| Thu 2 Dec 2010, 10:24 | | SLL - Stella Vista Technologies Limited - Audited Results for the year ending 31 |
|
SLL
SLL
SLL - Stella Vista Technologies Limited - Audited Results for the year ending 31
August 2010
Stella Vista Technologies Limited
("Stella Vista" or "the company")
(Registration number 1998/000172/06)
Share Code: SLL ISIN: ZAE000018198
AUDITED RESULTS FOR THE YEAR ENDING 31 AUGUST 2010
SUMMARISED GROUP INCOME STATEMENT
Audited twelve Audited twelve
months ended months ended
31 Aug 10 31 Aug 09
R`000 R`000
Revenue 42,871 59,779
Gross Profit 20,743 21,939
Operating (loss)/profit (after charging) (3,757) 1,703
- Depreciation 4,935 989
- Operating rentals 1,610 491
Share of equity accounted investments - (769)
Finance Income 8 35
Finance cost (351) (202)
Net (loss)/profit before taxation (4,100) 767
Income tax expense 423 (559)
Net profit after taxation (3,677) 208
Attributable to:
Equity holders of the parent company (3,542) 263
Minority interests (135) (55)
Basic and headline profit per share (cents)
Net (loss)/profit attributable to (3,542) 263
shareholders (R)
(Loss)/profit on disposal of fixed assets (32) 3
(R)
Headline (loss)profit(R) (3,510) 260
Weighted average number of shares in issue 145,000 145,000
(Loss)/earnings per share (cents) (2.4) 0.2
Headline (loss)/earnings per share (cents) (2.4) 0.2
Net Asset Value per share (cents) 7.2 10.1
SUMMARISED GROUP BALANCE SHEET
ASSETS
Non-current assets
Property, plant and equipment 9,824 14,254
Deferred income tax 670 236
10,494 14,490
Current assets
Inventories 13,258 8,760
Trade and other receivables 4,548 7,100
Cash and cash equivalents 1,491 2,833
19,296 18,693
Total assets 29,790 33,183
EQUITY AND LIABILITIES
Capital and reserves 10,489 14,599
Minority interest 305 467
Non-current liabilities
Interest-bearing borrowing 115 -
Deferred revenue 1,338 1,744
1,453 1,744
Current liabilities
Trade and other payables 11,890 14,045
Deferred revenue 938 718
Current tax liabilities 458 449
Current portion of interest-bearing 4,205 -
borrowings
Bank overdraft 52 1,161
17,543 16,373
Total equities and liabilities 29,790 33,183
SUMMARISED GROUP CASH FLOW
Cash flow from operating activities (3,970) 4,550
Cash flow from investing activities (582) (10,619)
Cash flow from financing activities 4,319 (39)
Cash and cash equivalents acquired on - (25)
acquisition of subsidiary
Decrease in cash and cash equivalents (233) (6,133)
GROUP STATEMENT OF CHANGES IN EQUITY
Capital and reserves at the beginning of the 14,599 16,152
year
Net (loss)/profit for the period (3,542) 263
Issue of shares during the year - 50
Increase in share premium during the year - 1,550
Share based payment reserve - (1,842)
Movement in foreign currency translation (568) (1,574)
reserve
Capital and reserves at the end of the 10,489 14,599
period
Segment Information
Management has determined the operating segments based on the monthly reports
reviewed by the board of the directors that are used to make strategic
decisions. The chief operating decision maker has been identified as the
group`s chief executive officer. The chief executive officer considers the
business from a geographical basis as the products and business are the same
across all business segments. The chief executive officer assesses the
performance of the operating segments based on revenue, operating profit and
cash flow. The monthly management accounts tabled at the board meeting and used
by the chief operating decision maker is in line with IFRS.
At 31 August 2010 the group is made up from the following operating segments:
South African operations, which earns revenue from the sale of the screens and
rental income from screens
United Kingdom operations, which earns rental income from renting of screens
Other, which includes head office administration and dormant entities
2010 South United Other Total
Africa Kingdom
R`000 R`000 R`000 R`000
Total segment revenue 37,232 9,316 - 46,548
Inter-segment revenue 2,201 1,477 - 3,678
Revenue from external 35,032 7,839 - 42,871
customers
Cost of sales 20,257 1,871 - 22,128
Depreciation and amortisation 1,479 3,456 - 4,935
Income tax credit/(expense) 433 - (10) 423
Inventory 13,258 - - 13,258
Total assets 20,071 9,719 0 29,790
Total liabilities 18,733 236 27 18,996
2009
Total segment revenue 66,136 119 - 66,254
Inter-segment revenue 6,475 - - 6,475
Revenue from external 59,661 119 - 59,779
customers
Cost of sales 37,835 5 - 37,840
Depreciation and amortisation 398 591 - 989
Income tax expense 550 - 9 559
Share of loss from associates - 769 - 769
Inventory 8,759 - - 8,759
Investment in associate - - - -
Total assets 17,908 15,274 0 33,183
Total liabilities 12,552 47 5,517 18,117
The Company
Stella Vista Technologies Limited is a world leader in the design of state-of-
the-art multi-media mass communications systems, providing displays, control
equipment, software for a multitude of applications and short-term rental of its
products. The complete line of multi-purpose products includes scoreboards,
video display screens, electronic perimeter boards, flight information display
boards and combined text and graphic messaging displays with real-time data
capabilities.
General
Despite the difficult trading conditions experienced during the past financial
year the directors remain confident that the company has the capacity, quality
product range and international acceptance to achieve the desired financial
results.
The Market and Prospects
We have completed the take-over of Megaview UK Limited in the current financial
year. This Company changed its name to Stella Vista International Limited, and
will act as the hub for the Group`s international business, which has been the
dominant component of our revenue stream in recent years.
The economic downturn has affected the volume of business, and the depressed
conditions are expected to remain in the short to medium turn. However, we have
managed to gain new contracts in display rentals, particularly in Europe, and
received several new orders for video displays in South East Asia and South
Africa.
Our displays were used in the 2010 ICC World Twenty20 (the third edition of the
tournament with Stella Vista displays), amongst other high profile international
events.
Results
Stella Vista was unfortunately not immune to the difficult environment that
affected the worldwide LED industry, and this is confirmed in our disappointing
financial results for the year. The reduction in our revenue, in excess of 37%
year on year, is testimony to this. Furthermore, the anticipated award of
projects from the Soccer World Cup 2010 to local suppliers never materialised
which had an negative impact on the company`s results.
Various drastic measures have and continue to be taken within the company to
adapt to the current poor economic climate, together with positive steps towards
improving our financial results.
* Strategically relocating our factory and offices to more central
location.
* Restructuring of our workforce.
* Widening our scope of products & markets.
* Further investment in our own LED rental displays with the focus on
increasing our more profitable short-term rental sales.
Products and Services
Stella Vista continues to enhance and extend its range of displays solutions. In
sports, these solutions can be customised to suit any customer demand, from
small school sports grounds to world-class venues. In-flight information
displays, the new line of SMD-based LED displays, has seen first installations
at the Sydney International Airport in Australia, and bodes well for the future.
Also, in advertising displays, we have installed several new screens at the same
airport, and are confident we can extend the market penetration in this area.
Stella Vista products and services are continually improved and upgraded to
match customer requirements. This policy applies across the board, from simple
information scoreboards, electronic perimeter displays to the video replay
screens and flight information display systems.
General
Despite the difficult trading conditions experienced during the past financial
year the directors remain confident that the company has the capacity, quality
product range and international acceptance to turn around last year`s financial
results.
Accounting Standards
The financial statements have been prepared in accordance with International
Financial Reporting Standards and the AC500 standards as issued by the
Accounting Practices Board.
The opinion of the auditors, PricewaterhouseCoopers Inc, is available for
inspection at the company`s registered office.
On behalf of the Board
M Tabakovic D Tabakovic
Chief Executive Officer Director
Directors: M Tabakovic (CEO), D Tabakovic,
R Burke*, C Livingstone* (*non-executive)
Sponsor
Arcay Moela Sponsors (Pty) Limited
Date: 02/12/2010 10:24:01 Produced by the JSE SENS Department.
The SENS service is an information dissemination service administered by the
JSE Limited (`JSE`). The JSE does not, whether expressly, tacitly or
implicitly, represent, warrant or in any way guarantee the truth, accuracy or
completeness of the information published on SENS. The JSE, their officers,
employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature,
howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
