( Hong Kong, 12 July 2007) – Synergis Holdings Limited ("Synergis" / the "Group") (stock code: 02340) announces its annual results for the year ended 31 March 2007.

During the year under review, Synergis recorded a consolidated revenue of HK$367.8 million, being a decrease of 6.0% compared to last year. Although the Group was unsuccessful in securing the renewal of the expired property management contract GPA/HK2 from Government Property Agency ("GPA") and the property service contract ("PSC") Batch 7/2003 from the Hong Kong Housing Authority ("HKHA") in the year, the Group was awarded contracts from The Link Management Limited ("The Link") and another PSC contract from HKHA. As a result, the adverse impact to gross profit was minimised. Gross profit declined by HK$0.9 million to HK$79.2 million, which was a decrease of only 1.1% below last year. Gross margins were 21.5% which was a slight improvement on last year when margins were at 20.5%. Profit attributable to equity holders of the Company for the year was, therefore, HK$21.1 million, a decrease of 32.3% as compared to HK$31.2 million in the previous year. Earnings per share decreased from 9.4 HK cents to 6.4 HK cents. Proposed final dividend was 4.0 HK cents per share which, together with the interim dividend of 2.3 HK cents per share already paid, added up to a total dividend of 6.3 HK cents for the year.

Professor Woo Chia-Wei, Non-executive Chairman of Synergis , said, ' Given the strong cash position of the Group, the Board recommended the payment of a final dividend of 4.0 HK cents per share. Combined with the interim dividend of 2.3 HK cents per share already paid, total dividends for the year will amount to 6.3 HK cents per share, amounting to HK$20.9 million for the year. The dividends paid and declared for the year represent a payout ratio on earnings of 99.0%. Given the current market price (HK$0.89 cents per share) of our shares, this provides an annual yield on investment of 7.1%.'

Commenting on the business operations, Mr. C. H. Fan, Managing Director of Synergis, said, ' Whilst the Hong Kong property market continued to experience buoyant sales activity and increasing prices, the property and facility management business remained static, being saturated with small and medium-sized service providers of variable quality, whose primary focus was on aggressive pricing. Given this highly competitive business environment, Synergis continues its dual strategy of retaining or increasing, wherever appropriate, its market share in Hong Kong, and diversifying its revenue base through growing its market presence in the Mainland of China and Macau.'

'In the year, Synergis continued to develop and grow its management portfolio in Hong Kong. The team worked tirelessly to diversify the customer base and successfully won several facility management and consulting contracts of renowned corporate or institutional clients, including the Electrical & Mechanical Services Department, FedEx Corporation and the Hong Kong Airport Authority. We have also successfully taken over the management of 21 shopping centres and over 10,000 car park spaces for The Link Management Limited ("The Link").'

'Leveraging our success in building a robust and scalable operational platform in Shanghai, our joint venture with Shui On Holdings Limited in Shanghai (the "Synergis Shui On JV") has expanded its geographical coverage to include Wuhan and Chongqing.The Synergis Shui On JV team has already started providing management services to the retail portion of Wuhan Tiandi and pre-management services in Chongqing.'

'In Beijing, our existing joint venture operations in Xihuan Plaza and A-Z Town have continued to operate smoothly. We will further strengthen the relationship with our joint venture partners on the Chinese Mainland and target other developers who understand the critical role played by property management services in protecting and enhancing the value of their real estate developments.'

'Whilst Hong Kong remains the Group's operational base and major source of income, the management sees its business growth lies in the many opportunities brought by the very strong economic growth on the Chinese Mainland and the rapid development of Macau.'

'Looking specifically to 2007/08, the Hong Kong market will unquestionably remain highly competitive affecting contract retentions, pricing, costs and margins. In view of the sizeable business opportunities in the mainland of China and Macau, management will focus on building the Group's service capability to offer one-stop-shop solutions to customers, and thereby strengthening our customer base in those markets. The Board believes that this is the right strategy for the Group's growth, and is confident that the strategy will prove successful over time.'Mr. Fan concluded.