|
SAN
SAN
SAN - Sanyati- Audited financial results for the year ended 28 February 2007
Sanyati Holdings Limited
Incorporated in the Republic of South Africa
Registration number 1988/002538/06
JSE code: SAN & ISIN: ZAE000081055
"Sanyati" or "the company"
Highlights
* Headline earnings per share UP 34%
* Turnover UP 47%
* EBITDA margin 10%
* Attributable profit UP 53%
* Cash on hand UP 843%
* Acquisition of Mega Pile successfully concluded
AUDITED RESULTS
For the year ended 28 February 2007
CONSOLIDATED BALANCE SHEET Year ended Year ended
28 February 28 February
2007 2006
R`000 R`000
Audited Audited
ASSETS
Non-current 79 500 14 100
Property, plant & equipment 42 744 9 046
Investments 320 331
Goodwill 36 436 4 723
Current assets 157 717 82 599
Inventories 14 014 6 002
Trade and other receivables 119 300 74 508
Cash and cash equivalents 19 701 2 089
Gross amount due from customers 4 702 0
Total assets 237 217 96 699
EQUITY AND LIABILITIES
Capital and reserves 99 928 23 013
Share capital 52 745 1
Non-distributable reserves 3 111 3 186
Accumulated Profits 44 072 19 826
Non-current liabilities 18 760 5 275
Deferred taxation 8 159 4 754
Interest bearing liabilities 10 601 521
Current liabilities 118 529 68 411
Trade and other payables 58 287 35 399
Bank overdraft 1 481 0
Short-term liabilities 29 200
Gross amount due to customers 12 158 7 590
Shareholders loans - 7 310
Current portion of interest bearing 4 577 9 995
liabilities
Provisions 3 664 1 757
Taxation 9 162 6 360
Total equity and liabilities 237 217 96 699
Number of ordinary shares in issue 227 048 100
Weighted average number of shares 207 307 180 000
Net asset value (cents) 48,2 12,8
Net tangible asset value (cents) 30,6 10,2
CONSOLIDATED INCOME STATEMENT
Revenue 379 596 258 958
Gross profit 55 933 32 706
Other income 6 150 5 542
Operating expenses (23 985) (13 401)
EBITDA 38 098 24 847
Depreciation (3 271) (1 551)
Profit before interest and taxation 34 827 23 296
Net interest received/(paid) (454) (1 041)
Profit before taxation 34 373 22 255
Taxation (10 202) (6 456)
Net profit for the year 24 171 15 799
Minority interest - (360)
Profit attributable to shareholders 24 171 15 439
Add: Impairment of historical goodwill 244 -
Headline earnings attributable to 24 415 15 439
shareholders
Weighted average shares 207 307 180 000
Earnings per share (cents) 11,66 8,78
Headline earnings per share (cents) 11,78 8,78
Dividend per share (cents) - 0,55
CONSOLIDATED CASH FLOW STATEMENT
Cash (utilised)/generated by operations
Cash (utilised)/generated from 9 866 12 556
operations
Interest received 1 020 1 268
Dividends paid (1 000)
Interest paid (1 474) (2 309)
Taxation paid (3 995) (1 694)
Net cash flows from operating 5 417 8 821
activities
Cash flows from operating activities
Acquisition of property, plant and
equipment (38 440) (6 292)
Proceeds from disposal of property,
plant and equipment 1 559 1 747
Goodwill acquired (31 713) -
Decrease in investments 11 -
Net cash outflow from investing (68 583) (4 545)
activities
Cash outflow from investing activities
Increase in shares issued 52 744 -
Decrease in shareholders` loans (7 310) (4 096)
Increase in interest bearing borrowing 4 663
Increase/(decrease) in short-term
liabilities 29 200 (764)
Net cash flows from financing 79 297 (4 860)
activities
Net increase/(decrease) in cash and
cash equivalents 16 131 (584)
Cash and cash equivalents at beginning
of period 2 089 2 673
Cash and cash equivalents at end of 18 220 2 089
period
SEGMENT REPORT
Revenue 379 596
Afriscan Group 205 101
Brisk Group 92 627
Deroma Group 62 597
Rusinga Group 39 983
Sanprop Group 49 328
Megapile Group 21 531
Intercompany elimination (91 571)
Operating Profit 34 827
Afriscan Group 14 065
Brisk Group 4 193
Deroma Group 1 272
Rusinga Group 1 946
Sanprop Group 8 006
Megapile Group 6 255
Sanyati Holdings (858)
Intercompany elimination (52)
Assets 237 217
Afriscan Group 65 758
Brisk Group 51 286
Deroma Group 19 620
Rusinga Group 10 491
Sanprop Group 22 423
Megapile Group 84 235
Sanyati Holdings 85 159
Intercompany elimination (101 755)
Liabilities 137 289
Afriscan Group 35 403
Brisk Group 43 925
Deroma Group 13 842
Rusinga Group 8 266
Sanprop Group 12 277
Megapile Group 78 098
Sanyati Holdings 32 251
Intercompany elimination (86 773)
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
Non- Share Retained Total
distributable Capital Income
Reserve
R`000 R`000 R`000
R`000
Balance at 28 February
2005 3 311 1 7 723 11 035
Net profit for the year - - 15 439 15 439
Revaluation of 75 - - 75
investment
Loss on disposal of
subsidiaries - - (2 536) (2 536)
Dividend declared - - (1 000) (1 000)
Realisation of non-
distributable reserves (200) - 200 -
Balance at 28 February
2006 3 186 1 19 826 23 013
Net profit for the - - 24 171 24 171
period
Share issue - 52 744 - 52 744
Dividend declared - - - -
Realisation of non-
distributable reserves (75) - 75 -
Balance at 28 February
2007 3 111 52 745 44 072 99 928
COMMENTARY
OVERVIEW
In a positive economic environment, Sanyati has recorded profit growth ahead of
forecasts set out in the pre-listing prospectus. A landmark year saw milestone
achievements for Sanyati: a successful listing on AltX on 2 June 2006, the
acquisition of Mega Pile (Pty) Ltd (formerly KZN Piling) in December 2006, the
ISO 9001Quality Control accreditation awarded in January 2007 and an "A"Grade
EmpowerDex rating of 65,8%.
OPERATIONAL REVIEW
Unseasonal weather conditions, coupled with the late award of certain key
contracts and the sluggish rollout of the Zambian cell phone infrastructural
contract led to a slower than anticipated start to the year, with group turnover
accordingly slightly below forecast.
While Afriscan Construction remains the primary contributor to the group
turnover and profitability, most other divisions also performed well and
contributed strongly to group results. The Road Surfacing Division, after
achieving record production tonnage during June 2006, was adversely affected by
the delays in the anticipated annual re-award of tenders due to changes at the
KwaZulu-Natal Department of Transport. However, this has been offset by
Sanprop`s profit margins on commercial property developments in light of the
national boom in this sector.
The operational restructure of the group in anticipation of the listing is now
bedded down and should yield greater efficiencies moving forward. Sanyati
continues to invest in training its core staff with the skills to grow the
company into a major player on equal footing with larger industry competitors.
FINANCIAL REVIEW
The group has achieved full year profitability of R24,2 million, 6,1% ahead of
forecast, notwithstanding turnover 11,2% below forecasts at R380,0 million. The
EBITDA margin increased from 9,6% in February 2006 to 10% for the year ended
February 2007. Headline earnings per share of 11,78 cents reflect an increase
of 6,2% over the forecast of 11,09c.
ACQUISITIONS
Post year-end Sanyati has completed the acquisition of Ruthcon, a Gauteng based
civil engineering construction company and GEM Earthworks, a construction
company with strong footprints in the Eastern Cape and Mpumalanga. This has
expanded Sanyati`s geographical reach into five provinces and increased its
skills base of experienced engineers. Further, Sanyati`s work procurement
opportunities have been enhanced with Ruthcon`s and GEM`s CIDB ratings enabling
the group to now tender on contracts of any value.
BEE
The company is in the process of issuing shares to select BEE investors to help
fund the acquisition that will increase Sanyati`s direct black shareholding from
26,6% to over 40%. This positions Sanyati at the forefront of the industry in
terms of BEE. As a result Sanyati is a level four contributor in terms of the
Department of Trade & Industry`s BBBEE Codes of Good Practice.
OUTLOOK
Having secured 90% of the anticipated R1 billion turnover forecast for the
current financial year, the directors are confident of meeting the pre-listing
revenue forecast. The order book will be strategically managed to take advantage
of opportunities at improved margins with regard to the remaining 10% capacity.
The substantial increase in government spend on infrastructure further enhances
Sanyati`s prospects. The combination of these positive factors, supported by
Sanyati`s strong BEE credentials, will see revised profit forecasts for the year
ended February 2008 to be issued on SENS by 18 May 2007. It is anticipated that
these revised forecasts will exceed the original earnings forecast of 14,09
cents per share for the current financial year to February 2008.
BASIS OF PREPARATION
The annual financial statements have been prepared in accordance with
International Financial Reporting Standards and the Companies Act of South
Africa, 1973. The accounting policies used to prepare these annual financial
statements are consistent with those applied at the previous year-end.
AUDIT OPINION
The annual financial statements for the year ended 28 February 2007 have been
audited by Sanyati`s auditors PKF. Their unqualified audit report is available
for inspection at the companies registered office.
DIVIDEND
In line with the company`s policy, no dividend has been declared.
RD Jackson MI Krouse
CEO Financial Director
16 May 2007
Registered office and postal address
Bridelia Sanyati Park, 3 Abrey Road, Kloof, KwaZulu-Natal, 3610.
PO Box 1055 Kloof, KwaZulu-Natal, 3640
Directors
RD Jackson (CEO), MI Krouse (Financial Director), K Ramkissoon, MJ Sangweni
HM Dlamini*, N Khambule* (*Non-executive)
Company secretary
MI Krouse
Transfer secretaries
Computershare Investor Services 2004 (Pty) Limited, 70 Marshall Street,
Marshalltown, 2107
Auditors
PKF Chartered Accountants (SA)
Designated advisor
Exchange Sponsors (Pty) Limited
Date: 16/05/2007 08:30:01 Produced by the JSE SENS Department.
| Profile Group (Pty) Ltd. has taken care in preparing all information on this website, but does not accept any liability for errors or out-of-date information. | |||||||||||||
| Other Profile Group sites: FundsData Online (unit trust data) | Profile Group corporate site | |||||||||||||
| [ Terms of Use | Privacy Policy | PAIA manual | FAQs/Help | Site Map | © Copyright Reserved 2026 ] | |||||||||||||
|
|||||||||||||
