VANCOUVER, BRITISH COLUMBIA--(Marketwired - Feb. 10, 2017) - New Pacific Holdings Corp. ("New Pacific" or the "Company") (TSX VENTURE:NUX) today announced its unaudited condensed consolidated interim financial results for the three and six months ended December 31, 2016.
This earnings release should be read in conjunction with the Company's Management Discussion & Analysis, Financial Statements and Notes to Financial Statements for the corresponding period, which have been posted on SEDAR at www.sedar.com and are also available on the Company's website at www.newpacificholdings.ca. All figures are expressed in Canadian Dollars (CAD) unless otherwise stated.
HIGHLIGHTS FOR THE SIX MONTHS ENDED DECEMBER 31, 2016
Bonds portfolio continued to perform well, fair value gain and interest earned combined were $611,720 for the period, representing an annualized return of 7.31%;
Successfully acquired equity investments from open markets and private placements. Unrealized gain on equity investments during the period was $0.68 million;
Net income attributable to equity holders of $1.35 million, or $0.02 per share, compared to net income attributable to equity holders of $1.81 million or $0.03 per share in the prior year period.
HIGHLIGHTS FOR THE SECOND QUARTER ENDED DECEMBER 31, 2016
Fair value gain and interest earned on bonds combined were $152,954 for Q2 Fiscal 2017 compared to $68,364 for the prior year period;
Mining industry focused equity investment portfolio incurred an unrealized loss of $2.54 million as a result of a temporary dip in global precious metal prices during the period. Subsequent to the period end, these unrealized losses were fully recovered as precious metal prices rebounded;
Net loss attributable to equity holders of $2.23 million, or $0.03 per share, compared to net income attributable to equity holders of $0.42 million or $0.01 per share in the prior year period.
FINANCIALS
For the six months ended December 31, 2016, net income attributable to equity holders was $1,353,652 or $0.02 per share compared to net income of $1,807,843 or $0.03 per share for the six months ended December 31, 2015.
For the three months ended December 31, 2016, net loss attributable to equity holders was $2,228,616 or $0.03 per share compared to net income of $421,784 or $0.01 per share for three months ended December 31, 2015.
Major items impacting financial performance are as follows:
Income from investments for the six months ended December 31, 2016 was $1,321,232 compared to $47,336 for six months ended December 31, 2015. This significant increase was a direct result of the Company's business change from exploration and development on mineral properties to investing in publicly-traded or privately-held corporations and other marketable instruments such as bonds. Within the investments income, $677,826 was an unrealized gain on the Company's equity investments and $611,720 was from fair value change and interest earned on bonds.
For the three months ended December 31, 2016, loss from investments was $2,361,196 compared to loss of $37,290 for three months ended December 31, 2015. Within the loss, $2,542,886 was an unrealized loss on the Company's equity investments in the mining industry. During the quarter, shares of most of the companies in the mining industry suffered loss due to a temporary dip in the global precious metal prices. Subsequent to period end, these unrealized losses were fully recovered. Fair value change and interest earned on bonds for the quarter was $152,954.
Operating expenses for the six months ended December 31, 2016 was $652,254 compared to $552,202 for the six months ended December 31, 2015. For three months ended December 31, 2016, operating expenses was $398,894 compared to $257,881 for the same prior year period. The increase in operating expenses was a result of the Company's increased activities in seeking various high quality investment opportunities globally.
Foreign exchange gain for the six months ended December 31, 2016 was $598,828 compared to $2,256,576 in the same prior year period. The Company holds a large portion of cash and cash equivalents and bonds in US dollars while the Company's functional currency is the Canadian dollar, the fluctuation in exchange rates between the US dollar and Canadian dollar will impact the financial results of the Company. During the six months ended December 31, 2016, the US dollar appreciated by 3.2% against Canadian dollar (from 1.3009 to 1.3427) while in the same prior year period the US dollar appreciated by 11.0% against Canadian dollar (from 1.2474 to 1.3840). The slowdown in the US dollar appreciation against the Canadian dollar in the relative periods was the reason for the reduced amount of foreign exchange gains.
For the three months ended December 31, 2016, foreign exchange gain was $449,762 compared to $680,418 for the same prior year period.
MANAGEMENT CHANGES
The Company would like to extent its best wishes to Rodney Stevens who has resigned from his position as Vice President of Corporate Development to pursue other opportunities.

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