| Mon 7 Sep 2009, 9:52 | | PET - Petmin - Updated trading statement |
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PET
PET
PET - Petmin - Updated trading statement
Petmin Limited
(Incorporated in the Republic of South Africa)
(Registration number: 1972/001062/06)
Share code JSE: PET & ISIN: ZAE000076014
Share code AIM: PTMN
("Petmin" or "the company")
Updated Trading statement
In accordance with the JSE`s listing requirements, which stipulate that a
company has to publish a trading statement if an increase or decrease of more
than 20% (compared with the previous reporting period) in its basic earnings per
share and headline earnings per share is expected, and with reference to the
trading statement published on 7 July 2009, shareholders are hereby advised that
Headline Earnings per share for the year ended 30 June 2009 are expected to be
in excess of 22 cents per share, up from 15.31 cents per share for the 12 months
ended 30 June 2008, an increase in excess of 40% (on 7 July the Trading Update
indicated an increase in excess of 30%) .
This growth in headline earnings per share was achieved as a result of managing
operational costs down and optimising revenues through the considered use of
long-term off-take agreements (for Petmin`s products) with financially sound
counterparties and currency hedging strategies. The Group`s Headline Earnings
were R121 million, up from R77 million in 2008, an increase of 57%.
On 7 July it was reported that "Earnings per share" for 30 June 2009 could not
be determined at the time as the relevant IFRS fair value adjustments had not
been finalised yet. Petmin can now report that during the year under review
Petmin increased its interest to an effective 34.9% (2008: 25%) economic
interest in Veremo Minerals (Pty) Ltd. The resultant fair value on acquisition
of the additional interest resulted in a share of profit of equity accounted
investee of R78 million (2008: R303 million) being recognised in income. This is
an accounting profit and has no impact on cash or Headline Earnings going
forward.
On 7 July it was reported that the company had concluded the sale of Springlake
Holdings (Pty) Limited ("Springlake") and as a result of delays in meeting all
the conditions precedent (the sale agreements were signed in the early part of
2008) , during which period global market conditions dramatically declined, the
final purchase consideration was adjusted in line therewith and as a result the
company received proceeds of R 85 million on the sale, resulting in an
accounting loss of approximately R 79 million.
As a result of the above, Earnings per share for the year ended 30 June 2009 are
expected to be 21.86 cents per share, down from 75.43 cents per share for the
year ended 30 June 2008, a decrease of 71%. This is due to the inclusion of R303
million recognised in income in 2008, on the initial acquisition of the 25%
investment in Veremo Holdings (Pty) Ltd.
It is expected that the Reviewed Results will be published on or about 9
September 2009.
Enquiries:
Petmin Nominated Adviser
Bradley Doig (COO) Numis Securities Limited
+27 824 597 818 John Harrison
+44 207 260 1000
Sponsor and Corporate Adviser
River Group
Andrew Lianos +27 83 44083 65
07 September 2009
Johannesburg
Date: 07/09/2009 09:52:20 Produced by the JSE SENS Department.
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