1. Basis of presentation and accounting policies

The unaudited interim condensed consolidated financial statements of Precious Woods Group for the six months ended 30 June 2017, have been prepared in accordance with IAS 34 and were authorized for issue by the Board of Directors on 15 August 2017. The interim condensed consolidated financial statements do not include all information and disclosures required in the annual financial statements, and should be read in conjunction with the Group’s annual financial statements as at 31 December 2016. They mainly focus on new activities, events and circumstances and do not duplicate information previously reported.

Due to rounding, numbers presented throughout this report may not add up precisely to the totals provided. All ratios and variances are calculated using the underlying amount rather than the presented rounded amount.

The accounting policies adopted in the preparation of the interim condensed consolidated financial statements are consistent with those followed in the preparation of the Group’s annual financial statements for the year ended 31 December 2016. The new or revised standards and interpretations are either not relevant or they do not have a material effect on the financial statements of the Group.