| Fri 28 May 2010, 16:32 | | ITR - Intertrading - Abridged audited results for the year ended 28 February |
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ITR
ITR
ITR - Intertrading - Abridged audited results for the year ended 28 February
2010
INTERTRADING LTD
Registration number 1987/004777/06
Share code ITR & ISIN code ZAE000015566
("Intertrading" or "the group" or "the company")
ABRIDGED AUDITED RESULTS FOR THE YEAR ENDED 28 FEBRUARY 2010
At At
28 February 28 February
ABRIDGED CONSOLIDATED 2010 2009
STATEMENTS OF FINANCIAL POSITION R`000 R`000
ASSETS
Non-current assets
- Property, plant and equipment - 3,441
- Goodwill - 4,648
- Deferred taxation - 3,472
Current assets 26,397 39,459
26,397 51,020
EQUITY AND LIABILITIES
Equity 23,606 34,179
Deferred taxation - 284
Current liabilities 2,791 16,557
26,397 51,020
Year ended Year ended
28 February 28 February
ABRIDGED CONSOLIDATED 2010 2009
STATEMENTS OF CASH FLOWS R`000 R`000
Cash receipts from customers 161,205 190,049
Cash paid to suppliers and employees (159,345) (190,430)
Cash generated/(utilised) by operations 1,860 (381)
Interest income 667 897
Finance costs (48) (108)
Taxation paid (674) (917)
Cash generated/(utilised) by operating 1,805 (509)
activities
Cash inflow from disposal of businesses - 4,479 -
Note 1
Net cash outflow/(inflow) from other 1,196 (1,150)
investing activities
Net cash outflow from financing activities (2,471) (2,067)
Net movement in cash 5,009 (3,726)
Net cash resources at beginning of the year 18,105 21,831
Net cash resources at end of the year 23,114 18,105
SEGMENTAL ANALYSIS
Segmental revenue
Fresh produce exports 46,334 44,535
Freight forwarding 135,805 155,286
Listed public company costs & 431 1,500
administration
Less internal revenue (19,399) (21,825)
Net revenue 163,171 179,496
Segmental results
Fresh produce exports 794 1,224
Freight forwarding 2,532 1,247
Listed public company costs & (2,904) (1,513)
administration
Loss on disposal of business (5,137) -
Costs related to disposal of investments (939) -
Employee share incentive scheme costs (1,356) -
Operating (loss)/profit before interest (7,010) 958
Year ended Year ended
28 February 28
February
ABRIDGED CONSOLIDATED STATEMENTS OF 2010 2009
OTHER COMPREHENSIVE INCOME R`000 R`000
All items in this statement are from
discontinued operations (except for Investment
revenue)
Revenue 163,171 179,496
Cost of Sales (138,453) (155,442)
Gross profit 24,718 24,054
Other income 401 179
Operating costs (24,697) (24,419)
Operating profit/(loss) before material items
separately disclosed 422 (186)
Material items separately disclosed
Bad debt reversal - 1,144
Loss on disposal of business (6,076) -
Loss on disposal of businesses - Note 1 (5,137) -
Costs related to disposal of investments (939) -
Employee share incentive scheme costs (1,356) -
Operating (loss)/profit before interest (7,010) 958
Investment revenue 667 897
(Loss)/income from equity accounted (187) 437
investments
Finance costs (48) (108)
Net (loss)/profit before taxation (6,578) 2,184
Taxation (995) 2,707
Total comprehensive (loss)/income for the year (7,573) 4,891
attributable to equity shareholders
Year ended Year ended
28 February 28
February
ABRIDGED CONSOLIDATED 2010 2009
STATEMENTS OF CHANGES IN EQUITY R`000 R`000
Equity at beginning of period 34,179 31,288
Total comprehensive (loss)/income (7,573) 4,891
Dividend (3,000) (2,000)
Equity at end of period 23,606 34,179
NOTE 1 - DISPOSAL OF BUSINESSES
Property, plant & equipment 3,237
Goodwill 4,648
Deferred tax 3,294
Inventories 205
Trade & other receivables 18,622
Cash & cash equivalents 4,321
Loans to group companies (265)
Trade & other payables (19,685)
Current tax payable (50)
Investment in Joint Venture (390)
Net assets disposed of 13,937
Loss on disposal (5,137)
Proceeds on disposal 8,800
Net cash disposed of (4,321)
Cash inflow on disposal of businesses 4,479
The financial information contained in this report has been audited by the
group`s auditors, PKF (Jhb) Inc. A copy of the unqualified audit report is
available for inspection at Intertrading`s registered office.
Year ended Year ended
28 28
February February
2010 2009
SUPPLEMENTARY INFORMATION R`000 R`000
Number of ordinary shares ( ` 000) 50,000 50,000
Weighted average number of shares in issue 50,000 50,000
(`000)
Reconciliation of headline (loss)/earnings
Headline (loss)/earnings (1,491) 4,907
Less:Loss on disposal of business (6,076) -
Less:Loss on disposal of assets (8) (22)
Add:Tax effect on loss on disposal of assets 2 6
Basic (loss)/earnings (7,573) 4,891
(Loss)/earnings per share (cents) (15.1) 9.8
Headline (loss)/earnings per share (cents) (3.0) 9.8
Net asset value per share - excluding
intangible assets (cents) 47.2 59.1
Net Asset value per share - including 47.2 68.4
intangible assets (cents)
Dividends per share (cents) 6.0 4.0
COMMENTARY
During the past year the Board of Intertrading has been searching for a way in
which a critical mass could be achieved for the company to justify the current
listing and associated overhead costs. After close examination, the growth
potential of the underlying businesses was found to be limited and no suitable
solution to the above conundrum could be achieved.
The decision was taken that in the interests of shareholders and the maintenance
of value, it would be advisable to sell the underlying businesses and thus
unlock value. The two operating entities namely Agrilink and Sky services were
sold as advised in the Circular dated on 5th February 2010 and approved by
shareholders on 26th February 2010 and the investments converted into cash.
Intertrading is now classified as a "cash shell" and it is the Board`s intention
to seek shareholder approval to distribute some capital while investigating
other alternatives.
Accordingly the Board is proposing to make a payment of R15,000,000 in
aggregate, to shareholders by way of a specific payment out of the company`s
share premium account representing 30 cents per share.
The declaration of the specific payment out of share premium is subject to
shareholders` approval at the annual general meeting.
DIRECTORATE
BR Julicher and GFM van Rooyen resigned as directors on 26 February 2010. JF
Zwarts was appointed as financial director on 11 November 2009 while AA Deiner
stepped down as financial director to fulfill a non-executive role in the
company on 11 November 2009. No further changes to the management structure or
composition of the Board were made.
BASIS OF PREPARATION AND ACCOUNTING POLICIES
The results for the year ended 28 February 2010 and the comparative information
have been prepared in terms of International Financial Reporting Standards
(IFRS). The results also comply with IAS34 (Interim Financial Reporting) and
the relevant sections of the South African Companies Act 1973, as amended, as
well as the AC 500 standards as issued by the Accounting Practices Board and in
terms of the Listings Requirements of the JSE Limited. The accounting policies
applied in the preparation of the results for the year ended 28 February 2010
are consistent with those adopted in the financial statements for the year ended
28 February 2009.
By order of the board
GG Burelli (Chairman) JF Zwarts (Financial Director)
Johannesburg 28 May 2010
Registered office: Unit 2, Perishable Cargo Triangle, Northern Perimeter Road,
OR Tambo International Airport, Johannesburg, 2001 (PO Box 11094, Aston Manor,
1630)
Directors: Non-executive: CPV Jousse, GG Burelli (Chairman), AA Deiner.
Executive: JF Zwarts (Group Financial Director)
Transfer secretaries: Computershare Investor Services (Pty) Limited. 70 Marshall
Street, Johannesburg, 2001 (PO Box 61051, Marshalltown, 2107)
Auditors: PKF (Jhb) Inc., 42 Wierda Road West, Wierda Valley, Sandton, 2196.
(Private Bag X10046, Sandton, 2146)
28 May 2010
Sponsor: Sasfin Capital
(A division of Sasfin Bank Limited)
Date: 28/05/2010 16:32:01 Produced by the JSE SENS Department.
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