| Thu 15 Feb 2001, 0:00 | | Aplitec - Unaudited Interim Results |
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NET1 APPLIED TECHNOLOGY HOLDINGS LIMITED
("APLITEC")
INCORPORATED IN THE REPUBLIC OF SOUTH AFRICA
REGISTRATION NUMBER 97/07207/06
UNAUDITED INTERIM RESULTS FOR THE SIX MONTHS ENDED 31 DECEMBER 2000
WWW.APLITEC.CO.ZA
HIGHLIGHTS: TURNOVER, UP 29%
OPERATING PROFIT, UP 46%
ATTRIBUTABLE EARNINGS, UP 75%
HEADLINE EARNINGS PER SHARE, UP 26%
FULLY DILUTED EARNINGS PER SHARE, UP 52%
CASH FLOWS FROM OPERATING ACTIVITIES R48 572 000
CASH & CASH EQUIVALENTS R130 250 000
ABRIDGED INCOME STATEMENT UNAUDITED AUDITED
SIX MONTHS ENDED YEAR ENDED
31 DECEMBER 30 JUNE
2000 1999 % 2000
R000 R000 CHANGE R000
TURNOVER 281 656 218 609 29% 436 860
CONTINUING OPERATIONS 281 656 215 996 30% 433 965
DISCONTINUED OPERATIONS - 2 613 - 2 895
OPERATING PROFIT 57 521 39 363 46% 79 243
CONTINUING OPERATIONS 57 521 49 024 17% 93 099
DISCONTINUED OPERATIONS - (9 661) - (13 856)
NET INTEREST RECEIVED 5 290 523 911% 8 050
PROFIT BEFORE TAXATION 62 811 39 886 57% 87 293
TAXATION 18 590 11 658 59% 21 766
CONTINUING OPERATIONS 18 590 16 076 16% 27 532
DISCONTINUED OPERATIONS - (4 418) - (5 766)
PROFIT AFTER TAXATION 44 221 28 228 57% 65 527
ATTRIBUTABLE TO OUTSIDE SHAREHOLDERS 1 501 4 208 (64%) 5 969
GOODWILL AMORTISED 796 - - -
ATTRIBUTABLE EARNINGS 41 924 24 020 75% 59 558
EARNINGS PER SHARE (CENTS) 18.78 12.32 52% 30.27
FULLY DILUTED EARN'S PER SHARE (CENTS) 18.34
HEADLINE EARNINGS PER SHARE (CENTS) 19.12 15.17 26% 34.87
FULLY DILUTED HEADLINE EARNINGS PER SHARE (CENTS)
18.64
WEIGHTED AVE NUMBER OF SHARES(000) 223 216 194 934 15% 196 767
FULLY DILUTED NUMBER OF SHARES(000) 228 535 - -
RECONCILIATION OF HEADLINE EARNINGS
ATTRIBUTABLE EARNINGS 41 924 24 020 59 558
AMORTISATION OF GOODWILL 796 -
PROFIT ON DISPOSAL OF VEHICLES AND
EQUIPMENT (39)
LOSS ATTRIBUTABLE TO DISCONTINUED
OPERATIONS - 5 551 9 050
HEADLINE EARNINGS 42 681 29 571 68 608
ABRIDGED BALANCE SHEET UNAUDITED AUDITED
31 DECEMBER 30 JUNE
2000 1999 2000
R000 R000 R000
ASSETS:
NON-CURRENT ASSETS 67 951 71 897 59 564
VEHICLES AND EQUIPMENT 34 040 54 632 38 915
CAPITALISED DEVELOPMENT COSTS 8 444 12 666 9 303
TRADE MARKS 2 581 - 2 716
GOODWILL 13 788 - -
DEFERRED TAXATION 9 098 4 599 8 630
CURRENT ASSETS 258 545 201 672 206 888
INVENTORIES 18 450 7 808 16 484
TRADE AND OTHER RECEIVABLES 109 845 128 910 134 980
CASH AND CASH EQUIVALENTS 130 250 64 954 55 424
TOTAL ASSETS 326 496 273 569 266 452
EQUITY AND LIABILITIES:
CAPITAL AND RESERVES 252 488 129 818 155 542
ISSUED SHARE CAPITAL AND PREMIUM 118 905 46 572 63 883
ACCUMULATED PROFITS 133 583 56 121 91 659
INDEBTEDNESS TO VENDORS - 27 125 -
MINORITY INTERESTS 4 082 10 071 6 813
NON-CURRENT LIABILITIES 5 000 2 057 5 127
INTEREST BEARING LIABILITIES - 2 057 127
NON-INTEREST BEARING LIABILITIES 5 000 - 5 000
CURRENT LIABILITIES 64 926 131 623 98 970
TRADE AND OTHER PAYABLES 46 136 89 526 71 715
INTEREST BEARING LIABILITIES 1 966 31 450 4 154
TAXATION 16 824 10 647 23 101
TOTAL EQUITY AND LIABILITIES 326 496 273 569 266 452
SHARES IN ISSUE(R000) 226 189 195 024 198 599
TANGIBLE NET ASSET VALUE
PER SHARE (CENTS) 100.66 46.18 72.27
NET ASSET VALUE PER SHARE (CENTS) 111.63 66.57 78.32
ABRIDGED CASH FLOW STATEMENT UNAUDITED AUDITED
SIX MONTHS ENDED YEAR ENDED
31 DECEMBER 30 JUNE
2000 1999 2000
R000 R000 R000
CASH FLOWS FROM OPERATING ACTIVITIES:
CASH RECEIPTS FROM CUSTOMERS 308 345 234 906 408 620
CASH PAID TO SUPPLIERS AND EMPLOYEES (239 290)(191 253) 325 530)
CASH GENERATED FROM OPERATIONS 69 055 43 653 83 090
NET INTEREST RECEIVED 5 290 524 8 050
TAXATION PAID (25 773)(13 802) (15 784)
DIVIDEND PAID
CASH FLOWS FROM OPERATING ACTIVITIES 48 572 30 375 75 356
CASH FLOWS FROM INVESTING ACTIVITIES:
ADDITIONS TO VEHICLES & EQUIP (6 564)(23 743) (37 695)
PROCEEDS ON SALE OF VEHICLES & EQUIP 41 55 12 990
DEVELOPMENT EXPENDITURE - (735) -
INVESTMENT IN SUBSIDIARIES (1 342)(12 584) (24 204)
CASH UTILISED IN
INVESTING ACTIVITIES (7 865)(37 007) 48 909)
CASH FLOWS FROM FINANCING ACTIVITIES:
PROCEEDS FROM THE ISSUE OF SHARE CAPITAL 35 522 4 000 13 053
PAYMENT OF AMOUNTS OWING TO VENDORS - - (27 125)
(REPAYMENT OF)/PROCEEDS FROM
CURRENT INTEREST BEARING BORROWINGS (2 188) 16 275 (11 047)
REPAYMENT OF NON-CURRENT LIABILITIES (127)(24 151) (21 081)
CASH GENERATED BY / (UTILISED IN)
FINANCING ACITIVIES 33 207 (3 876) (46 200)
NET INCREASE / (DECREASE)
IN CASH AND CASH EQUIVALENTS 73 914 (10 508) (19 753)
CASH AND CASH EQUIVALENTS
AT BEGINNING OF PERIOD 55 424 73 071 73 071
CASH ON ACQUISITION OF SUBSIDIARY 912 2 391 2 106
CASH AND CASH EQUIVALENTS
AT END OF PERIOD 130 250 64 954 55 424
CASH EQUIVALENT EARNINGS PER SHARE
(CENTS) 24.89 18.86 43.73
ABRIDGED STATEMENT OF CHANGES
IN EQUITY UNAUDITED AUDITED
SIX MONTHS ENDED YEAR ENDED
31 DECEMBER 30 JUNE
2000 1999 2000
R000 R000 R000
ORDINARY SHAREHOLDERS' EQUITY AT
THE BEGINNING OF THE YEAR 155 542 86 597 86 597
CHANGES IN SHARE CAPITAL 27 4 20
SHARES ISSUED
CHANGES IN SHARE PREMIUM 54 995 (7 928) 9 367
SHARES ISSUED 54 995 6 521 42 146
GOODWILL WRITTEN OFF - (14 449) (32 779)
CHANGE IN RETAINED INCOME 41 924 24 020 59 558
NET PROFIT FOR THE PERIOD
ORDINARY SHAREHOLDERS' EQUITY AT THE
END OF THE PERIOD 252 488 102 693 155 542
SEGMENTAL ANALYSIS
THE ESTIMATED PROPORTIONS OF CONSOLIDATED TURNOVER, PROFIT BEFORE TAX AND
NON-CURRENT ASSETS ATTRIBUTABLE TO THE VARIOUS CLASSES OF BUSINESS WERE AS
FOLLOWS:
REVENUE PROFIT BEFORE TAXATION NON-CURRENT ASSETS
31 DEC 30 JUNE 31 DEC 30 JUNE 31 DEC 30 JUNE
2000 2000 2000 2000 2000 2000
R 000 R 000 R 000 R 000 R 000 R 000
RECUR. 63% 67% 47% 39% 89% 92%
TRANSACTION
BASED
ACTIVITES
TECH SALES, 21% 15% 25% 17% 10% 2%
MAINT. AND
OUTSOURCING
FINANCIAL 16% 18% 20% 36% 1% 6%
SERVICES
INVESTMNTS - - 8% 8% - -
100% 100% 100% 100% 100% 100%
NOTES ON THE ABRIDGED FINANCIAL STATEMENTS:
ACCOUNTING POLICIES
THE INTERIM FINANCIAL STATEMENTS HAVE BEEN PREPARED ON THE HISTORICAL COST
BASIS AND IN CONFORMITY WITH STATEMENTS OF GENERALLY ACCEPTED ACCOUNTING
PRACTICE. THE ACCOUNTING POLICIES APPLIED IN THE PREPARATION OF THE INTERIM
FINANCIAL STATEMENTS, ARE CONSISTENT WITH THOSE APPLIED IN THE ANNUAL FINANCIAL
STATEMENTS FOR THE YEAR ENDED 30 JUNE 2000. THE DECEMBER 1999 COMPARATIVE
FIGURES HAVE BEEN RECLASSIFIED TO GIVE EFFECT TO THE DISCONTINUED OPERATIONS.
COMMENT
THE MANAGEMENT AND STAFF OF APLITEC CAN ONCE AGAIN BE JUSTIFIABLY PROUD OF THE
GROUP'S ACHIEVEMENTS FOR THE SIX MONTHS ENDED 31 DECEMBER 2000.
FINANCIAL REVIEW
TURNOVER FROM CONTINUING OPERATIONS INCREASED BY 30% FROM R216 MILLION TO R282
MILLION, OPERATING PROFIT INCREASED BY 46% FROM R39,4 MILLION TO R57,5 MILLION
AND ATTRIBUTABLE EARNINGS INCREASED BY 75% FROM R24 MILLION TO R41,9 MILLION.
EARNINGS PER SHARE INCREASED BY 52% TO 18.78 CENTS AND HEADLINE EARNINGS PER
SHARE ROSE BY 26% TO 19.12 CENTS.
THE GROUP'S BALANCE SHEET IS SOUND WITH INTEREST-BEARING DEBT OF R1,5 MILLION
AND CASH RESOURCES OF R130 MILLION. HEALTHY LIQUIDITY IS SUBSTANTIATED BY A
CURRENT RATIO OF 3,98:1 AND AN ACID TEST RATIO OF 3,70:1.
CASH FLOWS FROM OPERATING ACTIVITIES AMOUNTED TO R48,6 MILLION.
OPERATIONAL REVIEW
TECHNOLOGY SALES, MAINTENANCE AND OUTSOURCING DIVISION
THIS DIVISION, WHICH DISTRIBUTES SMART CARD RELATED EQUIPMENT AND PROVIDES
CONSULTING AND SOFTWARE DEVELOPMENT AND MAINTENANCE SERVICES BASED ON THE
GROUP'S INTELLECTUAL PROPERTY, HAS ONCE AGAIN PRODUCED EXCEPTIONAL GROWTH IN
TURNOVER AND EARNINGS DURING THE SIX MONTHS UNDER REVIEW.
PENSION AND WELFARE DIVISION
THE PENSION AND WELFARE DIVISION, WHICH HAS MAINTAINED ITS LEVELS OF
PROFITABILITY, IS INVOLVED IN THE ADMINISTRATION, MANAGEMENT AND PAYMENT OF
SOCIAL WELFARE GRANTS AND HANDLES THE PAYMENT OF PENSIONS EXCEEDING R700
MILLION PER MONTH ON BEHALF OF THE GOVERNMENT TO OVER 1,4 MILLION BENEFICIARIES
THROUGHOUT THE COUNTRY.
DURING THE SIX MONTHS UNDER REVIEW, APLITEC WAS AWARDED A NEW THREE YEAR
CONTRACT BY THE NORTHERN CAPE PROVINCIAL GOVERNMENT FOR THE PAYMENT OF SOCIAL
WELFARE GRANTS TO THE 100 000 PENSIONERS IN THE PROVINCE, UTILISING APLITEC'S
SMART CARD TECHNOLOGY.
THE GROUP CONTINUES TO EXPLORE THE OPPORTUNITIES PRESENTED BY THIS HUGE
CUSTOMER BASE AND IS CONFIDENT THAT ITS INNOVATIVE PRODUCT OFFERINGS WILL
CREATE SUBSTANTIAL ADDITIONAL REVENUE STREAMS.
MICRO-FINANCE DIVISION
THE MICRO-FINANCE DIVISION HAS PERFORMED SATISFACTORILY AND CONTINUES TO FOCUS
ON THE IMPLEMENTATION OF APLITEC'S MILLENNIUM PAYMENT SYSTEM FOR THE SHORT AND
MEDIUM TERM LENDING INDUSTRIES.
PROSPECTS FOR THE REMAINDER OF THE YEAR
THE DIRECTORS AND MANAGEMENT ARE CONFIDENT THAT THE GROUP WILL CONTINUE TO
ACHIEVE STRONG GROWTH IN EARNINGS.
ON BEHALF OF THE BOARD
SERGE BELAMANT HERMAN KOTZI
CHIEF EXECUTIVE OFFICER CHIEF FINANCIAL OFFICER
15 FEBRUARY 2001
JOHANNESBURG
TRANSFER SECRETARIES SECRETARY AND REGISTERED OFFICE
ULTRA REGISTRARS (PTY) LTD LIGHT AND LIVINGSTONE
FINANCIAL SERVICES CC
11 DIAGONAL STREET 3RD FLOOR, PALM GROVE
JOHANNESBURG 196 LOUIS BOTHA AVENUE
2001 HOUGHTON ESTATE, 2198
DIRECTORS : S C P BELAMANT , H G KOTZI, D A J DONALD*, J C LIVINGSTONE*, B J S
HORE*, D G S MULLER*
*NON-EXECUTIVE FRENCH
