| Thu 23 Sep 2010, 16:50 | | RAR - Rare Holdings Limited - Trading Statement Update |
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RAR
RAR
RAR - Rare Holdings Limited - Trading Statement Update
RARE HOLDINGS LIMITED
(Incorporated in the Republic of South Africa)
Registration Number: 2002/025247/06
Share Code: RAR ISIN: ZAE000092714
("the Company" or "Rare")
TRADING STATEMENT UPDATE
In accordance with paragraph 3.4(b) of the Listings Requirements of the JSE
Limited, a company is required to publish a trading statement as soon as it
becomes aware, with a reasonable degree of certainty, that the financial results
for the next period to be reported on are likely to vary by more than 20% from
the previous corresponding period.
Further to the trading statement released on SENS on 7 June 2010, shareholders
are advised that the Company now has a reasonable degree of certainty that the
Company will report a basic loss per share of between 62.4 cents and 68.4 cents
and a headline loss per share of between 29.2 cents and 35.4 cents attributable
to ordinary shareholders for the year ended 30 June 2010, compared to a basic
earnings per share and headline earnings per share of 30.09 cents and 30.98
cents, respectively, for the previous comparable period.
The decline in the Company`s results is mainly attributable to delays in and a
reduction of public and private expenditure on infrastructure and project work,
together with the effect of strong rand and fluctuations in the steel price,
which resulted in lower margins. Earnings per share were furthermore affected by
impairment of goodwill relating to past acquisitions made.
The Company has experienced an increase in activity post year end, substantiated
by a healthy order book, which, together with Rare`s reduced cost base, bodes
well for future prospects.
All of the aforementioned matters will be expanded on in the Company`s financial
results for the year ended 30 June 2010, which will be released on SENS or about
28 September 2010.
This trading statement has not been reviewed or reported on by the Company`s
external auditors.
Johannesburg
23 September 2010
Designated Adviser: PSG Capital (Proprietary) Limited
Date: 23/09/2010 16:50:01 Produced by the JSE SENS Department.
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