Financial Performance Review slide image

Financial Performance Review

Non-IFRS Adjustments Net (gains)/ Amortisation In billion RMB IFRS 2Q2023 SBC losses from investee companies1 of intangible assets Impairment provisions/ (reversals)² SSV & Others4 Tax effect СРР3 Non-IFRS 2Q2023 YoY change QoQ change Operating profit 40.3 5.6 (0.2) 0.9 0.1 0.4 3.0 50.1 +37% +4% Net profit 27.0 6.9 (0.3) 2.3 0.2 0.4 3.0 (0.9) 38.6 +33% +15% Net profit attributable to equity holders 26.2 6.7 (0.2) 2.1 0.2 0.4 3.0 (0.9) 37.5 +33% +15% Operating margin 27.0% 33.6% +6.2ppt +1.3ppt Net margin 18.1% 25.9% +4.3ppt +3.6ppt Note: 1. Including net (gains)/losses on deemed disposals/disposals of investee companies, fair value changes arising from investee companies, and other expenses in relation to equity transactions of investee companies. 2. Mainly including impairment provisions/(reversals) for associates, joint ventures, goodwill and other intangible assets arising from acquisitions. 3. Mainly including donations and expenses incurred for the Group's Sustainable Social Value & Common Prosperity Programme initiatives. 4. Primarily non-recurring compliance-related costs (including the fine imposed by the PBOC on Tenpay which was disclosed in our announcement dated 7 July 2023) and expenses incurred for certain litigation settlements of the Group 17
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