Recorded a turnaround in profit in the first half of 2019; Profit attributable to owners of the Company was MOP 1.1 million

Theaggregate awarded contract sum of the new fitting-out projects amounted to approximately MOP 174.2 million, representing an increase of 1.9 times year onyear

Optimisticabout the future development and activelyparticipate in the development of the Greater Bay Area

Financial Performance:

HONG KONG, CHINA - Media OutReach - 28 August 2019 - Lai Si Enterprise Holding Limited ("Lai Si Enterprise" or the"Group"; SEHK stock code: 2266), a leading commercial property fit-out andconstruction contractor in Macau, announced today its interim results for the sixmonths ended 30 June 2019.

In first half of 2019, theGroup's revenue grew significantly by 41.7% to approximately MOP 100.9 million.In which, fitting-out works, construction works, and repair and maintenanceservices amounted to 91.3%, 5.7% and 3.0% of the Group's total revenue. Grossprofit margin went up by 6.4 percentage points to 21.5%. The increase in grossprofit margin was mainly attributable to higher gross profit margin fromfitting-out works. The Group recorded a turnaround in profit and profit attributable to owners of the Company was approximately MOP 1.06 millionin the first half of 2019, as compared the loss attributable to owners of theCompany of approximately MOP 9.91 million in same period last year.

In addition, in the first half of 2019,the total value for the new fitting-out projects awarded to the Group,representing the aggregate awarded contract sum, amounted to approximately MOP174.2 million as compared to same period in 2018 of approximately MOP 59.1million. As at 30 June 2019, the Group had an aggregate value of backlog forfitting-out projects and construction projects of approximately MOP 115.9 millionas compared to approximately MOP 46.2 million as at 30 June 2018.

In the first half of 2019, thevolume of fitting-out works in Macau's market was maintaining at a relativelylow level, primarily due to the slowdown of Macau's economic growth, as well asthe prolonged impact from the Sino-US trade dispute to the global economicenvironment. On top of that, the upcoming license renewals of casinos andhotels in Macau had resulted in the delay of several large gaming corporations'construction projects, and renovation projects are postponed one after anotherdue to an unexpectedly long process of review and approval of constructionproposals by Macau's governmental authorities.

On the other hand, the Group beganactively establishing oversea branches a few years ago. Growing increasinglydeveloped, the Hong Kong branch has already gained its foothold and receivedrecognition in Hong Kong's fitting-out market. Meanwhile, in view of the highmarket demand for fitting-out works in Southeast Asian countries and theregion, the Group intends to expand its business to those Southeast Asiancountries.

Inspections are actively undergoingat the moment. The Group expects to successfully secure new project developmentplans in Southeast Asian countries in the second half of 2019.

The Group has always been pursuinga diversified development of its business. Apart from the core business offitting-out works, the Group is searching for additional area of developmentand exploring other businesses, such as its growing catering business, as wellas retailing and trading business which are under planning. The Group believesthat engaging in such business sectors will bring additional contribution andopportunities to

the Company.

Mr. Lai Ieng Man, Chairman of Lai Si Enterprise, said, "The PRC governmentis now committed to the development of Guangdong-Hong Kong-Macau Greater BayArea with a plan to forge the Greater Bay Area into one of the best bay areasaround the globe which is suitable for living, career-development andtravelling. This planning policy favors the economic integration betweenGuangdong Province and the two Special Administrative Regions and an enhancedcooperation between Guangdong, Hong Kong and Macau, thus encouraging moreinvestment projects and commercial activities to take place in the Greater BayArea, which in turn provides driving force for the real estate market and drivesthe development in fitting-out and construction industries. Therefore, theGroup is optimistic about the future development of Guangdong-Hong Kong-MacauGreater Bay Area and will seize this opportunity to align ourselves with thenational planning strategy and actively participate in the development of theGreater Bay Area." 

About Lai Si Enterprise Holding Limited

Lai Si Enterprise is aleading commercial fit-out contractor in Macau. Its major businesses coverservices of fit-out works as an integrated fit-out contractor, constructionworks as a main contractor and repair and maintenance works, mainly in Macau.According to Frost & Sullivan, in terms of revenue, the Group was thesecond largest commercial fit-out contractor in Macau in 2015, with a marketshare of approximately 6.1%. The fit-out projects undertaken by the Group canbe broadly classified according to the types of customers, including hotels andcasinos, retail shops and restaurants, etc. The Group's construction servicesinclude general construction and heritage conservation. The Group also providesrepair and maintenance services for existing properties in Macau on ad-hocbasis and regular basis over a fixed period.