Plastec Technologies Reports Audited Financial Results for the Eight-Month Transition Period Ended D

Plastec Technologies Reports Audited Financial Results for the Eight-Month Transition Period Ended December 31, 2012

Financial Highlights for the Eight Months Transition Period Ended December 31, 2012
(all comparisons to same period of prior year)

• Sales of $119.7 million, up 2.5%

• Gross margin of 13.6%, compared to 12.1%

• EBITDA of $21.0 million, compared to $20.3 million

• Net income of $7.7 million, or $0.54 per diluted share based on 14.3 million diluted shares outstanding, compared to $5.1 million, or $0.31 per diluted share based on 16.5 diluted shares outstanding

• $31.7 million cash generated from operations for the eight months ended December 31, 2012

HONG KONG--(BUSINESS WIRE)-- Plastec Technologies, Ltd. - (OTCBB: PLTYF (ordinary shares), PLTWF (warrants), PLTEF (units)) ("Plastec" or the "Company"), an integrated plastic manufacturing services provider that operates in the People's Republic of China, today reported audited financial results for the eight months transition period ended December 31, 2012.

On September 11, 2012, the Company determined to change its fiscal year end from April 30 to December 31. The change in fiscal year end was made so that the Company's fiscal year end would coincide with all the Company's operating subsidiaries in the People's Republic of China. The financial highlights and figures below for the 8-month period ended December 31, 2011 have not been audited and are presented for comparative purposes only.

See attached tables at the end of this release in Hong Kong Dollars (HKD). All other amounts in this press release are presented in U.S. dollars (USD) with a conversion rate of US$1.0: HK$7.8 (see table below for reference).

Management Comments

Mr. Kin Sun Sze-To, Chairman of Plastec, stated, "We are pleased to report solid margins and profitable results during the period, despite relatively flat sales due to a difficult export market. We remain conservative in our short-term view of the industry cycle and have focused our attention on streamlining our costs and improving our operating performance. We have focused on continuing to remain profitable and cost-effectively growing our business by utilizing our advanced and modernized machines and equipment. We continue to benefit from increased capacity at our largest facility in Shenzhen, and have been undergoing trial production runs at a manufacturing facility in Thailand since January 2013. Our goal is to match our production centers in close proximity to our largest customers, many of whom have been Plastec clients for over 5 years. We have carefully selected the locations of these facilities in order to facilitate timely delivery of our products to customers, and our expansion into Thailand is an extension of this philosophy."

Financial Review for the Eight Months Transition Period Ended December 31, 2012

• The Company's total sales for the eight months ended December 31, 2012 increased 2.5% to $119.7 million from $116.8 million in the prior-year period.

• The Company's gross profit margin for the eight months ended December 31, 2012 was 13.6%, compared to 12.1% in the prior-year period. The increase in margin for the period was largely the result of a higher number of new products ordered by the Company's existing clients coupled with new customers.

• Adjusted EBITDA for the eight months ended December 31, 2012 was $21.0 million, compared to $20.3 million in the prior-year period.

• Net income for the eight months ended December 31, 2012 was $7.7 million, or $0.54 per share based on a weighted average number of diluted shares outstanding of approximately 14.3 million, compared to $5.1 million, or $0.31 per share based on approximately 16.5 million weighted average number of diluted shares in the prior-year period.

Repurchase Update

In December 2012, the Company approved a twelve-month extension of its previously announced share repurchase plan through December 09, 2013, allowing Plastec to purchase up to $5 million of its ordinary shares in both open market and privately negotiated transactions at the discretion of the Company's management and as market conditions allow. The Company also expanded the scope of the repurchase plan to include Plastec's publicly-held warrants, with all other terms of the repurchase plan remaining unchanged. To date, the Company has repurchased 664,675 shares and nil warrants under its repurchase plan.

About Plastec

Originally founded in 1993 by Chairman and CEO, Mr. Kin Sun Sze-To, Plastec is an integrated plastic manufacturing services provider that operates in the People's Republic of China through its wholly owned subsidiaries. With approximately 5,400 employees, Plastec provides precision plastic manufacturing services from mold design and fabrication, plastic injection manufacturing to secondary-process finishing, as well as parts assembly.

Forward Looking Statements

This press release contains "forward-looking statements." These forward-looking statements involve significant risks and uncertainties that could cause the actual results to differ materially from the expected results. Actual results may differ from expectations, estimates and projections and, consequently, you should not rely on these forward looking statements as predictions of future events. Words such as "expect," "estimate," "project," "budget," "forecast," "anticipate," "intend," "plan," "may," "will," "could," "should," "believes," "predicts," "potential," "continue," and similar expressions are intended to identify such forward-looking statements.