statement of Cash Flows, cash and cash equivalents comprise deposits with bank and financial institutions, bank and cash balances, net of bank overdrafts. In the balance sheet, bank overdrafts are included under current borrowings.

Jardine Cycle & Carriage Limited Notes to the financial statements for the six months ended 30th June 2021

1  Basis of preparation

The condensed interim financial statements for the six months ended 30th June 2021 have been prepared in accordance with IAS 34 Interim Financial Reporting. The condensed interim financial statements do not include all the information required for a complete set of financial statements. However, selected explanatory notes are included to explain events and transactions that are significant to an understanding of the changes in the Group's financial position and performance of the Group since the last annual financial statements for the year ended 31 December 2020.  There have been no changes to the accounting policies described in the 2020 audited accounts which have been prepared in accordance with Singapore Financial Reporting Standards (International) ("SFRS(I)") and International Financial Reporting Standards ("IFRS"), except for the adoption of new and amended standards as set out below. The Group has not early adopted any other standard or amendments that have been issued but not yet effective. 

The exchange rates used for translating assets and liabilities at the balance sheet date are US$1=S$ 1.3444 (2020: US$1=S$ 1.3216 ), US$1=RM 4.1552   (2020: US$1=RM 4.0245 ), US$1=IDR 14,496 (2020: US$1=IDR 14,105 ), US$1=VND 23,013 (2020: US$1=VND 23,086 ) and US$1=THB 32.056 (2020: US$1= THB 29.920 ).

The exchange rates used for translating the results for the period are US$1=S$ 1.3328 (2020: US$1=S$ 1.4011 ), US$1=RM 4.1096 (2020: US$1=RM 4.2694 ), US$1=IDR 14,360 (2020: US$1=IDR 14,786 ), US$1=VND 23,042 (2020: US$1=VND 23,335 ) and US$1=THB 31.016 (2020: US$1=THB 31.735 ).

Interpretations and amendments to published standard effective in 2021

On 1st January 2021, the Group has adopted the new or amended IFRS and Interpretations of IFRS that are mandatory for application for the financial year. Changes to the Group's accounting policies have been made as required, in accordance with the transitional provisions in the respective IFRS and Interpretations of IFRS.

The adoption of these new or amended IFRS and Interpretations of IFRS did not result in substantial changes to the Group's accounting policies and had no material effect on the amounts reported for the current or prior financial years.

Interest Rate Benchmark Reform - Phase 2: Amendments to IFRS 9, IAS 39, IFRS 7, IFRS 4 and IFRS 16 (effective from 1st January 2021)

The amendments provide a number of practical expedients as a result of the reform which affect the measurement of financial assets, financial liabilities and lease liabilities, and a number of reliefs for hedging relationships. The adoption of these amendments does not have a significant impact on the Group's consolidated financial statements.

COVID-19 Related Rent Concessions beyond 30th June 2021: Amendment to IFRS 16 Leases (effective from 1st April 2021)

The Group adopted and applied the practical expedient of the Covid-19 Related Rent Concessions: Amendment to IFRS 16 Leases, published in June 2020 ("2020 amendment"), in the 2020 annual financial statements. The 2021 amendment extends the practical expedient in the 2020 amendment to eligible lease payments due on or before 30th June 2022. By using the 2021 amendment, the Group continues to apply the practical expedient consistently to all lease contracts with similar characteristics and in similar circumstances, and does not assess these concessions as lease modifications.

Critical accounting estimates and judgements

The preparation of the condensed interim financial statements require management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expense. Actual results may differ from these estimates.

In preparing these condensed consolidated interim financial statements, the significant judgements made by management in applying the Group's accounting policies and the key sources of estimation uncertainty were the same as those that applied to the consolidated financial statements for the year ended 31 December 2020.

2  Revenue

			Direct
			Motor
	Astra		Interests		Total
	US$m		US$m		US$m
Group
2021
Property	24.2		-		24.2
Motor vehicles	2,988.7		803.3		3,792.0
Financial services	839.1		-		839.1
Heavy equipment, mining, construction and energy	2,592.6		-		2,592.6
Others	1,039.1		-		1,039.1
	7,483.7		803.3		8,287.0
From contracts with customers:
Recognised at a point in time	6,433.4		769.9		7,203.3
Recognised over time	108.4		32.3		140.7
	6,541.8		802.2		7,344.0
From other sources:
Rental income from investment properties	6.0		-		6.0
Revenue from financial services companies	839.1		-		839.1
Others	96.8		1.1		97.9
	941.9		1.1		943.0
	7,483.7		803.3		8,287.0
2020
Property	36.8		-		36.8
Motor vehicles	2,169.0		514.0		2,683.0
Financial services	716.7		-		716.7
Heavy equipment, mining, construction and energy	2,244.9		-		2,244.9
Others	913.2		-		913.2
	6,080.6		514.0		6,594.6
From contracts with customers:
Recognised at a point in time	5,147.6		487.0		5,634.6
Recognised over time	123.3		26.4		149.7
	5,270.9		513.4		5,784.3
From other sources:
Rental income from investment properties	4.8		-		4.8
Revenue from financial services companies	712.8		-		712.8
Others	92.1		0.6		92.7
	809.7		0.6		810.3
	6,080.6		514.0		6,594.6

3  Net operating costs and operating profit

													Group
						2021									2020		Change
						US$m									US$m		%
Cost of sales						(6,582.0)									(5,155.5)		28
Other operating income						118.4									553.3		-79
Selling and distribution expenses						(408.7)									(425.6)		-4
Administrative expenses						(540.6)									(524.3)		3
Other operating expenses						(209.7)									(98.7)		>100
Net operating costs						(7,622.6)									(5,650.8)		35
Operating profit is determined after including:
Amortisation/depreciation of
- intangible assets						(66.1)									(61.9)		7
- right-of-use assets						(74.1)									(74.1)		-
- property, plant and equipment						(367.0)									(390.3)		-6
- bearer plants						(13.7)									(13.0)		5
(Impairment)/write-back of
- intangible assets						-									(0.2)		> -100
- property, plant and equipment						(0.4)									(0.6)		-33
- debtors						(95.4)									(133.3)		-28
Fair value gain/(loss) on
- investments (1)						(123.2)									(24.5)		>100
- agricultural produce						3.5									(3.2)		nm
- derivative not qualifying as hedge															1.4		> -100
- livestock						3.4									-		nm
Profit/(loss) on disposal of:
- property, plant and equipment						11.1									17.2		-35
- associates and joint ventures (2)						-									417.9		> -100
- investments						1.7									3.9		-56
Loss on disposal/write-down of receivables from
collateral vehicles						(35.1)									(27.3)		29
Write-down of stocks, net						(0.5)									(11.4)		-96
Net exchange gain/(loss) (3)						(26.9)									(54.2)		-50
Dividend and interest income from investments						41.0									36.0		14

 nm - not meaningful

(1) Fair value gain/(loss) relates mainly to equity investments in Vinamilk and Toyota Motor Corporation

(2) Profit on disposal of associates and joint ventures in 2020 relates mainly to the sale of Permata Bank

(3) Net loss relates mainly to the impact of revaluing monetary liabilities denominated in US dollars

4  Tax

The provision for income tax is based on the statutory tax rates of the respective countries in which the companies operate after taking into account non-deductible expenses and group tax relief.

5  Dividends

An interim dividend in respect of 2021 of US¢18 (2020: US¢9) per share amounting to a total of US$71.1 million (2020: US$35.4 million) is declared by the Board. These financial statements do not reflect this dividend payable, which will be accounted for in shareholders' equity as an appropriation of retained earnings in the six months ended 30th June 2021.

Group and Company
	2021		2020
	US$m		US$m
Final one-tier tax exempt dividend in respect of previous year of
US¢34 per share  (2020: in respect of 2019 of US¢69)	134.2		265.1

6  Earnings per share

						Group
					2021			2020
					US$m			US$m
Basic earnings per share
Profit attributable to shareholders					226.3			300.9
Weighted average number of ordinary shares in issue (millions)					395.2			395.2
Basic earnings per share					US¢57			US¢76
Diluted earnings per share					US¢57			US¢76
Underlying earnings per share
Underlying profit attributable to shareholders					346.5			137.7
Weighted average number of ordinary shares in issue (millions)					395.2			395.2
Basic underlying earnings per share					US¢88			US¢35
Diluted underlying earnings per share					US¢88			US¢35

As at 30th June 2020 and 2021, there were no dilutive potential ordinary shares in issue.

A reconciliation of the profit attributable to shareholders and underlying profit attributable to shareholders is as follows:

						Group
					2021			2020
					US$m			US$m
Profit attributable to shareholders					226.3			300.9
Less: Non-trading items (net of tax and non-controlling interests)
Fair value changes of agricultural produce					2.2			(1.0)
Fair value changes of investments					(122.4)			(22.7)
Net gain on disposal of interests in associates and
joint ventures					-			188.3
Share of joint venture's gain on sale of financial asset					-			0.3
Others					-			(1.7)
					(120.2)			163.2
Underlying profit attributable to shareholders					346.5			137.7

  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, agricultural produce and equity investments which are measured at fair value through profit and loss; gains and losses arising from the sale of businesses, investments and properties; impairment of non-depreciable intangible assets and other investments; provisions for 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 the Group's underlying business performance.

7  Financial Instruments

Financial instruments by category

The fair values of financial assets and financial liabilities, together with carrying amounts at   30th June 2021 and 31st December 2020 are as follows:

			Fair
			value
			through		Fair value		Financial
	Fair value of		profit		through other		assets at		Other		Total
	hedging		and		comprehensive		amortised		financial		carrying		Fair
	instruments		loss		income		costs		liabilities		amount		value
	US$m		US$m		US$m		US$m		US$m		US$m		US$m
At 30.06.2021
Financial assets
measured at fair value
Other investments
- equity investments	-		1,516.3		-		-		-		1,516.3		1,516.3
- debt investments	-		-		729.2		-		-		729.2		729.2
Derivative financial
instruments	28.7		-		-		-		-		28.7		28.7
	28.7		1,516.3		729.2		-		-		2,274.2		2,274.2
Financial assets not
measured at fair value
Debtors	-		-		-		6,902.9		-		6,902.9		6,952.3
Bank balances	-		-		-		4,113.3		-		4,113.3		4,113.3
	-		-		-		11,016.2				11,016.2		11,065.6
Financial liabilities
measured at fair value
Derivative financial
instruments	(50.7)		-		-		-		-		(50.7)		(50.7)
Contingent consideration
payable	-		(8.8)		-		-		-		(8.8)		(8.8)
	(50.7)		(8.8)		-		-		-		(59.5)		(59.5)
Financial liabilities not
measured at fair value
Borrowings excluding
lease liabilities	-		-		-		-		(6,902.3)		(6,902.3)		(5,383.4)
Lease liabilities	-		-		-		-		(125.7)		(125.7)		(125.7)
Creditors excluding
non-financial liabilities	-		-		-		-		(2,707.5)		(2,707.5)		(2,707.5)
	-		-		-		-		(9,735.5)		(9,735.5)		(8,216.6)
At 31.12.2020
Financial assets
measured at fair value
Other investments
- equity investments	-		1,647.0								1,647.0		1,647.0
- debt investments	-		-		697.3						697.3		697.3
Derivative financial
instruments	9.3		1.6		-		-		-		10.9		10.9
	9.3		1,648.6		697.3		-		-		2,355.2		2,355.2
Financial assets not
measured at fair value
Debtors	-		-		-		6,621.3		-		6,621.3		6,832.5
Bank balances	-		-		-		3,497.6		-		3,497.6		3,497.6
	-		-		-		10,118.9		-		10,118.9		10,330.1
Financial liabilities
measured at fair value
Derivative financial
instruments	(168.7)		(0.1)		-		-		-		(168.8)		(168.8)
Contingent consideration
payable			(8.8)		-		-		-		(8.8)		(8.8)
	(168.7)		(8.9)		-		-		-		(177.6)		(177.6)
Financial liabilities not
measured at fair value
Borrowings excluding
lease liabilities	-		-		-		-		(7,125.0)		(7,125.0)		(7,107.5)
Lease liabilities	-		-		-		-		(144.9)		(144.9)		(144.9)
Creditors excluding
non-financial liabilities	-		-		-		-		(2,232.7)		(2,232.7)		(2,232.7)
	-		-		-		-		(9,502.6)		(9,502.6)		(9,485.1)

Fair value estimation

a)  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:

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

The fair values of listed securities and bonds are 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.

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 and forward foreign exchange contracts are calculated by reference to the market interest rates and foreign exchange rates.

Inputs for the asset or liability that are not based on observable market data ("unobservable inputs")

The fair values of other unlisted equity investments are determined using valuation techniques by reference to observable current market transactions or the market prices of the underlying investments with certain degree of entity-specific estimates or discounted cash flows by projecting the cash inflows from these investments.

There were no changes in valuation techniques during the year.

The table below analyses the Group's financial instruments carried at fair value, by the levels in the fair value measurement hierarchy.

	Quoted		Observable
	prices in		current
	active		market		Unobservable
	markets		transactions		inputs		Total
	US$m		US$m		US$m		US$m
At 30.06.2021
Assets
Other investments
- equity investments	1,162.3		-		354.0		1,516.3
- debt investments	729.2		-		-		729.2
	1,891.5		-		354.0		2,245.5
Derivative financial instruments at fair value
- through other comprehensive income	-		28.7		-		28.7
- through profit and loss	-		-		-		-
	1,891.5		28.7		354.0		2,274.2
Liabilities
Contingent consideration payable	-		-		(8.8)		(8.8)
Derivative financial instruments at fair value
- through other comprehensive income	-		(50.7)		-		(50.7)
- through profit and loss	-		-		-		-
	-		(50.7)		-		(50.7)
	-		(50.7)		(8.8)		(59.5)

	Quoted		Observable
	prices in		current
	active		market		Unobservable
	markets		transactions		inputs		Total
	US$m		US$m		US$m		US$m
At 31.12.2020
Assets
Other investments
- equity investments	1,320.7		-		326.3		1,647.0
- debt investments	697.3		-		-		697.3
	2,018.0		-		326.3		2,344.3
Derivative financial instruments at fair value
- through other comprehensive income	-		9.3		-		9.3
- through profit and loss	-		1.6		-		1.6
	2,018.0		10.9		326.3		2,355.2
Liabilities
Contingent consideration payable	-		-		(8.8)		(8.8)
Derivative financial instruments at fair value
- through other comprehensive income	-		(168.7)		-		(168.7)
- through profit and loss	-		(0.1)		-		(0.1)
	-		(168.8)		-		(168.8)
	-		(168.8)		(8.8)		(177.6)

There were no transfers among the three categories during the six months ended 30th June 2021 and the year ended 31st December 2020.

b)  Financial instruments that are not measured at fair value

The fair values of current debtors, bank balances and other liquid funds, current creditors, current borrowings and current lease liabilities of the Group and the Company 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 disclosed are based on market prices or are estimated using the expected future payments discounted at market interest rates. The fair values of non-current lease liabilities are estimated using the expected future payments discounted at market interest rates.

8  Borrowings

						Group
					At			At
					30.06.2021			31.12.2020
					US$m			US$m
Long-term borrowings:
- secured					41.4			391.6
- unsecured					4,072.8			2,573.7
					4,114.2			2,965.3
Current borrowings:
- secured					270.8			443.1
- unsecured					2,517.3			3,716.6
					2,788.1			4,159.7
Total borrowings					6,902.3			7,125.0

Certain subsidiaries of the Group have pledged their assets in order to obtain bank facilities from financial institutions. The value of assets pledged was US$ 157.9 million (31st December 2020: US$ 295.6   million).

9  Share capital

						Group
					2021			2020
					US$m			US$m
Six months ended 30th June
Issued and fully paid:
Balance at 1st January and 30th June
- 395,236,288 (2020: 395,236,288) ordinary shares					1,381.0			1,381.0

There were no rights, bonus or equity issues during the period.

The Company did not hold any treasury shares as at 30th June 2021 ( 30th June 2020: Nil) and did not have any unissued shares under convertibles as at 30th June 2021 ( 30th June 2020: Nil).

There were no subsidiary holdings (as defined in the Listing Rules of the SGX-ST) as at 30th June 2021 ( 30th June 2020: Nil).

10  Revenue reserve

				Group					Company
		2021				2020			2021		2020
		US$m				US$m			US$m		US$m
Movements :
Balance at 1st January		6,937.7				6,720.0			471.7		683.6
Defined benefit pension plans
- remeasurements		(1.6)				(0.3)			-		-
- deferred tax		0.2				(0.2)			-		-
Share of associates' and joint ventures' remeasurements
of defined benefit pension plans, net of tax		(1.2)				(1.1)			-		-
Profit/(loss) attributable to shareholders		226.3				300.9			143.1		(61.4)
Dividends paid by the Company		(134.2)				(265.1)			(134.2)		(265.1)
Change in shareholding		(14.3)				-			-		-
Others		-				1.3			-		-
Balance at 30th June		7,012.9				6,755.5			480.6		357.1

11  Other reserves

					Group						Company
		2021				2020			2021				2020
		US$m				US$m			US$m				US$m
Composition :
Asset revaluation reserve		403.5				403.4			-				-
Translation reserve		(1,848.5)				(1,763.1)			338.0				256.8
Fair value reserve		12.8				8.4			-				-
Hedging reserve		(47.1)				(71.6)			-				-
Other reserve		3.3				3.3			-				-
Balance at 30th June		(1,476.0)				(1,419.6)			338.0				256.8
Movements :
Asset revaluation reserve
Balance at 1st January		403.4				403.4			-				-
Revaluation of tangible assets
before reclassification		0.1				-			-				-
Balance at 30th June		403.5				403.4			-				-
Translation reserve
Balance at 1st January		(1,683.7)				(1,611.0)			375.9				338.0
Translation difference		(164.8)				(151.9)			(37.9)				(81.2)
Translation reserve realised		-				(0.2)			-				-
Balance at 30th June		(1,848.5)				(1,763.1)			338.0				256.8
Fair value reserve
Balance at 1st January		18.5				12.2			-				-
Financial assets at FVOCI
- fair value changes		(5.0)				(1.4)			-				-
- deferred tax		0.1				-			-				-
- transfer to profit and loss		(0.8)				1.4			-				-
Share of associates' and joint ventures' fair value
changes of financial assets at FVOCI, net of tax		-				(2.5)			-				-
Others		-				(1.3)			-				-
Balance at 30th June		12.8				8.4			-				-
Hedging reserve
Balance at 1st January		(86.1)				(48.8)			-				-
Cash flow hedges
- fair value changes		34.4				(0.9)			-				-
- deferred tax		(7.1)				(1.1)			-				-
- transfer to profit and loss		-				1.4			-				-
Share of associates' and joint ventures' fair value
changes of cash flow hedges, net of tax		11.7				(22.2)			-				-
Balance at 30th June		(47.1)				(71.6)			-				-
Other reserve
Balance at 1st January and 30th June		3.3				3.3			-				-

12  Non-controlling interests

Group

	2021		2020
	US$m		US$m
Balance at 1st January	8,332.5		8,124.4
Financial assets at FVOCI
- fair value changes	(5.4)		(1.5)
- deferred tax	0.1		-
- transfer to profit and loss	(0.9)		1.2
	(6.2)		(0.3)
Share of associates' and joint ventures' fair value changes of
financial assets at FVOCI, net of tax	-		(2.4)
Cash flow hedges
- fair value changes	47.4		(10.7)
- deferred tax	(9.8)		0.3
- transfer to profit and loss	-		1.4
	37.6		(9.0)
Share of associates' and joint ventures' fair value changes of
cash flow hedges, net of tax	23.5		(51.5)
Defined benefit pension plans
- remeasurements	(2.9)		(0.4)
- deferred tax	0.5		(0.6)
	(2.4)		(1.0)
Share of associates' and joint ventures' remeasurements of
defined benefit pension plans, net of tax	(0.8)		(0.7)
Translation difference	(175.1)		(173.4)
Translation reserve realised	-		(0.1)
Profit for the year	465.2		512.5
Issue of shares to non-controlling interests	0.3		0.8
Dividends paid	(198.1)		(110.9)
Change in shareholding	(21.5)		-
Others	(1.0)		-
Balance at 30th June	8,454.0		8,288.4

13  Related party transactions

The following significant related party transactions took place during the six months ended 30th June:

									Group
						2021				2020
						US$m				US$m
(a)		With associates and joint ventures:
		Purchase of goods and services				(2,179.9)				(1,555.4)
		Sale of goods and services				541.2				407.9
		Commission and incentives earned				2.3				7.5
		Interest received				8.9				17.0
(b)		With related companies and
		associates of ultimate holding
		company:
		Management fees paid				(1.5)				(5.8)
		Purchase of goods and services				(1.6)				(2.3)
		Sale of goods and services				0.4				1.6
(c)		Remuneration of directors of the
		Company and key management
		personnel of the Group:
		Salaries and other short-term
		employee benefits				4.6				4.5

14  Commitments

C apital expenditure authorised for at the balance sheet date, but not recognised in the financial statements is as follows: 

							Group
					At				At
					30.06.2021				31.12.2020
					US$m				US$m
	Authorised and contracted				68.0				85.0
	Authorised but not contracted				219.8				249.0
					287.8				334.0

15  Cash flows from operating activities

						Group
					2021			2020
					US$m			US$m
Profit before tax					900.6			940.5
Adjustments for:
Financing income					(63.1)			(48.6)
Financing charges					90.5			143.2
Share of associates' and joint ventures' results after tax					(263.6)			(91.3)
Amortisation/depreciation of
- intangible assets					66.1			61.9
- right-of-use assets					74.1			74.1
- property, plant and equipment					367.0			390.3
- bearer plants					13.7			13.0
Impairment/(write-back of impairment) of
- intangible assets					-			0.2
- property, plant and equipment					0.4			0.6
- debtors					95.4			133.3
Fair value (gain)/loss on
- investment					123.2			24.5
- agricultural produce					(3.5)			3.2
- derivative not qualifying as hedge					-			(1.4)
- livestock					(3.4)			-
(Profit)/loss on disposal of:
- property, plant and equipment					(11.1)			(17.2)
- associate and joint venture					-			(417.9)
- investments					(1.7)			(3.9)
Loss on disposal/write-down of receivables from collateral vehicles					35.1			27.3
Amortisation of borrowing costs for financial services companies					4.4			4.6
Write-down of stocks					0.5			11.4
Changes in provisions					10.8			9.8
Foreign exchange loss					26.6			36.2
					561.4			353.3
Operating profit before working capital changes					1,462.0			1,293.8
Changes in working capital:
Properties for sale					4.1			5.1
Stocks					21.7			158.5
Concession rights					(3.7)			(5.1)
Financing debtors					(307.5)			(80.8)
Debtors (1)					(263.7)			703.2
Creditors (2)					590.2			(919.5)
Pensions					10.4			15.6
					51.5			(123.0)
Cash flows from operating activities					1,513.5			1,170.8

(1)  Increase in debtors balance mainly due to higher sales activities

(2)  Increase in creditors balance mainly due to higher trade purchases

16  Notes to consolidated statement of cash flows

(a)  Purchase of shares in associates and joint ventures

Purchase of shares in associates and joint ventures for the six months ended 30th June 2021 mainly included US$19.0 million for Astra's investment in PT Marga Lingkar, a toll road operator in Indonesia and US$7.2 million for additional purchase of shares in Refrigeration Electrical Engineering Corporation.

Purchase of shares in associates and joint ventures for the six months ended 30th June 2020 mainly included US$23.9 million as payment for deferred consideration in PT Jasamarga Surabaya Mojokerto, a toll road operator in Indonesia.

(b)  Sale of associates and joint ventures

There were no associates and joint ventures disposed of in the six months ended 30th June 2021.

Sale of associates and joint ventures for the six months ended 30th June 2020 mainly included US$1,135.8 million received from the sale of Astra's 44.6% interest in Permata Bank.

(c)  Changes in controlling interests in subsidiaries

Change in controlling interests of subsidiaries for the six months ended 2021 included an outflow of US$17.0 million and US$18.8 million for acquisition of additional interests in Cycle and Carriage Bintang Berhad and Republic Auto Pte Ltd, respectively.

There were no changes in controlling interests of subsidiaries for the six months ended 30th June 2020.

17  Segment Information

Operating segments are identified on the basis of internal reports about components of the Group that are regularly reviewed by the Board for the purpose of resource allocation and performance assessment. The Board considers Astra as one operating segment because it represents a single direct investment made by the Company. Decisions for resource allocation and performance assessment of Astra are made by the Board of the Company while resource allocation and performance assessment of the various Astra businesses are made by the board of Astra, taking into consideration the opinions of the Board of the Company. Direct Motor Interests are aggregated into one reportable segment based on the similar automotive nature of their products and services, while Other Strategic Interests, comprising the Group's strategic investment portfolio, are aggregated into another reportable segment based on their exposure to market-leading companies in key regional economies. Set out below is an analysis of the segment information. 

Underlying businesses performance
				Direct				Other								Non-
				Motor				Strategic				Corporate				trading
	Astra			Interests				Interests				costs				items				Group
	US$m			US$m				US$m				US$m				US$m				US$m
For six months ended 30.06.2021
Revenue	7,483.7			803.3				-				-				-				8,287.0
Net operating costs	(6,714.7)			(773.8)				10.5				(28.2)				(116.4)				(7,622.6)
Operating profit	769.0			29.5				10.5				(28.2)				(116.4)				664.4
Financing income	62.9			0.2				-				-				-				63.1
Financing charges	(81.5)			(1.0)				-				(8.0)				-				(90.5)
Net financing charges	(18.6)			(0.8)				-				(8.0)				-				(27.4)
Share of associates' and joint
ventures' results after tax	201.4			5.0				57.2				-				-				263.6
Profit before tax	951.8			33.7				67.7				(36.2)				(116.4)				900.6
Tax	(199.5)			(6.1)				(1.4)				(0.7)				(1.4)				(209.1)
Profit after tax	752.3			27.6				66.3				(36.9)				(117.8)				691.5
Non-controlling interests	(458.9)			(3.9)				-				-				(2.4)				(465.2)
Profit attributable to
shareholders	293.4			23.7				66.3				(36.9)				(120.2)				226.3
As at 30.06.2021
Net cash/(debt) (excluding
net debt of financial
services companies)	1,503.4			86.0				-				(1,549.5)								39.9
Total equity	14,173.9			282.4				1,381.2				(465.6)								15,371.9
For six months ended 30.06.2020
Revenue	6,080.6			514.0				-				-				-				6,594.6
Net operating costs	(5,491.0)			(514.8)				11.8				(47.0)				390.2				(5,650.8)
Operating profit	589.6			(0.8)				11.8				(47.0)				390.2				943.8
Financing income	48.3			0.2				-				0.1				-				48.6
Financing charges	(127.4)			(1.9)				-				(13.9)				-				(143.2)
Net financing charges	(79.1)			(1.7)				-				(13.8)				-				(94.6)
Share of associates' and joint
ventures' results after tax	73.8			1.5				17.4				-				(1.4)				91.3
Profit before tax	584.3			(1.0)				29.2				(60.8)				388.8				940.5
Tax	(123.2)			(0.2)				(1.4)				(0.6)				(1.7)				(127.1)
Profit after tax	461.1			(1.2)				27.8				(61.4)				387.1				813.4
Non-controlling interests	(289.5)			0.9				-				-				(223.9)				(512.5)
Profit attributable to
shareholders	171.6			(0.3)				27.8				(61.4)				163.2				300.9
As at 31.12.2020
Net cash/(debt) (excluding
net debt of financial
services companies)	626.4			39.1				-				(1,519.0)								(853.5)
Total equity	13,953.3			282.7				1,366.6				(296.0)								15,306.6

Segment assets and liabilities are not disclosed as these are not regularly provided to the Board of the Company.

Set out below are analyses of the Group's revenue and non-current assets, by geographical areas:

							Indonesia		Other		Total
							US$m		US$m		US$m
Non-current assets as at
30.06.2021							10,019.5		1,547.7		11,567.2
31.12.2020							10,414.8		1,539.2		11,954.0

Non-current assets excluded financial instruments and deferred tax assets. Indonesia is disclosed separately as a geographical area as most of the customers are based in Indonesia.

18  Interested person transactions

			Aggregate value		Aggregate value
			of all interested		of all interested
			person		person
			transactions		transactions
			(excluding		conducted under
			transactionsless		Shareholders'
			than S$100,000		mandate
			and transactions		pursuant to Rule 920 (excluding
			conducted under		transactions less
			shareholders'		than S$100,000)
			mandate
			pursuant to
			Rule 920)
Name of interested person and	Nature of relationship		US$m		US$m
nature of transaction
Six months ended 30th June 2021
Jardine Matheson Limited	Associate of the Company's
- management support services	controlling shareholder		-		1.4
Jardine Matheson & Co., Ltd	Associate of the Company's
- human resource and	controlling shareholder
administration services			-		0.2
Jardine International Motors Limited	Associate of the Company's
- management consultancy services	controlling shareholder		1.1		-
Jardine International Motors (S)	Associate of the Company's
Pte. Limited	controlling shareholder
- management consultancy services			0.1		-
Jardine Matheson Limited /	Associate of the Company's
Jardine Matheson (Singapore) Ltd	controlling shareholder
-  Digital and innovation services			1.3		-
Jardine Engineering (S) Pte Ltd	Associate of the Company's
- Air conditioner maintenance services	controlling shareholder		-		0.3
Zung Fu Company Ltd	Associate of the Company's
- human resource capital	controlling shareholder
management services			-		0.1
Spouse of Michael Kok Pak Kuan	Director of the Company
- purchase of a motor vehicle			0.2		-
			2.7		2.0

19  Additional information

						Group
					2021			2020	Change
					US$m			US$m	%
Astra International
Automotive					108.6			15.7	> 100
Financial services					74.3			69.8	6
Heavy equipment, mining, construction & energy					95.7			82.4	16
Agribusiness					15.9			11.6	37
Infrastructure & logistics					3.2			(7.0)	nm
Information technology					0.5			0.5	-
Property					2.9			2.4	21
					301.1			175.4	72
Less: Withholding tax on dividend					(7.7)			(3.8)	> 100
					293.4			171.6	71
Direct Motor Interests
Singapore					19.3			1.4	> 100
Malaysia					0.2			(2.6)	nm
Myanmar					(1.9)			(1.5)	27
Indonesia (Tunas Ridean)					6.9			3.0	> 100
Less: central overheads					(0.8)			(0.6)	33
					23.7			(0.3)	nm
Other Strategic Interests
Siam City Cement					13.7			11.5	19
Refrigeration Electrical Engineering					5.5			3.2	72
Vinamilk					10.5			11.8	( 11)
Truong Hai Auto Corporation
- automotive					34.4			4.1	> 100
- real estate					4.6			1.2	> 100
- agriculture					(2.4)			(4.0)	( 40)
					36.6			1.3	> 100
					66.3			27.8	> 100
Corporate costs
Central overheads					(10.9)			(9.1)	20
Dividend income from other investments					3.0			2.7	11
Net financing charges					(7.9)			(13.8)	( 43)
Exchange differences					(21.1)			(41.2)	( 49)
					(36.9)			(61.4)	( 40)
Underlying profit attributable to shareholders					346.5			137.7	> 100

20  Dividend and closure of books  

The Board has declared an interim one-tier tax exempt dividend of US¢18 per share (2020: US¢9 per share).

NOTICE IS HEREBY GIVEN that the Transfer Books and the Register of Members of the Company will be closed from 5.00 p.m. on Tuesday, 31st August 2021 (" Record Date") up to, and including Wednesday, 1st September 2021 for the purpose of determining shareholders' entitlement to the interim dividend.

Duly completed transfers of shares of the Company in physical scrip received by the Company's Share Registrar, M & C Services Private Limited at 112 Robinson Road #05-01, Singapore 068902 up to 5.00 p.m. on the Record Date will be registered before entitlements to the interim dividend are determined.  Shareholders (being Depositors) whose securities accounts with The Central Depository (Pte) Limited are credited with shares of the Company as at 5.00 p.m. on the Record Date will rank for the interim dividend.

The interim dividend will be paid on Thursday, 30th September 2021.

21  Subsequent Events

  No significant event or transaction other than as contained in this report has occurred between 1st July 2021 and the date of this report

22  Others

The results do not include any pre-acquisition profits and have not been affected by any item, transaction or event of a material or unusual nature other than the non-trading items shown in Note 6 of this report.

The Company confirms that it has procured undertakings from all its directors and executive officers under Rule 720(1) of the Listing Rules of the SGX-ST.

- end -

For further information, please contact:

Jardine Cycle & Carriage Limited

Jeffery Tan Eng Heong

Tel: [phone]

The full text of the Financial Statements and Dividend Announcement for the half year ended 30th June 2021 can be accessed through the internet at 'www.jcclgroup.com'.

 

END

 

 

IR EASXNAALFEEA