| Tue 9 Feb 2010, 11:07 | | CMO - CHROMETCO LTD:- Previously Unaudited Interim Consolidated Financial |
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CMO
CMO
CMO - CHROMETCO LTD:- Previously Unaudited Interim Consolidated Financial
Results for the Six Months Ended 31 August 2009 now Reviewed due to Circular
Chrometco Limited
(Incorporated in the Republic of South Africa)
(Registration number 2002/026265/06)
Share code: CMO ISIN: ZAE00007020249
("Chrometco" or "the group")
PREVIOUSLY UNAUDITED INTERIM CONSOLIDATED FINANCIAL RESULTS FOR THE SIX MONTHS
ENDED 31 AUGUST 2009 NOW REVIEWED DUE TO CIRCULAR.
During the preparation of a circular regarding the Lime-Chem (Pty) Ltd
acquisition announced on SENS on 29 June 2009 and subsequent acquisitions in a
SENS announcement dated 18 November 2009, the previously unaudited interim
results for the group were reviewed by the independent auditors, RSM Betty &
Dickson (Johannesburg), in order for them to sign-off on the pro-forma effects
of the transactions. The reviewed interim consolidated results for the six
months ended 31 August 2009, as well as the unaudited results for the same
period published on SENS on 9 October 2009, are accordingly set out below:
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
Reviewed Previously Unaudited
Interim Published Interim as
as at Unaudited at
31 Aug 09 Interim as 31 Aug 08
R`000 at R`000
31 Aug 09
R`000
ASSETS
Non-current assets 3 256 2 991 4 992
Motor vehicles and equipment 56 64 639
Deferred taxation 600 327 642
Intangible assets 2600 2 600 2 600
Other long-term receivables - - 1 111
Current assets 34 485 35 090 27 235
Trade and other receivables 705 343 1 677
Cash and cash equivalents 33 780 34 747 25 558
Total assets 37 741 38 081 32 227
EQUITY AND LIABILITIES
Capital and reserves 33 821 33 904 28 472
Issued capital 2 2 2
Share premium 35 485 35 485 35 985
Non-distributable reserves - - -
Accumulated loss (1 666) (1 583) (7 515)
Non-controlling interests - - -
Non-current liabilities - - 269
Long-term finance leases - - 269
Current liabilities 3 920 4 177 3 486
Trade and other payables 1 013 1 270 1 531
Provisions - - 1 525
Taxation payable 2 907 2 907 430
Total equity and liabilities 37 741 38 081 32 227
Net asset value per share (cents) 18.29 18.33 15.09
Net tangible asset value per share 16.88 16.93 13.71
(cents)
Closing number of shares (`000) 184 929 184 929 188 594
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
Reviewed Previously Unaudited
Interim 6 Published Interim 6
months Unaudited months
ended Interim 6 ended
31 Aug 09 months 31 Aug 08
R`000 ended R`000
31 Aug 09
R`000
Revenue - - -
Cost of sales - - -
Gross profit - - -
Other income - - 2 047
Operating expenses (3 442) (3 068) (6 443)
Impairment of intangible assets - - -
Net loss before interest
and taxation (3 442) (3 068) (4 396)
Investment income 1 310 1 293 1 461
Finance charges - - -
Net loss before taxation (2 132) (1 775) (2 935)
Taxation 273 - -
Attributable to non-controlling interest - - -
Net Loss for the period (1 859) (1 775) (2 935)
Other comprehensive income - - -
Taxation on other comprehensive income - - -
Total comprehensive income/ (loss)
for the period (1 859) (1 775) (2 935)
Reconciliation between earnings and
headline earnings per share
Basic loss per share (cents) (1.01) (0.96) (1.55)
Diluted loss per share (cents) (1.01) (0.96) (1.55)
Headline loss per share for the half year ended 31 August 2009
Loss for the six months (1 859) (1 775) (2 935)
Adjustments:
Fair value adjustment - - -
Impairment loss - - -
Headline loss attributable to ordinary (1 859) (1 775) (2 935)
shareholders
Headline loss per share (cents) (1.01) (0.96) (1.55)
Weighted average number of shares (`000) 184 929 184 929 188 594
CONSOLIDATED CASH FLOW STATEMENTS
Reviewed Previously Previously
Interim 6 Published Published
months ended Unaudited Unaudited
31 Aug 09 Interim 6 Interim 6
R`000 months months
ended 31 ended 31
Aug 09 Aug 08
R`000 R`000
Cash flows from operating activities (2 811) (1 844) (3 737)
Cash flows from investing activities - - -
Cash flows from financing activities - - -
Net movement in cash and cash (2 811) (1 844) (3 737)
equivalents
Cash and cash equivalents at the 36 591 36 591 29 295
beginning of the period
Cash and cash equivalents at the end 33 780 34 747 25 558
of the period.
CONSOLIDATED STATEMENT IN CHANGES OF EQUITY
Capital Minority Reserve Retained Total
and interest Earnings
Premium
R`000 R`000 R`000 R`000 R`000
Balance at 1 March 2007 14 853 - - (15 055) (202)
(unaudited)
Issue of shares 23 132 - - - 23 132
Repurchase of shares (1 998) - - - -1 998
Net profit for the period - - - 9 275 9 275
Balance at 29 February 2008 35 987 - - (5 780) 30 207
(unaudited)
Balance at 1 March 2008 35 987 - - (5 780) 30 207
(unaudited)
Issue of shares - - - - -
Repurchase of shares (500) - - - (500)
Net profit for the period - - - 5 973 5 973
Balance at 28 February 2009 35 487 - - 193 35 680
(unaudited)
Balance at 1 March 2009 35 487 - - 193 35 680
(unaudited)
Issue of shares - - - - -
Repurchase of shares - - - - -
Net loss for the period - - - (1 859) (1 859)
Balance at 31 August 2009 35 487 - - (1 666) 33 821
(reviewed)
COMMENTARY - Financial and operational overview.
1. The directors present the reviewed interim consolidated financial results
for the six months ended 31 August 2009
2. Basis of preparation
The accounting policies of the group comply in all material respects with
recognition and measurement criteria of International Financial Reporting
Standards ("IFRS") and its interpretations adopted by the International
Accounting Standards Board ("IASB") in issue and effective at 31 August 2009,
as well as the presentation and disclosure requirements of IAS 34 - Interim
Financial Reporting, the JSE Listings Requirements and the Companies Act of
1973. The accounting policies and methods of measurement and recognition are
consistent with those applied in the financial period ended 28 February 2009.
3. Auditors` report
The Chrometco group`s auditors, RSM Betty & Dickson (Johannesburg), have
reviewed these interim results. Their unqualified report is available for
inspection at the company`s registered office during normal office hours.
4. Investments are valued at cost less accumulated impairment losses.
5. Nature of business.
The company is involved in the exploration of mineral resources and the
possible beneficiation thereof.
6. General review of operations.
During the period under review, the group focused its attention on the
following important issues:-
- Finalisation of the sale of its chrome ore reserve.
- The acquisition of Lime-Chem (Pty) Ltd.
- The acquisition of mineral rights, and business opportunities in the
Republic and elsewhere in Africa.
- Optimisation of the allocation of capital resources
7. Use of estimates and basis for adjustments
The preparation of the previously published unaudited interim financial
statements, as well as the reviewed interim financial statements requires
management to make judgements, estimates and assumptions that affect the
application of accounting policies and the reported amounts of assets and
liabilities, income and expense. Actual results may differ from these
estimates. The adjustments to the previously published unaudited information
arose due to the recognition of deferred taxation assets relating to the
Chrometco Limited`s estimated taxable loss for the six months ended 31 August
2009. The previously published unaudited financial information did not reflect
the deferred taxation asset due to uncertainty surrounding the foresee ability
of the existence of future taxable income against which the estimated tax loss
could be utilised. The circumstances pertaining to the uncertainty surrounding
estimates previously used in measuring deferred taxation assets subsequently
abated in December 2009. Additionally, other adjustments to the previously
published unaudited interim financial information arose due to the recognition
of reconciling items between key balance sheet reconciliations and supporting
documentation between the period 1 March 2009 and 31 July 2009, in the
reviewed interim financial results.
For and on behalf of the board of directors
PJ Cilliers
Managing Director
9 February 2010
Directors: PC Baloyi (Chairman), PJ Cilliers (MD),
JG Scott, TW Scott (FD)
Designated Advisor: Sasfin Capital, a division of Sasfin Bank.
Company Secretary: Computershare
Registered Office
Building no 10, Ground Floor
Waterford Office Park
Cnr Waterford Drive & Witkoppen Road
Fourways
(P.O.Box 3787, Dainfern. 2055)
www.chrometco.co.za
Date: 09/02/2010 11:07:02 Produced by the JSE SENS Department.
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