| Tue 27 Feb 2001, 0:00 | | Western Cape Property Company Limited - Final Audi |
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WESTERN CAPE PROPERTY COMPANY LIMITED
REGISTRATION NUMBER 1987/000770/06
www.wescape.co.za
FINAL AUDITED RESULTS
for the year ended 31 December 2000
CONSOLIDATED INCOME STATEMENT
Twelve months Sixteen months
to 31 Dec 2000 to 31 Dec 1999
R'000 R'000
Revenue 68 033 57 288
Operating expenses (40 335) (25 865)
Net income before financing costs 27 698 31 423
Financing costs (6 692) (9 000)
Net income before taxation 21 006 22 423
Taxation (297) (176)
Net income after taxation 20 709 22 247
Income from associates 2 051 827
Minority interest (2 645) (3 019)
Attributable to ordinary shareholders 20 115 20 055
Earnings per share (cents) 34.0 37.1
Headline earnings per share (cents) 34.0 37.1
CONSOLIDATED BALANCE SHEET
Fixed assets 296 1 581
Investment in associate companies 24 426 31 979
Investments and loans 6 358 4 718
Current assets 149 145 166 187
Total assets 180 225 204 465
Shareholders equity 63 375 43 260
Minority interest 25 042 27 528
Deferred taxation 412 745
Long term borrowings 4 402 5 165
Current liabilities 86 994 127 767
Total equity and Liabilities 180 225 204 465
Net asset value per share (cents) 107.2 73.2
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
Non-distri
Stated butable Accumulated
capital reserve (loss)/ Total
profit
R'000 R'000 R'000 R'000
Balance at 1 September 1998 78 624 180 (11 987) 66 817
Share issue expenses written-off (1 502) - - (1 502)
Net profit for the period - - 20 055 20 055
Transfer to non-distributable reserve - 100 (100) -
Issue of shares 32 000 - - 32 000
Goodwill written-off (74 110) - - (74 110)
Balance at 31 December 1999 35 012 280 7 968 43 260
Net profit for the period - - 20 115 20 115
Transfer to non-distributable reserve - 122 (122) -
Balance at 31 December 2000 35 012 402 27 961 63 375
CONSOLIDATED CASH FLOW STATEMENT
Twelve months Sixteen months
to 31 Dec 2000 to 31 Dec 1999
R'000 R'000
Net cash (outflows)/flows from
operating activities (7 157) 16 947
Cash (utilised by)/generated from
operations (1 528) 24 860
Interest received 4 200 7 228
Financing costs (6 692) (9 000)
Dividends paid - (2 475)
Taxation paid (492) (647)
Minority shareholders paid (2 645) (3 019)
Net cash flows/(outflows) from
investing activities 9 137 (71 879)
Net cash (outflows)/flows from
financing activities (3 249) 32 669
Decrease in cash and cash equivalents (1 269) (22 263)
Notes
(1) All accounting policies have been consistently applied throughout the
period and are consistent with prior periods.
(2) Where necessary, comparative figures have been adjusted to conform with
changes in presentation in current year.
(3) Segmental information is not disclosed as the group is regarded as having
only a single material Western Cape property segment.
COMMENT ON RESULTS
FINANCIAL
The directors are pleased to announce satisfactory results for the financial
year ending 31 December 2000, despite difficult trading conditions. Net income
attributable to shareholders increased to R20,115m from R20,055m for the
previous sixteen month trading period, which represents an annualized increase
of 33,7%. Earnings per share increased by 22,3% to 34,0c per share on an
annualized basis. Significant progress was made in reducing debt, with a
reduction of R44 million, a decrease of 27%. The Company has now achieved a
compound average annual growth in earnings per share of 107% over the last five
years.
The major contributor to the results was Syfin Holdings (Pty) Ltd. The
restructuring of the company over the last fifteen months has lifted Syfin's
contribution significantly. Land sales at N1 City, Parow and Boschenmeer Golf
and Country Estate at Paarl performed extremely well. The student housing
project, Academia at Stellenbosch University, also contributed to profitability
The industrial land development interests performed below expectations and
steps to enhance earnings from this source are currently being finalized.
Associate company, Tokai Developments contributed to profits, buoyed largely by
a strong interest in the residential component of the project. The fixed
property portfolio performed marginally below budget with rentals remaining
under pressure. Despite the low level of investor demand, three properties were
disposed of during the year. Our investment in the Thesen Island Development
company has generated sales ahead of budget, but profit from this source has
yet to be recognised, in accordance with the group's accounting policies.
DIVIDEND
It is anticipated that a strong cash flow will be generated during the second
half of this year. In continuance of the policy of reducing debt, the Directors
have deemed it prudent not to declare a dividend.
PROSPECTS
The Directors are confident that if the domestic economy continues to
strengthen and interest rates remain stable, the Company should achieve profits
for the year ahead at a level not less than those achieved during the last
financial year. As existing projects mature and deliver returns, the Company
will apply these funds to securing further income generating opportunities.
STRATE
The JSE Securities Exchange South Africa has informed the company that
electronic settlement on custody of WesCape's share capital via the STRATE
system will commence on 18 June 2001. This move is in terms of the JSE's
revised Listings Requirements and is obligatory. Trading for electronic
settlement will commence on 9 July 2001. First electronic settlement will take
place on 16 July 2001. Shareholders are advised to acquaint themselves with the
requirements and implications of this change prior to the commencement date or
to consult their stockbroker, advisor or the company for assistance.
CAUTIONARY ANNOUNCEMENT
WesCape shareholders are advised that the Company has entered into negotiations
to acquire inter alia an investment property portfolio, which negotiations, if
successfully concluded, may have a material effect on the price of the
Company's securities on the JSE Securities Exchange South Africa.
Accordingly, WesCape shareholders are advised to exercise caution when dealing
in the Company's securities until a further announcement is made.
By order of the Board
C E Hyland
Managing Director
27 February 2001
Transfer Secretaries:
Mercantile Registrars
10th Floor, 11 Diagonal Street
Johannesburg
2001
Company Secretary and Registered office:
Bryan Mitchell
Company registration number 1987/000770/06
19th Floor, 1 Thibault Square Cnr Long Street and Hans Strydom Avenue
Cape Town, 8001
DIRECTORS: B J van der Ross (Chairman), C E Hyland* (Managing), R D du Plooy, J
D Broll, A Groll, G A Power, A E Wallace, J E Pauw*, M A Thompson
* Executive
