|
ZCI
ZAKK
ZCI - Zambia Copper Investments - Consolidated Income Statement for the year
ended 31 March 2008 expressed in thousands of US Dollars
ZAMBIA COPPER INVESTMENTS LIMITED
(Registered in Bermuda)
("ZCI" or "the Company")
JSE code: ZCI
ISIN: BMG988431240
Consolidated Income Statement for the year ended 31 March 2008
expressed in thousands of US Dollars
Year ended Year ended
31 March 31 March
2008 2007
Finance income 465 730
General and administration expenses (5,956) (849)
Income from associated company 36,268 85,577
Net cost arising from assets (2,732) -
classified as held for sale
Profit before taxation 28,045 85,458
Taxation (67) (60)
Profit for the year 27,978 85,398
Headline earnings per ordinary share 25.62 67.67
in US cents
Net profit per ordinary share in US 22.17 67.67
cents
Number of ordinary shares in issue 126,197,362 126,197,362
Consolidated Balance Sheet
as at 31 March 2008
expressed in thousands of US Dollars
31 March 31 March
2008 2007
Non-current assets
Long term accounts receivable - 4,890
Investment in associated company - 170,313
- 175,203
Current assets
Available for sale investment 12,322 10,593
Assets classified as held for sale 205,398 -
Accounts receivable 5,258 5,250
Cash and cash equivalents 6,584 2,856
229,562 18,699
Current liabilities
Accounts payable and accrued (7,296) (188)
liabilities
Net current assets 222,266 18,511
Total assets less current liabilities 222,266 193,714
Net assets 222,266 193,714
Capital and reserves
Capital 334,547 334,547
Revaluation reserve 702 573
Deficit on hedging reserve - (12,558)
Amounts recognised directly in equity (12,113) -
relating to assets classified as held
for sale
Accumulated deficit (100,870) (128,848)
Shareholders` equity 222,266 193,714
Consolidated statement of changes to equity
for the year ended 31 March 2008
expressed in thousands of US Dollars
Share Contributed Revaluation
capital surplus reserve
Balance at 30,299 304,248 42
31 March 2006
Revaluation on - - 531
available for
sale investment
Hedging reserve - - -
of associated
company
Profit for the - - -
year
Balance at 31 30,299 304,248 573
March 2007
Revaluation on - - 129
available for
sale investment
Hedging reserve - - -
of associated
company
Transfer from - - -
hedging reserve
Profit for the - - -
year
Balance at 31 30,299 304,248 702
March 2008
Table continues
Hedging Assets classified Accumulated Total
reserve as held for sale deficit equity
Balance at (14,420) - (214,246) 105,923
31 March
2006
Revaluation - - - 531
on
available
for sale
investment
Hedging 1,862 - - 1,862
reserve of
associated
company
Profit for - - 85,398 85,398
the year
Balance at (12,558) - (128,848) 193,714
31 March
2007
Revaluation - - - 129
on
available
for sale
investment
Hedging 445 - - 445
reserve of
associated
company
Transfer 12,113 (12,113) - -
from
hedging
reserve
Profit for - - 27,978 27,978
the year
Balance at - (12,113) (100,870) 222,266
31 March
2008
Consolidated statement of cash flows
for the year ended 31 March 2008
expressed in thousands of US Dollars
Year ended Year ended
31 March 31 March
2008 2007
Cash flow from operating activities
Cash paid to suppliers and employees (3,198) (876)
Cash absorbed by operations (3,198) (876)
Interest received 135 114
Income tax paid (86) (76)
Net cash absorbed by operating (3,149) (838)
activities
Cash flow from investing activities
Purchase of available for sale (1,600) (7,220)
investments
Dividends received from associated 1,628 1,628
company
Dividends received from assets 1,629 -
classified as held for sale
Proceeds from partial disposal of 5,220 5,220
investment in subsidiary
Cash generated / (absorbed) by 6,877 (372)
investing activities
Net increase / (decrease) in cash 3,728 (1,210)
Net cash at the beginning of the year 2,856 4,066
Net cash at the end of the year 6,584 2,856
ACCOUNTING POLICIES
The principal accounting policies applied in the preparation of these
consolidated financial results for the year ended 31 March 2008 are in
accordance with International Financial Reporting Standards.
The consolidated balance sheet of Zambia Copper Investments Limited and its
subsidiaries (the "Group") for the year ended 31 March 2008 and the related
consolidated statements of income, cash flow and changes in shareholders`
equity for the year then ended, were audited by KPMG Audit S.a.r.l.,
Luxembourg. The report of the auditors will be available for inspection at the
registered office of the Company. These consolidated financial results are
the responsibility of the Board of Directors.
PROFIT PER SHARE
2008 2007
Net profit attributable to 27,978 85,398
shareholders
Add exceptional expenses:
Negative fair value of derivative 4,361 -
linked to assets classified as held
for sale
Headline earnings 32,339 85,398
Weighted average number of shares in issue 126,197,362 126,197,362
Headline earnings per ordinary share (US cents) 25.62 67.67
Basic net profit per ordinary share (US cents) 22.17 67.67
CHAIRMAN`S REPORT
I am pleased to present the Company`s audited consolidated financial results
for the year ended 31 March 2008. These results are largely comparable to the
reviewed interim results for the six months ending 31 September 2007, being the
first time that the Company reflected it`s investment in KCM as a held-for-sale
investment in terms of IFRS 5. The Company`s consolidated net profit figure for
the year was USD 28.0 million (2007: USD 85.4 million) and a profit per share
figure in US cents of 22.17 (2007: US cents 67.67). These figures are in line
with expectations, given that since its September 2007 interim reporting
period, the Company has not included any income attributable to Konkola Copper
Mines ("KCM"), other than the cash dividends received.
When reviewing these results, it is important to note that the carrying value
of ZCI`s investment in KCM is based on the value reflected in the September
2007 interim accounts. The difference between the valuation price of USD 213.15
million, as determined by N M Rothschild & Sons Limited, and the carrying value
of USD 205.398 million, together with the KCM hedging reserve of USD 12.133
million, is a negative derivative financial liability of USD 4.361 million.
Although the valuation price was known in mid-January 2008, the call option
transaction was only completed on 9 April 2008, being after the close of the
Company`s financial year end.
On 6 March 2008, Shareholders will have seen the announcement of the unaudited,
pro-forma, projected NAV of the Company post completion of the transaction of
US cents 185.95 per share. This figure was calculated based on figures
available to the company at 29 February 2008. The Company`s updated and
unaudited NAV post completion of the transaction, applying and using figures
available to the Board as at 31 May 2008, is US cents 186.59 per share. This
figure takes into account the actual and accrued expenses relating to the
arbitration, together with growth on the invested funds to the end of May 2008.
The end of the 2008 financial year also effectively marks the end of an
extremely trying and stressful five and a half year period for the Company, its
shareholders and the Board, as the completion of the call option transaction on
10 April 2008, finally concluded the contractual process imposed on the Company
and its Board by Anglo American Plc when it exited from its investment in KCM
towards the end of 2002.
The Directors of ZCI are in the process of evaluating various options for the
future of the Company. These options will be presented to shareholders at a
Special General Meeting to be held on the same date as the Company`s Annual
General Meeting. At the meeting, shareholders will be requested to vote on the
future direction of ZCI and whether the Company should continue in business or
whether the assets should be distributed to shareholders and the Company wound
up. Shareholder approval authorising the Company to repurchase its shares if
necessary, will also be sought from the Annual General Meeting. Detailed
proposals and the recommendations of the directors will be disseminated to
shareholders by way of a circular containing the notice of Special General
Meeting, which will be posted in advance of the combined Annual/Special General
Meeting.
ANNUAL GENERAL MEETING
Notice is hereby given that the annual general meeting of the Company will be
held at Hotel Novotel, 35 rue du Laboratoire, Luxembourg, on 24 September 2008
at 11h00 to transact the business as stated in the notice of annual general
meeting, which will be included in the annual report.
Thomas Kamwendo
Chairman
Bermuda, 30 June 2008
Registered office
Clarendon House, 2 Church Street, Hamilton, Bermuda
Transfer Secretaries
Computershare Investor Services (Pty) Limited, 70 Marshall Street,
Johannesburg, 2001
Website: www.zci.lu
16 July 2008
Date: 16/07/2008 10:12:02 Produced by the JSE SENS Department.
The SENS service is an information dissemination service administered by the
JSE Limited (`JSE`). The JSE does not, whether expressly, tacitly or
implicitly, represent, warrant or in any way guarantee the truth, accuracy or
completeness of the information published on SENS. The JSE, their officers,
employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature,
howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
| 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 ] | |||||||||||||
|
|||||||||||||
