| Thu 2 Aug 2001, 0:00 | | Brainware - Abridged Interim Results For The 10 Mo |
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BRAINWARE LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1997/006894/06)
("Brainware" of "the company")
Abridged interim results for the 10 months ended 30 April 2001
BALANCE SHEET
at 30 April 2001
Group
April June
2001 2000
Notes R'000 R'000
ASSETS
Non-current assets
Property and equipment 2 2 919 7 150
Goodwill - 8 178
Other investments and loans 39 4 251
Total non-current assets 2 958 19 579
Current assets
Inventories and assets held for sale - 4 958
Receivables and prepayments 3 7 588 23 214
Short-term loans 54 4 575
Cash and cash equivalents 5 106 16 395
Total current assets 12 748 49 142
Total assets 15 706 68 721
EQUITY AND LIABILITIES
Capital and reserves
Share capital 386 487
Share premium 7 032 7 032
Revaluation and other reserves - 325
Retained earnings/(Accumulated loss) 4 578 (5 958)
Total capital and reserves 11 996 1 886
Minority interests - 3 535
Non-current liabilities
Long-term liabilities - 4 096
Deferred tax liabilities - 519
Total non-current liabilities - 4 615
Current liabilities
Trade and other payables 3 602 22 035
Current tax liabilities 108 1 682
Short-term borrowings - 34 703
Minority shareholders for dividends - 265
Total current liabilities 3 710 58 685
Total liabilities 3 710 63 300
Total equity and liabilities 15 706 68 721
INCOME STATEMENT
for the 10 months ended 30 April 2001
Group
April June
2001 2000
R'000 R'000
Revenue - 154 848
Cost of sales - (109 826)
Gross profit - 45 022
Other income 85 -
Operating expenses (5 953) (64 405)
Costs relating to closure of operations (1 890) -
Permanent impairment in value in
investments and loans - (9 038)
Profit on sale of investments 18 847 6 163
Operating profit/(loss) 11 089 (22 258)
Net finance costs (445) (5 130)
Profit/(loss) before taxation 10 644 (27 388)
Taxation (108) (3 747)
Profit/(loss) from ordinary activities 10 536 (31 135)
Minority interest - 2 822
Net profit/(loss) 10 536 (28 313)
Earnings/(loss) per share (cents) 2,7 (5,5)
Headline earnings/(loss)
per share (cents) - (4,7)
CASH FLOW STATEMENT
for the 10 months ended 30 April 2001
Group
April June
2001 2000
R'000 R'000
CASH FLOW UTILISED IN
OPERATING ACTIVITIES (2 301) (33 771)
Cash receipts from customers 1 096 164 814
Less: Cash paid to suppliers and
employees (2 952) (182 259)
Cash utilised in operations (1 856) (17 445)
Investment income 113 1 636
Finance costs (558) (6 766)
Taxation paid - (7 918)
Cash utilised in operating activities (2 301) (30 493)
Dividends paid - (3 278)
CASH FLOW FROM
INVESTMENT ACTIVITIES 26 141 14 560
Additions to property and equipment - (2 519)
Disposals of property and equipment - 1 819
Acquisition of subsidiary and
associate companies - (1 500)
Disposal of subsidiary companies 20 426 16 760
Proceeds on disposal of other
investments 4 276 -
Loans and other investments 1 493 -
Short-term loans (54) -
CASH FLOW FROM
FINANCING ACTIVITIES (24 237) 10 748
Long-term loans repaid (2 742) (11 463)
Short-term loans (repaid)/raised (21 495) 25 472
Cancellation of ordinary shares - (3 261)
Net decrease in cash and
cash equivalents (397) (8 463)
Cash and cash equivalents at
beginning of period 5 503 13 966
Cash and cash equivalents at
end of period 5 106 5 503
STATEMENT OF CHANGES IN EQUITY
for the 10 months ended 30 April 2001
Foreign
currency
Share Share translation Retained
capital premium reserve earnings Total
R'000 R'000 R'000 R'000 R'000
GROUP
Balance at
1 July 2000 487 7 032 325 (5 958) 1 886
Net gains
recognised in
income statement - - - 10 536 10 536
Shares cancelled (101) - - - (101)
Movement on
translation reserve - - (325) - (325)
Balance at
30 April 2001 386 7 032 - 4 578 11 996
NOTES TO THE ABRIDGED INTERIM RESULTS
1. Review of the interim results
Brainware's interim results for the 10 months ended 30 April 2001 have been
reviewed by the company's auditors, PricewaterhouseCoopers. The review
opinion is available for inspection at Brainware's registered address.
2. Property and equipment
The Brainware board of directors ("the Board") has agreed to dispose of the
property, owned by Brainware's wholly-owned subsidiary Brainware Property
Investments (Proprietary) Limited, to a subsidiary of Murray & Roberts
Developments (Proprietary) Limited for a purchase consideration of R3,6
million ("the Property disposal"). The Property disposal is subject to
Brainware's shareholder approval and shareholders are referred to the
announcement published elsewhere today.
3. Receivables and pre-payments
Included in receivables and pre-payments is an amount of R7 million that is
outstanding in terms of the disposal of Brainware's interest in Aqeuro
Holding N.V. ("Aqeuro"). Shareholders are also referred to the announcement
dated 24 January 2001. Brainware has obtained judgement against the
purchasers of the Aqeuro interest and is in the process of pursuing its
legal rights opposite these purchasers and the individuals that have
provided personal suretyships in this regard.
COMMENTARY
Further to the announcement dated 17 May 2000 and the circulars to
Brainware's shareholders dated 4 September 2000, 28 October 2000 and 31
January 2001, respectively, Brainware has disposed of its interests in the
following companies during the period under review:
Integrated Tertiary Software (Proprietary) Limited, Brainware Consulting
(Proprietary) Limited, Execusys (Proprietary) Limited, Fund Mator Systems
(Proprietary) Limited, BSW Enterprise Solutions (Proprietary) Limited,
Brainware Asia Pacific Limited, Brainware MIT Solutions (Proprietary)
Limited, Amcotec (Proprietary) Limited, Information Ideals (Proprietary)
Limited, Aqeuro Holding N.V., Brainware Commerce Solutions (Proprietary)
Limited, Brainware ILC (Proprietary) Limited and Quality Engineering Systems
(Proprietary) Limited.
Pending the finalisation of the Property disposal, Brainware has disposed of
all of its material interests in subsidiaries, investments and operations.
Brainware has furthermore received payment of the purchase considerations
relating to all the disposals pursuant to the disposal process, save for the
consideration in respect of the Aqeuro disposal, referred to above.
The Board will apply for the lifting of the suspension of trading in
Brainware's securities upon finalisation of the audited financial statements
for the year ended 30 June 2001, at which time the Board will also apply for
the transfer of Brainware to the "Cash Companies" sector of the JSE
Securities Exchange South Africa List. The circular to shareholders referred
to in the announcement published elsewhere today will set out the salient
dates regarding the above and shareholders will be informed of these
developments by means of a press announcement.
J C van Niekerk F R Ueckermann
Director Director
For and on behalf of the Board
2 August 2001
Directors: J C van Niekerk, F R Ueckermann, K D Macmillan, M Pels
Company secretary: DBL Incorporated
Registered office Transfer secretaries
Suite 1 Computershare Services Limited
267 Waterkloof Road 2nd Floor, Edura House
Brooklyn 41 Fox Street
Pretoria 0001 Johannesburg 2001
