ACTIONS SEMICONDUCTOR CO., LTD.

CONSOLIDATED CONDENSED STATEMENT OF OPERATIONS

(in thousands of U.S. dollars, except number of shares and per share amounts)

Three months ended

Three months ended

Year ended

Year ended

December 31,

December 31,

December 31,

December 31,

2013

2012

2013

2012

(unaudited)

(unaudited)

(unaudited)

(audited)

Revenues:

  Third-parties:

   System-on-a-chip products

15,095

14,314

64,617

52,356

   Semiconductor product testing services

29

28

135

179

15,124

14,342

64,752

52,535

  Related-parties:

   System-on-a-chip products

2,451

817

4,639

1,794

  Total revenues

17,575

15,159

69,391

54,329

Cost of revenues:

  Third-parties:

   System-on-a-chip products

(11,567)

(9,697)

(44,324)

(33,814)

   Semiconductor product testing services

(13)

(15)

(58)

(100)

(11,580)

(9,712)

(44,382)

(33,914)

  Related-parties:

   System-on-a-chip products

(2,094)

(587)

(3,583)

(1,193)

  Total cost of revenues

(13,674)

(10,299)

(47,965)

(35,107)

Gross profit

3,901

4,860

21,426

19,222

Other operating income

1,517

136

2,170

896

Operating expenses:

  Research and development

(6,086)

(6,195)

(25,995)

(23,739)

  General and administrative

(2,547)

(2,660)

(8,764)

(8,573)

  Selling and marketing

(614)

(364)

(2,057)

(1,281)

Total operating expenses

(9,247)

(9,219)

(36,816)

(33,593)

Loss from operations

(3,829)

(4,223)

(13,220)

(13,475)

Other income

779

1,674

2,336

1,547

Dividend income from an other investment

0

0

493

0

Fair value change in trading securities

0

0

0

2

Other-than-temporary impairment loss on investments

(681)

(2,543)

(681)

(2,543)

Interest income

3,241

3,257

12,358

13,240

Interest expense

(146)

(63)

(498)

(250)

(Loss) income before income taxes, equity in net (loss) income of
equity method investees and non-controlling interest

(636)

(1,898)

788

(1,479)

Income tax (expense) credit

(108)

370

(403)

(772)

Equity in net (loss) income of equity method investees

(82)

(128)

(264)

41

Net (loss) income

(826)

(1,656)

121

(2,210)

Less: Net loss attributable to non-controlling interest

1

1

2

8

Net (loss) income attributable to Actions Semiconductor Co., Ltd. Shareholders

(825)

(1,655)

(2,202)

Net (loss) income attributable to Actions Semiconductor Co., Ltd. Shareholders

Basic (per share)

(0.002)

(0.004)

0.000

(0.005)

Diluted (per share)

(0.002)

(0.004)

0.000

(0.005)

Basic (per ADS)

(0.012)

(0.024)

0.002

(0.032)

Diluted (per ADS)

(0.012)

(0.024)

0.002

(0.032)

Weighted-average shares used in computation:

Basic

412,162,575

410,209,703

412,103,255

412,706,341

Diluted

412,162,575

410,209,703

425,415,011

412,706,341

Weighted-average ADS used in computation:

Basic

68,693,763

68,368,284

68,683,876

68,784,390

Diluted

68,693,763

68,368,284

70,902,502

68,784,390

Note: Share-based compensation recorded in each

expense classification above is as follows:

  Research and development

74

229

347

1,090

  General and administrative

25

67

79

312

  Selling and marketing

3

12

17

52

  Cost of revenues

0

0

49

10