| Wed 9 Mar 2011, 17:06 | | BCF - Bowler Metcalf Limited - Condensed unaudited results for the six months |
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BCF
BCF
BCF - Bowler Metcalf Limited - Condensed unaudited results for the six months
ended 31 December 2010
BOWLER METCALF LIMITED
(registration number 1972/005921/06)
Share code: BCF
ISIN Code: ZAE000030797
CONDENSED UNAUDITED RESULTS FOR THE SIX MONTHS ENDED 31 December 2010
R mil
FINANCIAL POSITION 31/12/10 31/12/09 % 30/06/10
Property, plant and 143.5 163.4 153.1
equipment
Deferred tax 3.2 3.9 3.3
Goodwill 15.9 15.9 15.9
Investments 1.3 1.5 1.3
Current assets 335.1 235.9 251.8
TOTAL ASSETS 499.0 420.6 +19 425.4
Total equity 375.8 319.2 +18 348.0
Deferred tax 16.4 17.3 17.7
Long term liabilities 6.6 5.1 4.37
Current liabilities 100.2 79.0 556.4
TOTAL EQUITY AND LIABILITIES 499.0 420.6 425.4
COMPREHENSIVE INCOME
Revenue 297.3 242.8 +22 518.2
Other income 3.3 0.1 3.1
Operating costs -232.5 -181.0 -390.5
Depreciation -16.0 -16.7 -32.2
Impairments - -2.8 -1.0
Net interest 2.4 0.4 0.7
Net profit before tax 54.5 42.8 +27 98.3
Income tax expense -14.7 -14.0 -28.8
Total comprehensive income 39.8 28.8 69.5
Attributable to minorities -2.7 -0.7 -2.8
Attributable to parent 37.1 28.1 +32 66.7
EARNINGS PER SHARE
Earnings (c) 46.2 34.9 +32 83.0
Disposal of assets - - -
Impairments - 2.8 1.2
Headline earnings (c) 46.2 37.7 +22 84.2
CASH FLOW
Operating activities 7.5 40.2 84.7
Investing activities -6.3 -19.8 -21.1
Financing activities 2.5 -4.2 -5.4
Net cash flow 3.7 16.2 58.2
Opening balance 81.6 23.4 23.4
Closing balance 85.3 51.6 81.6
Bank overdrafts - -12.0 -
ADDITIONAL INFORMATION
Div/share paid (c) 15.0 14.9 +1 27.9
Div/share proposed (c) 15.6 13.0 +20 28.0
Dividend cover (times) 2.9 2.9 3.0
Capital expenditure (mil) 6.4
Weighted shares in issue 80.425 80.345 80.353
(mil)
CHANGES IN EQUITY
Share Retained Treasury Share Minorities Total
Capital Earnings Shares based Equity
payments
June 09 21.5 308.5 -34.5 0.5 6.3 302.3
Comp Income - 28.1 - 0.3 0.7 29.1
Divs/other - -12.2 - - - -12.2
December 09 21.5 324.4 -34.5 0.8 7.0 319.2
Comp Income - 38.6 - - 2.1 40.7
Divs/other - -10.4 -1.5 0.4 -0.4 -11.9
June 10 21.5 352.6 -36.0 1.2 8.7 348.0
Comp Income - 37.1 - - 2.7 39.8
Divs/other - -12.3 0.7 0.2 -0.6 -12.0
December 10 21.5 377.4 -35.3 1.4 10.8 375.8
SEGMENTAL ANALYSIS
Plastic Filling Property Unallocated Eliminated Total
Revenue
Jul-Dec 09 143.5 125.5 5.9 - -32.1 242.8
Jan-Jun 10 163.2 137.0 7.6 - -32.4 275.4
Jul-Dec 10 153.5 175.7 7.0 - -38.9 297.3
Profits
Jul-Dec 09 24.1 2.0 2.8 -0.8 - 28.1
Jan-Jun 10 29.1 5.1 3.6 0.8 - 38.6
Jul-Dec 10 26.0 7.7 3.4 - - 37.1
Total assets
Dec 09 283.9 134.7 72.5 15.9 -86.4 420.6
Jun 10 310.7 114.20 85.4 15.9 -100.8 425.4
Dec 10 340.7 159.5 87.0 15.9 -104.1 499.0
COMMENT
The six month results exceeded the second half upturn in the FMCG market, with
revenue rising 22.5% to R297m and earnings 32% to R37m. Additional working
capital requirements restricted cash flow to R39m (positive) and the 20%
increase in dividends is prudent.
Plastic Operations
The supply pipeline post World Cup remained empty until October, where after
there was a marked uptick in activity, yielding a revenue rise of 7%. Cost
controls helped earnings to increase by 8%, despite some "panic" pricing from
competitors who were faced with idle equipment at midyear. The new expansion
into KZN has begun to show modest profits. Our order book is good for the second
half year and we will manage the raw material increases facing us.
Filling Operations
Our perseverance in Quality Beverages was vindicated by a robust showing with
earnings rising by 442% on the back of a 40% revenue rise. The revenue increase
was a combination of favourable weather conditions and the growth and acceptance
of Jive as a brand. The percentage rise in earnings was off a low base, but it
does clearly demonstrate the advantages of correct plant utilization. In
December, a factory lease for a 7 500 m2 operating facility in Boksburg was
signed and we are aggressively pursuing the installation of a new high speed
bottling plant, at an anticipated cost of some R32m. This is scheduled for
commissioning in July to permit us to pursue the Gauteng market, off the
established base that we already have there.
Prospects
A marginally weaker currency would be to our advantage, notwithstanding the
resultant fuelling of raw material price increases. It is believed that the
Group is well balanced to take advantage of all aspects relating to increased
FMCG spending.
BASIS OF PREPARATION
The condensed interim financial statements have been prepared in accordance with
the requirements of IAS 34, IFRS, the South African Companies Act and in
compliance with the listing requirements of the JSE Ltd. Accounting policies are
consistent with the previous reporting period.
DIVIDEND DECLARATION
An interim dividend of 15.6c per share has been declared (2010 : 13.0c) and is
payable to shareholders on Monday 11 April 2011. The last day to trade will be
Friday, 1 April 2011. "Ex" dividend trading begins on Monday, 4 April 2011 and
the record date will be Friday, 8 April 2011. Share certificates may not be
dematerialised or re-materialised between Monday, 4 April 2011 and Friday, 8
April 2011, both days inclusive.
Unless otherwise requested in writing, individual dividend cheques of less than
R50 will not be paid but retained in the company`s unclaimed dividend account.
Accumulated unpaid dividends in excess of R200 may be claimed in writing from
the Transfer Secretaries.
H.W. SASS (Chairman)
M. BRAIN (Managing)
Cape Town, 9 March 2011
AUDITORS
Mazars Moores Rowland
Registered Auditor
Chartered Accountants (SA)
27th Floor, 1 Thibault Square, Cape Town, 8004
SPONSORS
Arcay Moela Sponsors (Pty) Ltd
3 Anerley Road
Parktown, 2193
TRANSFER SECRETARIES
Computershare Investor Services (Pty) Ltd
P.O. Box 61051
Marshalltown, 2108
Date: 09/03/2011 17:06:01 Produced by the JSE SENS Department.
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