TONG REN TANG<08069> - Results Announcement (Q1, 2003, Summary)


Tong Ren Tang Technologies Co. Ltd. announced on 23/04/2003
(stock codes: Ord: 08069 & War: Nil )

Year end date                         :31/12/2003
Currency                              :RMB
Auditors' report                      :N/A
Review of 1st Quarterly Report by     :Audit Committee

Important Note :

This result announcement form only contains extracted information from
and should be read in conjunction with the detailed results announcement
of the issuer, which can be viewed on the GEM website at
http://www.hkgem.com

                                           (Unaudited)       (Unaudited)
                                           Current    Last Corresponding
                                           Period           Period
                                       from 01/01/2003   from 01/01/2002
                                         to 31/03/2003     to 31/03/2002
                                               RMB'000           RMB'000

Turnover                              :       271,629           193,802
Profit/(Loss) from Operations         :        50,793            35,206
Finance cost                          :          (579)             (739)
Share of Profit/(Loss) of Associates  :            N/A               N/A
Share of Profit/(Loss) of Jointly
         Controlled Entites           :            N/A               N/A
Profit/(Loss) after Taxation & MI     :        48,345            35,645
% Change Over the Last Period         :         +35.63%
EPS / (LPS)
          Basic (in dollar)           :       RMB 0.26          RMB 0.19
          Diluted (in dollar)         :       RMB 0.26          RMB 0.19
Extraordinary (ETD) Gain/(Loss)       :            N/A               N/A
Profit (Loss) after ETD Items         :        48,345            35,645
1st Quarterly Dividends per Share     :            NIL               NIL
(specify if with other options)       :            N/A               N/A
B/C Dates for 1st Quarterly Dividends :            N/A
Payable Date                          :            N/A
B/C Dates for (-) General Meeting     :            N/A
Other Distribution for Current Period :            NIL
B/C Dates for Other Distribution      :            N/A
                                       (bdi: both days inclusive)

                                       For and on behalf of
                                       Tong Ren Tang Technologies Co. Ltd.
                            Signature :
                                 Name :Edward Choi
                                Title :Company Secretary

Responsibility statement

The directors of the Company (the "Directors") as at the date hereof
hereby collectively and individually accept full responsibility for the
accuracy of the information contained in this results announcement form
(the "Information") and confirm, having made all reasonable inquiries,
that to the best of their knowledge and belief the Information are
accurate and complete in all material respects and not misleading and
that there are no other matters the omission of which would make the
Information herein inaccurate or misleading. The Directors acknowledge
that the Stock Exchange has no responsibility whatsoever with regard
 to the Information and undertake to indemnify the Exchange against all
liability incurred and all losses suffered by the Exchange in connection
with or relating to the Information.

Remarks:

1. Basis of presentation

   The Company was incorporated as a joint stock company with
   limited liability in the People's Republic of China (the "PRC")
   on 22 March 2000 and, upon the placing of its H shares, was
   listed on the GEM on 31 October 2000. Its ultimate holding
   company is China Beijing Tong Ren Tang Group Co. Ltd.,
   incorporated in Beijing, the PRC.

   The accompanying unaudited results are prepared in accordance
   with the International Financial Reporting Standards as
   published by the International Accounting Standards Board.
   The accounting policies adopted are consistent with those
   followed in the preparation of the Group's annual financial
   statements for the year ended 31 December 2002.

2. Turnover

   The Group's turnover is derived principally from the sales of
   Chinese Patent Medicine.

   An analysis of the Group's turnover by geographical regions is
   as follows:

                                       For the three months
                                          ended 31 March
                                         2003        2002
                                       RMB'000      RMB'000
   Sales of medicine
     Domestic                          258,336      183,525
     Overseas                           10,976        7,301
   Agency fee income - domestic          2,317        2,976
                                      ---------    ---------
                                       271,629      193,802
                                      =========    =========

3. Taxation

   Pursuant to the relevant regulations of the PRC, a high-
   technology enterprise ("HTE") located in a designated area
   of Beijing Economic and Technological Development Zone
   ("BETDZ") is subject to Enterprise Income Tax ("EIT") at a
   rate of 15%. Moreover, upon approval by the relevant local
   tax bureau, such a HTE is entitled to an exemption from EIT
   for the first three years from its commencement of operations
   and a 50% reduction for the three years thereafter. The
   certification as a HTE is subject to an annual review by the
   relevant government bodies. In addition, an amount equal to
   the EIT exemption or reduction from 15% has to be appropriated
   to a non-distributable tax reserve.
   In March 2002, the Company renewed its HTE certification granted
   by Beijing Science Technology Committee for the years of 2002
   and 2003. The Company was registered in the BETDZ and has
   obtained an approval from the BETDZ Local Tax Bureau
   ("BETDZ LTB") (Document Jingdishuikaijianmianfa [2000] No.23)
   to enjoy an EIT exemption for three years commencing from 2000
   and a 50% reduction in EIT for the three years thereafter. In
   October 2002, Beijing Administration of Taxation issued a
   circular, namely Jingguoshuihan [2002] No. 632, stating that a
   HTE can enjoy the preferential tax treatment only if both the
   registration and operation are in the designated area. However,
   BETDZ LTB has also verbally confirmed to the Company that the
   above EIT preferences should be available to the Company as
   long as the Company's registered address is in BETDZ and it
   remains as a HTE.
   For the period ended 31 March 2003, an amount equal to the 7.5%
   EIT exempted amounting to approximately RMB3,949,000
   (2002: RMB5,420,000) was transferred to the tax reserve.

   The reconciliation of the tax expense of the Group is as
   follows:
                                       For the three months
                                          ended 31 March
                                         2003        2002
                                       RMB'000      RMB'000

   Accounting profit                    51,372        35,945
                                      ---------    ---------
   Tax rate                              13.36%       15.71%

   EIT at tax rate                        6,861        5,648

   Effect of tax benefits of being
    a HTE                                (3,949)      (5,420)
                                       ---------    ---------
   Tax expense                            2,912          228
                                       =========    =========

   Under PRC income tax law, the Company's subsidiaries and
   joint ventures within PRC are generally subject to EIT at
   a rate of 33% on the taxable income. Foreign entities are
   subject to income tax as required by tax laws of countries
   where those entities operate, respectively. However, as
   these foreign entities had no material operating activities
   nor taxable profits for the period, no income tax provision
   was made.

4. Earnings per share

   The calculation of the basic earnings per share for the
   three months ended 31 March 2003 was based on the net
   profit of approximately RMB48,345,000 (2002: RMB35,645,000)
   divided by the weighted average number of shares issued
   during the period of 182,800,000 shares (2002: 182,800,000
   shares).

   Diluted earnings per share equal basic earnings per share
   because there were no potential dilutive ordinary shares
   outstanding during the period.