About CR CONSTRUCTION Company

Established in 1967, we have 50 years of experience and are one of the leading construction contractors in Hong Kong. As the main contractor in Hong Kong, we mainly undertake building construction projects and RMAA projects from public and private institutions. According to the Insight Report, for the year ended December 31, 2016, we ranked 8th among all general contractors in Hong Kong in terms of revenue from building construction projects, accounting for about 2.6% of the market share. The Group is an approved contractor for (i) general construction and site preparation works of the Buildings Department; (ii) public works (buildings) (Group C (confirmed)), all-inclusive interior design and decoration works (Group I (confirmed)), and roads and drainage (Group A (trial)); and (iii) Housing Authority buildings (new works group 2 (trial)) and buildings (maintenance works) (maintenance works) (maintenance works) group 2 (trial)). During the track record period, we provided building construction projects and RMAA projects to (i) various government departments, such as the Construction Department, the Housing Authority and the Education Bureau; (ii) educational institutions; and (iii) public sector clients such as NGOs. As far as private institutions are concerned, we have provided building construction projects and RMAA projects to private property developers and other listed and private companies in Hong Kong during the record period. We have been rooted in Hong Kong for 50 years, and we believe we have established a strong reputation and accumulated rich experience in various public and private projects. We believe that engineering quality is the key to our success, so we attach great importance to establishing and maintaining an effective and comprehensive quality management system. Our quality management system has obtained multiple certifications, including ISO9001, ISO 14001 and OHSAS 18001 certifications from the Hong Kong Quality Assurance Agency and ISO 50001 certification, which is an internationally recognized certification. During the track record period, we mainly acted as the general contractor. As the general contractor, we are responsible for (i) the overall management of the project; (ii) formulating work plans; (iii) hiring subcontractors and supervising their work; (iv) procuring construction materials; (v) communicating and coordinating with clients and their consultant teams; and (vi) ensuring compliance with safety, environmental and other contractual requirements. During the track record period, all of our building construction works and most RMAA works were project-based, while some RMAA works (especially maintenance works) were based on fixed-term contracts. Over the same period, most of our revenue came from building construction projects, and we recorded a significant increase in revenue. The Group's total revenue for the three years ended 31 December 2016 and the six months ended 30 June 2017 was approximately HK$1,025.8 million, HK$2,384.0 million, HK$2,542.7 million and HK$1,155.4 million, respectively. In the record period, we have completed 11 building construction projects and 13 RMAA projects, with total contract amounts of approximately HK$5,016.7 million and HK$1,636.8 million respectively. At the last practical date, we had 15 and 6 ongoing building construction projects and RMAA projects. The total original contract amounts were approximately HK$10,130.2 million and HK$816.7 million respectively. The directors estimated that the total value of the unfinished projects of such ongoing projects (calculated by reducing the original contract amount of each project up to the sum of the proceeds confirmed in respect of the project on June 30, 2017) was approximately HK$8,893.5 million (note). As of the last practical date, we have been awarded a building construction project with an original contract amount of approximately HK$36.4 million. We have yet to commence site work on the project. For additional information about our projects, please refer to the “Our Projects” section of this section.