Taiwan's Hong Kong-listed TCC International Holdings net profit last year fell a year on year 26.9 per cent to HK$106.23 million.
The cement manufacturer and telecommunications investor attributed much of the earnings drop to a HK$31.9 million provision against investment securities.
However, turnover grew 46.8 per cent, year on year, to HK$651.09 million.
Managing director Wu Yih-chin said the company made a HK$14 million provision on investments in short-term securities and a HK$17 million provision on the depreciation of the share price in its 10 per cent interest in GigaMedia - controlled by its parent, the Koos Group.
TCC's net profit margin was cut in half to 16.3 per cent from the 32.7 per cent in 1999. Earnings per share fell 52.8 per cent to 14.3 HK cents.
Mr Wu stressed the provisions for investment losses were temporary and unrealised.