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1 ASX APPENDIX 4F The following information for Jack-In Group Limited ( JIP and the Company ) is provided under Listing Rule 4.4A of the listing rules of the Australian Securities Exchange ( ASX ). The financial information provided in this Appendix 4F covers the consolidated Group or the Group, comprising Jack-In Group Limited and all the subsidiaries that the Company controlled from 1 April 2016 to reporting date ( 2016). The Company has since changed its reporting date to 31 March of each financial period. The date of this Appendix 4F is 28 February The reporting period covers the financial period from 1 April 2016 to 2016 ( FPE 2016 ). The previous corresponding period is the financial period from 1 April 2015 to 2015 ( FPE 2015 ). The reporting currency is Malaysian Ringgit ( ). 2. Results for announcement to the Market: FPE 31 December 2016 ( 000) FPE 31 December 2015 ( 000) Movement ( 000) % movement Consolidated revenue from 177, ,773 76, % ordinary activities Consolidated profit from ordinary 5,493 5, % activities after tax attributable to owners of the Company Consolidated loss attributable to 2,353 5,387 (3,034) (56.3%) owners of the Company No dividends were paid during the FPE 2016 There is no record date for determining the dividend entitlement The explanation in relation to Section 2.1 to 2.3 are as follow The Group achieved consolidated revenue and profit from ordinary activities after tax attributable to owners of the Company of million and 5.49 million for the FPE The revenue of million represents an increase of million or 74.8% as compared to the revenue of million generated during the FPE The increase in Group s revenue was mainly attributable to higher number of completed project with higher contract value during the FPE 2016 as compared to FPE The decrease in the Group s consolidated profit from ordinary activities after tax attributable to owners of the Company was mainly attributable to reverse takeover exercise transaction costs and loss arising from Business Disposal as compared to FPE At present, the Group main operating segment is contributed solely from Malaysia. Taking into account on the revenue from Malaysia (as disclosed below) and excluding the non-recurring expenses incurred outside Malaysia, the Group s profit after taxation from Malaysia during the FPE 2016 represents an increase of 1.70 million or 31.6% as compared to the profit after taxation of 5.39 million during the FPE During the FPE 2016, the Company acquired the entire issued capital of Jack-In Holdings Pte Ltd ( JIH ) via a reverse takeover exercise ( RTO ). The purchase consideration was satisfied via issuance of 300,000,000 new shares of Oilfield Workforce Group Limited to JIH Vendor. In conjunction with the RTO, the Company disposed-off its existing business of operating an international turnkey manpower solutions to the oil and gas industry ( Business Disposal ). Taking into account on the RTO and Business Disposal, the consolidated profit from ordinary activities after tax attributable to owners of the Company is as set out below One-off and non-recurring costs FPE 2016 ( 000) RTO transaction costs (taken to P&L) 3,140 Total 3,140 Reported loss attributable to owners of the 2,353 Company Normalised gain 5,493 1

2 Taking into account on the Group s geographical segment, the financial results are as follow Group Malaysia Singapore Australia Elimination Total 2016 Revenue from external customers 177,905, ,905,721 Gross profit 21,299,452 21,299,452 Other income 405,821 3, ,504 Administrative expenses (10,185,196) (85,177) (10,270,373) Finance Costs (2,152,636) (2,152,636) RTO transaction costs (taken to P&L) (3,140,214) (3,140,214) Other expenses (2,303) (1,516,779) (1,519,082) Profit before taxation 9,365,138 (4,738,487) 4,626,651 Taxation (2,274,000) (2,274,000) Profit after taxation 7,091,138 (4,738,487) 2,352, The unaudited consolidated financial statements for the Group covering the FPE 2016 and the FPE 2015 are attached to this Appendix 4F. 4. No dividends were paid during the FPE 2016 or the FPE 2015, nor are any proposed as at the date of this Appendix 4F. 5. The Company does not have a Dividend Reinvestment Plan as at the date of this Appendix 4F. 6. The attached unaudited consolidated financial statements for the Group have been prepared in accordance with International Financial Reporting Standards ( IFRS ). Please refer to the Prospectus of the Company dated 18 November 2016 for the disclosure of accounting policies. 7. The attached unaudited consolidated financial statements for the Group will not be audited or reviewed. The next set of consolidated financial statements for the Group that will be audited will cover the 12- month period ending 31 March 2017, being the Company s revised balance date following the reverse takeover involving Oilfield Workforce Group Limited and Jack-In Holdings Pte Ltd. 8. The Board of Directors is not aware of any potential dispute or qualification in relation to its financial statement for the Group. 2

3 JACK-IN GROUP LIMITED (formerly OILFIELD WORKFORCE GROUP LIMITED) CONDENSED UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS FOR THE NINE-MONTH PERIOD ENDED 31 DECEMBER

4 CONTENTS 1) DIRECTORS STATEMENT 2 2) CONSOLIDATED STATEMENT OF FINANCIAL POSITOIN 5 3) CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME 6 4) CONSOLIDATED STATEMENT OF CHANGES IN EQUITY 7 5) CONSOLIDATED STATEMENT OF CASH FLOWS 9 6) NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 10 4

5 DIRECTORS STATEMENT The directors present their interim financial statements of Jack-In Group Limited ( the Company ) and its subsidiaries (together the Group ) for the nine-month financial period ended OPINION OF THE DIRECTORS In the opinion of the directors, a) the interim financial statements are drawn up so as to give a true and fair view of the financial position of the Company and of the Group as at 2016 and of the financial performance, changes in equity and cash flows of the Group for the nine month period ended on that date in accordance with the provisions of the Singapore Companies Act, chapter 50 and International Financial Reporting Standards: and b) at the date of this statement, there are reasonable grounds to believe that the Company will be able to pay its debts as and when they fall due The Board of Directors has, on the date of this statement, authorised these interim financial statements for issue. DIRECTORS The directors of the Company in office at the date of this report are: Mr H ng Bok Chuan (Chairman and Managing Director) Mr H ng Hup Choong (Executive Director) Mr Paul Kuan Chee Yeow (Executive Director) Mr Sim Seng Loong (Independent Non-Executive Director) Mr Leng Kean Yong (Independent Non-Executive Director) Mr Lee Teong Ghee (Independent Non-Executive Director) Mr Chan Kok Wei (Independent Non-Executive Director) SIGNIFICANT EVENTS DURING THE NINE-MONTH PERIOD During the nine-month period ended 2016, the Company had, on the 23 December 2016 completed the acquisition of the entire issued capital of Jack-In Holdings Pte Ltd ( JIH ), a private company incorporated in Singapore from JIH s shareholders ( JIH Vendor ) via a reverse takeover exercise ( RTO ). The purchase consideration was satisfied via issuance of 300,000,000 new shares of the Company to JIH Vendor. Upon completion of the acquisition, JIH Vendor obtained a majority share interest in the Company, comprises 74.58% of the Company share capital. In conjunction with the RTO, the Company had: a) issued 34,265,400 fully paid ordinary shares at AUD0.20 per share to raise AUD6,853,080 before costs; and b) Disposed-off its existing business of operating an international turnkey manpower solutions to the oil and gas industry ( Business Disposal ). 5

6 DIRECTORS STATEMENT SHARE OPTIONS No options were granted during the financial period to take up unissued shares of the Company. No shares were issued during the financial period to which this report by virtue of the exercise of options to take up unissued shares of the Company or any subsidiaries. There were no unissued shares of the Company or any subsidiaries under option at the end of the financial period. Signed in accordance with a resolution of the Directors. On Behalf of the Directors H ng Bok Chuan Chairman and Managing Director Paul Kuan Chee Yeow Executive Director Date 28 February

7 CONSOLIDATED STATEMENT OF FINANCIAL POSITION Note Group Non-current assets Property, plant and equipment 5 33,982,657 32,201,466 Investment Property 5 2,500,000 2,500,000 Total non-current assets 36,482,657 34,701,466 Current assets Gross amount due from customers 41,111,875 28,609,337 Trade receivables 6 95,839,772 61,586,184 Other receivables, deposits and prepayments 9,180,802 6,630,859 Tax recoverable 196, ,707 Fixed deposits with licensed banks 7 8,351,062 6,789,198 Cash and bank balances 26,875,371 1,116,081 Total current assets 181,555, ,928,366 Current liabilities Gross amount due to customers 18,042,842 18,285,169 Trade payables 85,964,950 48,752,660 Other payables, accruals and provision 9,381,220 4,640,657 Loans and borrowings 8 22,305,903 19,198,363 Provision for taxation 1,240, ,026 Total current liabilities 136,935,719 91,735,875 Net current assets 44,619,870 13,192,491 Non-current liabilities Loans and borrowings 8 10,969,846 12,310,003 Deferred tax liabilities 1,348,684 1,316,891 Total non-current liabilities 12,318,530 13,626,894 Net assets 68,783,997 34,267,063 Equity attributable to owners of the Company Share capital 9 92,272,833 5,000,000 Reserves (24,358,907) 778,496 Retained profits 870,071 28,488,569 68,783,997 34,267,063 Non-controlling interests Total equity 68,783,997 34,267,063 7

8 CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME Note Contract revenue ,905, ,772,954 Contract costs (156,606,269) (83,847,861) Attributable profit 21,299,452 17,925,093 Other income 409,504 2,182,626 Administrative expense (10,270,373) (10,894,722) Finance cost (2,152,636) (1,994,204) Other expenses (4,659,296) Profit before taxation 11 4,626,651 7,218,793 Taxation 12 (2,274,000) (1,831,516) Profit for the period 2,352,651 5,387,277 Attributable to: Owners of the Company 2,352,651 5,387,277 Non-controlling interests 2,352,651 5,387,277 Earnings per share attributable to owners of the Company ( cents per share) Other comprehensive income: Gain on revaluation of investment property 278,494 Total comprehensive income for the year 2,352,651 5,665,771 Attributable to: Owners of the Company 2,352,651 5,665,771 Non-controlling interests Total comprehensive income for the year 2,352,651 5,665,771 8

9 CONSOLIDATED STATEMENT OF CHANGES IN EQUITY Attributable to owners of the Company 2016 Share capital Other reserve Retained earnings Total share capital and reserves Noncontrolling interests Total equity Group Balance as of 1 April ,955, ,494 31,816,476 62,550,013 62,550,013 Profit for the year 2,352,651 2,352,651 2,352,651 Total comprehensive income for the year, net of tax 2,352,651 2,352,651 2,352,651 Contributions by and distributions to owners: Arising from restructuring exercise (26,810,446) (33,299,056) (60,109,502) (60,109,502) Issuance of new shares (Note 9) 63,445,222 63,445,222 63,445,222 Share issuance expenses (Note 9) (1,127,432) (1,127,432) (1,127,432) Others 1,673,045 1,673,045 1,673,045 Balance as of ,272,833 (24,358,907) 870,071 68,783,997 68,783,997 The accompanying notes form an integral part of these financial statements. 9

10 2015 Group CONSOLIDATED STATEMENT OF CHANGES IN EQUITY Attributable to owners of the Company Total Noncontrolling Share Retained share capital Total capital Other reserve earnings and reserves interests equity Balance as of 1 April ,000, ,000 23,101,292 28,601,292 28,601,292 Profit for the year 5,387,277 5,387,277 5,387,277 Gain on revaluation of investment property 278, , ,494 Total comprehensive income for the year, net of tax 278,494 5,387,277 5,665,771 5,665,771 Balance as of ,000, ,494 28,488,569 34,267,063 34,267,063 The accompanying notes form an integral part of these financial statements. 10

11 CONSOLIDATED STATEMENT OF CASH FLOWS Cash flows from operating activities Profit before taxation 4,626,651 7,218,793 Adjustments for: Bad Debt 17,886 40,694 Depreciation 4,630,259 4,251,666 Gain on disposal of property, plant and equipment (1,493,707) Gain on revaluation of foreign exchange (881,244) Interest expenses 2,152,636 1,994,204 Interest income (64,193) (170,476) Property, plant and equipment written-off 2,250 Operating profit before working capital changes 10,481,994 11,843,424 Increase in receivables (40,016,144) (8,491,623) Increase in payables 41,952,853 7,205,812 Cash generated from operations 12,418,703 10,557,613 Income tax paid (2,577,901) (1,743,746) Interest paid (704,874) Net cash from operating activities 9,840,802 8,108,993 Cash flows from investing activities Proceeds from disposal of property, plant and equipment 1,958,973 Purchase of property, plant and equipment (6,859,249) (2,854,920) Net proceed from disposal of subsidiaries 4,653,002 Interest received 64, ,476 Net cash flows used in investing activities (2,142,054) (725,471) Cash flows from financing activities Advance from directors (73,231) Net Proceeds / (repayment) from loans and borrowings 2,541,056 (4,506,586) Issuance of new shares 21,258,000 Share issuance expenses (1,127,432) Advance for acquisition of subsidiaries Interest paid (2,152,636) (1,289,330) Net cash flows provided by/(used in) financing activities 20,518,988 (5,869,147) Net increase/(decrease) in cash and cash equivalents 28,217,737 1,514,375 Cash and cash equivalents at beginning of the year 7,008,696 6,390,904 Cash and cash equivalents at end of the year 35,226,433 7,905,279 The accompanying notes form an integral part of these financial statements. 11

12 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 1. NATURE OF OPERATIONS The registered office of Jack-In Group Limited (the Company ) is located at 138 Cecil Street, #12-01A Cecil Court, Singapore. The principal place of business of the subsidiary is located at No Jalan Sri Permaisuri 8, Bandar Sri Permaisuri, Kuala Lumpur. The Company was incorporated and domiciled in Singapore on 25 November 2011 under the name of Oilfield Workforce Group Pte Ltd as a private limited company. On 8 November 2012, the Company converted from a private limited company into a public limited company and assumed the present name Oilfield Workforce Group Limited. On 25 January 2013, the Company was admitted to the Official Listing of Australian Securities Exchange ( ASX ) Limited and commenced trading on 29 January On 23 December 2016, the Company had completed a reverse takeover exercise, where the Company had acquired the entire issued capital of Jack-In Holdings Pte Ltd ( JIH ). The principal activity of the Company is that of investment holding company. Prior to the completion of the RTO, the principal activity of the Company s subsidiaries are in the provision of skilled contract labour and related value added services to the Oil and Gas industry, however following the completion of the RTO, the principal activity of the Company s subsidiaries has changed to the provision of piling contract services. 1.1 Reverse Takeover Exercise On 23 December 2016, the Company acquired the entire issued capital of JIH, a private company incorporated in Singapore from JIH Vendors via RTO. The purchase consideration was satisfied via issuance of 300,000,000 new shares of the Company to JIH Vendor. Upon completion of the acquisition, JIH Vendor obtained a majority share interest in the Company, comprises 74.58% of the Company share capital. The Company now, owns: (1) Jack-In Holdings Pte Ltd (2) Jack-In Pile (M) Sdn Bhd, wholly owned subsidiary of JIH (3) Jack-In Pile (Australia) Pty Ltd, wholly owned subsidiary of JIH The acquisition has been accounted as RTO in accordance with FRS 103 Business Combinations. Accordingly, the consolidated statement of profit or loss and other comprehensive income, consolidated statement of financial position, consolidated statement of changes in equity and consolidated statement of cash flows for the period ended 31 December 2016 have been presented as a continuation of JIH (accounting acquirer) and its subsidiaries. 12

13 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS Since such consolidated financial statements represent a continuation of JIH: (a) (b) (c) (d) (e) the assets and liabilities of JIH are recognised and measured in the consolidated statement of financial position at their pre-combined carrying amount; the assets and liabilities of the Company, the legal parent, are recognised and measured in accordance with FRS 103 using the acquisition accounting method; the retained earnings and other equity balances recognised in the consolidated financial statements are the retained earnings and other equity balances of JIH immediate before the business combination; and the amount recognised as issued equity interest in the consolidated financial statements is determined by adding the issued equity of JIH immediately before the business combination to the fair value of the Company. However, the equity structure appearing in the consolidated financial statements (i.e. the number and type of equity instruments issued) shall reflect the equity structure of the Company, including the equity instruments issued by the Company to effect the combination. the comparative information presented in these condensed financial statements is that of JIH. 2. GENERAL INFORMATION AND BASIS OF PREPARATION The interim consolidated financial statements are for the nine-month period ended 2016 and are presented in Malaysian Ringgit ( ), which is the functional currency of the Company. They have been prepared in accordance with IAS 34 Interim Financial Reporting. They do not include all of the information required in annual financial statements in accordance with IFRS, and should be read in conjunction with the Prospectus of the Company dated 18 November The interim consolidated financial statements have been prepared under the historical cost convention. Please refer to the Prospectus of the Company dated 18 November 2016 for the disclosure of accounting policies. 13

14 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 3. SIGNIFICANT ACCOUNTING POLICIES The interim consolidated financial statements have been prepared in accordance with the accounting policies adopted in the Prospectus dated 18 November 2016, except for adoption of the following accounting standards that became effective from 1 January 2016: Reference Amendment to IAS 1 Various Description Presentation of Financial Statements Disclosure initiative Annual Improvements to IFRs cycle Amendment to IAS 1 Presentation of Financial Statements IAS 1 Presentation of Financial Statements clarify that materiality applies to the whole of financial statements and that the inclusion of immaterial information can inhibit the usefulness of financial disclosures. Furthermore, the amendments clarify that companies should use professional judgement in determining where and in what order information is presented in the financial disclosures. IAS 1 is effective for annual periods beginning or after 1 January The Group is currently determining materiality to apply the whole of financial statements and where in what order information is presented in the financial disclosures. The adoption of these new or amended IFRS or IAS, where relevant to the Group, did not result in substantial changes to the Group s accounting policies or any significant impact on the Group s interim financial statements 4. OPERATING SEGMENTS The Executive Director monitors the Group s operating results regularly for the purpose of making decisions about resource allocation and performance assessment. The Executive Director also reviews consolidated results regularly. An operating segment is a component of the Group that engages in business activities from which it may earn revenues and incur expenses, including revenues and expenses that relate to transactions with any of the Group s other components. An operating segment s operating results are reviewed regularly by the chief operating decision maker, which in this case is the Board of Directors of the Company, to make decisions about resources to be allocated to the segment and to assess its performance, and for which discrete financial information is available. At present, the principal operation of the Group relates entirely to one business segment, i.e. the provision of piling contract services, however it was distributed across Malaysia and Australia, and Singapore being the holding company of all the subsidiaries. 14

15 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 5. PROPERTY, PLANT AND EQUIPMENT, AND INVESTMENT PROPERTY Group Freehold Land Buildings Plant, machinery, and site equipment Office equipment, furniture, fittings and renovation Motor vehicle Capital expenditure in progress Total Cost At 1 April ,151,969 4,618,029 50,479, ,169 2,020,916 58,843,053 Additions 1,428,465 70, ,231 1,104,053 2,854,920 Disposals (2,097,406) (2,097,406) Reclassification (165,000) 165,000 Revaluation 262, ,000 Transfer to investment property (2,500,000) (2,500,000) Written off (1,400) (850) (2,250) At ,151,969 2,213,629 49,811, ,490 2,273,147 1,269,053 57,360,317 At 1 April ,151,969 2,213,629 50,080, ,784 2,344,148 1,880,368 58,315,300 Additions 851,996 5,883,985 47,408 75,860 6,859,249 At ,151,969 3,065,625 55,964, ,192 2,420,008 1,880,368 65,174,549 Accumulated depreciation At 1 April ,537 20,682, ,792 1,260,549 22,643,765 Charge for the period 66,772 3,910,192 69, ,978 4,251,666 Disposals (1,632,140) (1,632,140) Transfer to investment property (104,440) (104,440) At ,869 22,960, ,516 1,465,527 25,158,851 At 1 April ,939 24,264, ,282 1,531,877 26,561,633 Charge for the period 33,204 4,337,178 59, ,632 4,630,259 Disposals At ,143 28,601, ,527 1,732,509 31,191,892 Net carrying amount At ,151,969 1,983,760 26,850, , ,620 1,269,053 32,201,466 At ,151,969 2,791,482 27,362, , ,499 1,880,368 33,982,657 15

16 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 5. PROPERTY, PLANT AND EQUIPMENT, AND INVESTMENT PROPERTY (Cont d) Group At fair value Commercial lot transferred from property, plant and equipment 2,500,000 2,500,000 (i) (ii) The investment property is pledged to a licensed bank for banking facilities granted to the Company. The investment property is held to earn rental income and for capital appreciation. The amount in relation to the investment property recognised in the profit or loss are as follows: 2016 Group 2015 Rental income from investment Property 135, ,868 Direct operating expenses arising from investment property that generated rental income during the period 31,610 40,191 (iii) The fair value of the investment property amounted to 2,500,000 and is categorised under Level 2 of the fair value hierarchy. The fair values of the investment property has been generally derived using the sales comparison approach. Selling prices of comparable properties in close proximity are adjusted for differences in key attributes such as property size, age and condition of the building. The most significant input into this valuation approach is price per square foot of comparable properties. 16

17 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 6. TRADE RECEIVABLES Group Trade receivables 78,630,458 51,279,929 Retention claimable 17,209,314 10,306,255 95,839,772 61,586, FIXED DEPOSITS WITH LICENSED BANKS The effective interest rates and maturity of the fixed deposits at the end of the reporting period range from 2.90% to 3.30% ( : 2.90% to 3.30%) per annum and 1 to 12 months ( : 1 to 12 months) respectively. The fixed deposits are pledged to licensed banks as securities for banking facilities granted to the Company. 8. LOANS AND BORROWINGS Group Non-current liabilities Finance lease liabilities 7,313,236 8,691,333 Term loans 3,660,177 3,436,234 10,973,413 12,127,567 Current liabilities Bank overdrafts 3,191,819 1,398,702 Bankers acceptance 5,172,000 5,375,000 Finance lease liabilities 5,503,187 4,514,136 Term loans 1,053, ,744 Trust receipts 7,385,153 7,363,217 22,305,903 19,380,799 Total borrowings 33,279,316 31,508,366 17

18 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 8. LOANS AND BORROWINGS (Cont d) The borrowings (except for certain finance lease liabilities) are secured by way of: (i) (ii) (iii) A first party legal charge over the Company s land, buildings, commercial lot in progress and investment property; Pledge of fixed deposits of the Company; and Joint and several guarantee by the directors of the Company. The finance lease liabilities are secured over the leased assets as disclosed in Note 5. A summary of the effective interest rates and the maturities of the borrowings are as follows: More than one year and More than two years Within one less than two and less than More than Total year years five years five years 2016 Bank overdrafts 3,191,819 3,191,819 Bankers acceptance 5,172,000 5,172,000 Finance lease liabilities 12,816,423 5,503,187 4,884,384 2,428,852 Term loan 4,713,921 1,053,744 1,053,744 2,606,433 Trusts receipts 7,385,153 7,385, Bank overdrafts 1,398,702 1,398,702 Bankers acceptance 5,375,000 5,375,000 Finance lease liabilities 13,205,469 4,514,136 4,600,550 4,090,783 Term loan 4,165, , ,744 2,706,490 Trusts receipts 7,363,217 7,363, SHARE CAPITAL Group and Company No. of shares No. of shares Issued and fully paid ordinary shares At 1 April (1) 68,000,000 29,955,043 5,000,000 5,000,000 Issuance of ordinary shares (2) 334,265,400 63,445,222 Share issuance expense (1,127,432) Total 402,265,400 92,272,833 5,000,000 5,000,000 (1) The opening balance as at 1 April 2015 reflects only JIP s share capital (2) On 23 December 2016, the Company issued 300,000,000 new ordinary share to JIH Vendor and 34,265,400 new ordinary shares arising from the offer. 18

19 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS The holders of ordinary shares are entitled to receive dividends as and when declared by the Company. All ordinary shares carry one vote per share without restrictions. The ordinary shares have no par value. 10. CONTRACT REVENUE Revenue represents progress billing received and receivable on construction contracts which reflects the percentage of completion of the contracts as at the end of the reporting period. 11. PROFIT BEFORE TAXATION Profit before taxation have been arrived at after charging/(crediting): 2016 Group 2015 Bad debts 17, ,404 Depreciation 4,630,259 4,251,666 Impairment loss on receivables 73,086 Rental of premises 87,765 55,860 Doubtful debts recovered (32,392) Gain on disposal of property, plant and equipment (1,493,707) RTO transaction costs (taken to P&L) 3,140,214 Interest income (64,192) (170,476) Rental income (135,774) (118,868) 19

20 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 12. TAXATION The reconciliation of tax expense of the Company is as follows: 2016 Group 2015 Profit before taxation (4,573,122) 7,218,793 Income tax at statutory tax rate (112,257) 1,732,510 Expenses not deductible for tax purpose 15,983 56,533 Deferred tax assets not recognised 2,370,274 2,274,000 1,789,043 (Under) / Over provision in prior periods 42,473 2,274,000 1,831, EARINGS PER SHARE The following tables reflect the profit and share data used in the computation of earnings per share: 2016 Group 2015 (Loss)/profit for the period attributable to owners of the Company 2,352,651 5,217,584 No. of shares No. of shares Weighted average number of ordinary shares for earnings per share computation 78,939,595 68,000,000 The weighted average number of ordinary shares takes into account of the issuance of new ordinary shares as disclosed in Note 9. 20

21 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 14. SUBSIDIARIES Details of the subsidiaries are as follows: Effective ownership held by the Group Subsidiaries Country of incorporation Business activities % % Held by the Company Jack-In Holdings Pte Ltd ( JIH ) Singapore Investment Holding Held by JIH Jack-In Pile (M) Sdn Bhd Jack-In Pile (Australia) Pty Ltd Malaysia Australia Provision of piling contract services Provision of piling contract services and distribution of piling machineries * * the effective ownership of the subsidiaries by the Group for the period ended 2015 have been presented on the basis that the Group are under common control. 15. CONTINGENT ASSETS AND LIABILITIES Since the last annual reporting date, there has been no change of any contingent assets or contingent liabilities. 21

22 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS 16. SEGMENT REPORTING Geographical Segment Group Malaysia Singapore Australia Elimination Total 2016 Revenue from external customers 177,905, ,905,721 Gross profit 21,299,453 21,299,453 Other income 405,821 3, ,504 Administrative expenses (10,185,196) (85,177) (10,270,373) Finance Costs (2,152,636) (2,152,636) RTO transaction costs (taken to P&L) (3,140,214) (3,140,214) Other expenses (2,304) (1,516,779) (1,519,083) Profit before taxation 9,365,138 (4,738,487) 4,626,651 Taxation (2,274,000) (2,274,000) Profit for the period 7,091,138 (4,738,487) 2,352, Revenue from external customers 101,772, ,772,954 Gross profit 17,925,093 17,925,093 Other income 2,182,626 2,182,626 Administrative expenses (10,894,722) (10,894,722) Finance Costs (1,994,204) (1,994,204) Profit before taxation 7,218,793 7,218,793 Taxation (1,831,516) (1,831,516) At ,387,277 5,387,277 22