| Tue 21 Aug 2001, 0:00 | | Brandcorp Holdings Limited - Audited Results For T |
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BRANDCORP HOLDINGS LIMITED
JSE CODE - BRC
ISIN NO: ZAE000013611
EARNINGS PER SHARE + 26.5% DIVIDEND PER SHARE + 20%
HEADLINE EARNINGS PER SHARE + 18.2% NET ASSET VALUE PER SHARE + 25.1%
AUDITED RESULTS FOR THE YEAR ENDED 30 JUNE 2001
GROUP INCOME STATEMENT
30 June 2001 30 June 2000 Increa
Audited Audited
R000 R000
Turnover 490,134 464,244
-Continuing operations 490,134 449,189 9.1
-Discontinued operations - 15,055
Operating profit 40,002 37,198
-Continuing operations 40,002 36,340 10.1
-Discontinued operations - 858
Capital items (as detailed below) 2,242 -
Net interest received 2,277 1,797
-Continuing operations 2,277 2,643
-Discontinued operations - (846)
Net profit before taxation 44,521 38,995
-Continuing operations 44,521 38,983 14.
-Discontinued operations - 12
Taxation (12,474) (7,820) 59.
-Current (9,950) (8,229)
-Deferred taxation (1,811) 1,682
-Secondary tax on companies (713) (1,273)
Net profit after taxation 32,047 31,175
-Continuing operations 32,047 31,163 2.
-Discontinued operations - 12
Number of shares in issue (000) 136,899 171,143
Weighted ave. no. of shares (000) 152,916 188,367
Headline earnings per share - cents 19.5 16.5 18
Earnings per share - cents 21.0 16.6 26
Diluted earnings per share - cents 20.7 -
Dividend per share 6.0 5.0 20
RECONCILIATION OF HEADLINE EARNINGS
30 June 2001 30 June 20
Audited Audit
R000 R0
Net profit after taxation 32,047 31,1
Adjust for:
Capital items (2,242) (1
Discontinued operations - (1
Profit on disposal of investment (560)
Recovery of vendor claims (1,990)
Goodwill write-off 308
Headline earnings 29,805 31,1
ABRIDGED GROUP BALANCE SHEET
30 June 2001 30 June 2000
Audited Audited
R000 R000
ASSETS
Non - current assets 27,153 21,047
Tangible assets 13,904 6,317
Share incentive trust 1,012 682
Deferred taxation 12,237 14,048
Current assets 257,232 243,395
Inventories 106,533 91,324
Accounts receivable 103,664 97,750
Cash and cash equivalents 47,035 54,321
284,385 264,442
EQUITY AND LIABILITIES
Capital and reserves 193,947 193,881
Long term liabilities 7,296 506
Current liabilities 83,142 70,055
Non-interest bearing liabilities 82,375 69,709
Interest bearing liabilities 767 346
284,385 264,442
Net asset value per share (cents) 141.7 113.3
SUMMARISED CASH FLOW STATEMENT
30 June 2001 30 June 200
Audited Audite
R000 R00
OPERATING ACTIVITIES 28,055 50,36
Operating profit before working
capital movements 44,920 42,313
(Increase) decrease in working capital (9,657) 8,785
Net finance income 2,277 1,797
Taxation paid (9,485) (2,535
INVESTING ACTIVITIES (34,017) (11,148)
Purchase of fixed assets (10,558) (2,055)
Proceeds on disposal of fixed assets 295 71
Ordinary shares repurchased (23,424) (9,616)
Increase in loan to share trust (330) (187
FINANCING ACTIVITIES (1,324) (4,912
Proceeds from (payment of) long term
borrowings 7,211 (1,109
Dividends paid (8,535) (3,803
NET MOVEMENT IN CASH RESOURCES (7,286) 34,30
Cash and cash equivalents at the
beginning of the year 54,321 20,02
Cash and cash equivalents at the
end of the year 47,035 54,32
STATEMENT OF CHANGES IN EQUITY
R000 R000 R000
Share Share Distributable
Capital Premium Reserves
Balance at 1 July 1999 1,902 131,149 43,074
Net profit for the year - - 31,175
Shares repurchased - (9,616) -
Dividend - - (3,803)
Balance at 30 June 2000 1,902 121,533 70,446
Net profit for the year - - 32,047
Shares repurchased (342) (23,082) -
Dividend - - 8,557)
Balance at 30 June 2001 1,560 98,451 93,936
SEGMENTAL ANALYSIS
R000 R000 R000
Turnover Operating Operating L
Profit Assets
Leisure & Accessories 71,504 7,833 36,397
House & Home 99,898 3,806 44,086
DIY, Tools & Hardware 318,732 28,903 149,703
Other - (540) 41,962
Total 490,134 40,002 272,148
BRANDCORP IS A DISTRIBUTOR OF:
MATUS - Tools and hardware
INTERBRAND- CELLINI luggage, handbags and accessories
M.I.C. - Dinner, table and giftware
PRESTIGE - Kitchen utensils
DECOCRAFT - Kitchen and tableware products to the hospitality industry
COMMENT
Brandcorp has produced excellent results for the financial year ended 30 June 2
All divisions exceeded expectations and management and staff should be commende
performance considering the
continuing difficult economic conditions.
Turnover increased by 9.1% from R449.2m to R490.1m. Operating profit increased
R36.3m to R40.0m.
Earnings per share have increased by 26.5% from 16.6 cents per share to 21.0 ce
Headline earnings per share have increased by 18.2% from 16.5 cents per share t
share.
The group balance sheet is sound and the group remains focused on working capit
The group acquired the fixed property occupied by the House & Home division, at
This acquisition has been
financed by a flexible loan facility.
Net asset value per share increased by 25.1% from 113.3 cents per share to 141.
share, of which 34.4 cents is
represented by cash.
Cash flows from operating activities amounted to R28.0m.
The company purchased 34.2m of its own shares at a cost of R23.4m, and paid a d
shareholders of R8.5m.
Cash at year end amounted to R47.0m.
The effective tax rate for the year is 28.0%, as compared to 20.1% in the previ
These audited results have been prepared in accordance with South African State
Generally Accepted Accounting
Practice. The accounting policies used in the preparation of these results are
those used in the annual financial
statements for the year ended 30 June 2000.
Shareholders are advised that the Directors have resolved to cancel 19 015
876 shares in Brandcorp Holdings Limited held as treasury stock by
Interbrand (Pty) Limited, a wholly owned subsidiary of the Company.
Application is being made to the necessary authorities for the cancellation
and de-listing of these shares.
DIVIDEND
Notice is hereby given that the board has declared a dividend of 6 cents per sh
following salient dates should be noted:
Declaration date Monday, 20 August 2001
Last day to trade cum-dividend Friday, 7 September 2001
Trading ex-dividend commences Monday, 10 September 2001
Record date Friday, 14 September 2001
Dividend payment date Monday, 17 September 2001
Certificated shareholders may not dematerialise their shares between Friday, 31
14 September 2001 (both days inclusive).
PROSPECTS
Brandcorp is well managed, well capitalised, entrepreneurial and cash generativ
has the innovative skills to
achieve real organic growth.
The group's balance sheet affords real opportunities for acquisitive growth.
The group expresses its thanks to customers, suppliers, bankers, professional a
staff, all of whom have played an
integral role in the achievement of the results for the year.
On behalf of the board
M Z LEVINE C S DATNOW
NON EXECUTIVE CHAIRMAN CHIEF EXECUTIVE
20 August 2001
Transfer Secretaries Secretary and Registered
Computershare Services Limited Light and Livingstone Financial Servi
4th Floor Edura House 3rd Floor, Palm
41 Fox Street 196 Louis Botha
Marshalltown, Johannesburg, 2107 Houghton Estate
Directors
CS Datnow, L Freidus*, A Gentin, JD Goldberg, MZ Levine*, JC Livingstone*
HB Marcus, JW Miller*, BD Taurog
(*Non-executive Director)
BRANDCORP HOLDINGS LIMITED Incorporated in the Republic of South Africa
Registration number 1992/006647/06
( "Brandcorp" or "the group")
These results can be viewed on our website www.brandcorp.co.za
