| Mon 31 May 2010, 11:41 | | WIL - Wilderness - Posts solid maiden results in challenging year |
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WIL
WIL
WIL - Wilderness - Posts solid maiden results in challenging year
WILDERNESS HOLDINGS LIMITED
(formerly Wilderness Holdings (Proprietary) Limited)
(Incorporated in Botswana on 23 February 2004)
(Registration number 2004/2986)
(Registered as an external company in South Africa on 27 November 2009)
ISIN: BW0000000868
Share code: WIL
("the company")
WILDERNESS POSTS SOLID MAIDEN RESULTS IN CHALLENGING YEAR
Gaborone, Botswana, 31 May 2010 - Conservation tourism pioneer Wilderness
Holdings, which listed on the Botswana Stock Exchange and the Johannesburg Stock
Exchange`s Africa board on 8 April this year, posted a profit of P48 million
(R49 million) in its maiden results as a listed company for the year ending 28
February 2010.
Chief executive Andy Payne said it had been a challenging year for the tourism
industry worldwide as a result of the global economic downturn, which
significantly impacted on tourism spend. The company performed well under these
conditions, improving EBITDA by 9% over the previous year to P115 million (R118
million) while earnings per share and headline earnings per share were 20.57
thebe (21.02 cents) and 20.44 thebe (20.89 cents) respectively. The company
also generated P131 million (R134 million) of cash from its operations and, as a
result, its net cash position improved from P39 million to P64 million (R65
million).
The company was able to limit the impact of lower demand on profitability by
significantly reducing expenditure without compromising on guest experience or
facility maintenance. This resulted in a 4% increase in its gross profit
percentage over the previous year. It also reduced its fixed cost base by 13%
compared to the prior year. Occupancy levels in the company`s mature-state
business declined from 65% to 59%, while those in its developing and Zimbabwe-
based businesses had dropped from 42% to 41%. Operating profit for the year, up
12% in comparison with the previous year, was also impacted by the strength of
the Rand and the Pula against the US Dollar.
Looking ahead Payne said the tentative upturn in the global economy had resulted
in an improvement in market conditions, which should result in occupancy levels
rising slightly in the year ahead, but there is still a high level of
uncertainty in world markets. "Barring any further deterioration in trading
conditions or a continued strengthening of the Pula and Rand against the Dollar,
we are cautiously optimistic about future prospects."
"Given the significant cost savings and rightsizing we achieved during the year,
as well as the strength of our balance sheet which will be further buoyed by the
US$4.5 million (P33 million; R34 million) sale of the assets of our Duba Plains
camp in Botswana, we are ready to weather any further storms and to capitalise
on a rebound in the market," he said. "Meanwhile the company will continue to
focus on achieving financial growth through increasing our market share and
investing in marketing and operating scale opportunities."
For further information contact Andy Payne, CEO Wilderness Holdings, on 083 309
4904
Issued by du Plessis Associates on behalf of Wilderness Holdings Limited
dPA contact Helen McKane Tel : +27 11 728 4701, Fax: +27 11 728 2547, Mobile:
082 330 2034 or e-mail: wilderness@dpapr.com
Date: 31/05/2010 11:41:01 Produced by the JSE SENS Department.
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