GP Batteries Group's turnover for the three months ended 31 March 2006 was S$198.8 million (appr. US$ 126 million), a decrease of 10.7% over the corresponding period last year. Turnover was dampened mainly due to the initial market reactions to the price increase of NiMH rechargeable batteries. The consolidated profit before tax of S$5.2 million (approx. US$ 3.3 million) included exceptional items of S$3.4 million that comprised loss of S$1.3 million due to the temporary cessation of operations of Ningbo GP Sanyo Energy and fees and expenses of S$2.1 million for the settlement of a subsidiary’s prior years tax assessment disputes with the tax authority. The profit after tax attributable to equity holders of the Company for the fourth quarter was S$2.8 million, compared to S$0.04 million for the corresponding quarter last year.

For the year ended 31 March 2006, the Group’s turnover was S$886.3 million (approx. US$ 560 million), a marginal decrease of 0.8% over the previous year. The consolidated profit before tax decreased from S$23.3 (approx. US$ 15.7 million) to S$22.1 (approx. US$ 14 million). During the year, the Group recorded an exceptional loss of S$11.1 (approx. US$ 7.0 million) mainly due to the relocation of production facilities (exceptional loss last year was S$18.8 (approx. US$ 11.9 million). The profit after tax attributable to equity holders of the Company was S$13.6 (approx. US$ 8.6 million), compared to S$1.3 (approx. US$ 0.8 million) for last year. Overall, turnover for most of the products remained steady. Sales across regions registered little fluctuations except for North & South America which decreased, mainly due to the weakened sales of Lithium Ion products. Gross profit margin remained steady as we continued to reap from the cost saving measures implemented across the Group despite the high raw material prices.