| Wed 19 Sep 2001, 0:00 | | Audited Financial Results And Distribution For The |
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HIGHLIGHTS - 42% OF INCOME FROM INVESTMENT BUILDINGS
DISTRIBUTION INCREASED BY 12,5%
RAND LEASES PROPERTIES LIMITED
(Incorporated in the Republic of South Africa)
Registration number 1978/000870/06
Share code : RPR
ISIN : ZAE 000028254
Audited Financial Results and Distribution for the year ended 30 June 2001
HIGHLIGHTS
* 42% OF INCOME FROM INVESTMENT BUILDINGS
* DISTRIBUTION INCREASED BY 12,5%
Consolidated Income Statement
Audited Audited
30 Jun 2001 30 Jun 2000
R000's R000's
Turnover 83,563 65,898
Income from investment buildings 14,337 1,592
Income from other operations 15,715 15,708
Write-up on revaluation of
investment properties 3,724 -
Gross Profit 33,776 17,300
Operating Expenses 12,213 7,222
Income from operations 21,563 10,078
Interest paid (11,941) (1,161)
Interest received 1,314 3,162
Income before distribution to
unitholders 10,936 12,079
Debenture interest 10,556 6,726
Income before taxation 380 5,353
Taxation (755) 1,293
Profit after taxation 1,135 4,060
Weighted average linked units in
issue - 000's 38,034 33,867
Net headline earnings 30.74 31.85
Net distribution 22.50 20.00
Consolidated Balance Sheet
30 Jun 2001 30 Jun 2000
R000's R000's
ASSETS
Non-current assets 230,374 111,804
Fixed assets 1,095 1,088
Investment Property 163,588 37,143
Marketable securities 75 141
Development Property 64,946 68,210
Deferred taxation 670
Rehabilitation Trust Fund 5,222
Current assets 26,251 38,291
Trade and other receivable 24,703 8,286
Cash and bank balances 1,548 30,005
Total assets 256,625 150,095
EQUITY AND LIABILITIES
Capital and reserves 77,830 76,388
Non-current liabilities 142,521 55,593
Long term liabilities - debentures 26,858 20,659
Long term liabilities - bonds 115,040 16,238
Rehabilitation obligations 17,690
Deferred taxation 623 1,006
Current liabilities 36,274 18,114
Bank overdraft 4,290
Trade and other payable 21,272 10,737
Taxation payable 805 524
Shareholders for dividends and
debenture interest 9,907 6,853
Total equity and liabilities 256,625 150,095
Consolidated Cash Flow Statement Year ended Year ended
30 Jun 2001 30 Jun 2000
R000's R000's
Cash flow from operating activities (19,178) 17,982
Cash flow from investing activities (118,570) (23,737)
Cash flow from financing activities 105,001 8,256
Net (decrease)/increase in cash
and equivalents (32,747) 2,501
Cash and equivalents at beginning
of period 30,005 27,504
Cash and equivalents at end of period (2,742) 30,005
Statement of changes in equity
Equity at beginning of period 76,388 67,115
Issue of new shares 382
Net income for the period 1,135 4,060
Prior year revaluation surplus 5,261
Dividends to linked units (75) (48)
Equity at end of period 77,830 76,388
Distribution Declaration
Notice is hereby given of the declaration of distribution in respect of the
year ended 30 June 2001 which amounts to 22,5 cents per unit. The last date
to trade cum distribution will be Friday 5 October 2001, and the units will
commence trading ex distribution from Monday 8 October 2001 with the record
date being Friday 12 October 2001. Payment will be effected on 15 October
2001.No rematerialisation orders will be processed between Monday 1 October
2001 and Friday 12 October 2001, both days inclusive.
On behalf of the board
R A R Kebble G Fischer
Chairman Managing Director
Johannesburg
Registered Office : 5 Press Aveune
Selby
2025
Transfer Secretaries : Mercantile Registrars Limited
11 Diagonal Street
Johannesburg
2001
P O Box 1053
Johannesburg
2000
Operations
Investment Portfolio
The investment portfolio contributed R14,3 million towards gross profit
during the current year. Income from the investment portfolio will increase
further in the future on completion of the transaction for the acquisition
of 20 high quality office buildings, announced during August.
Development Activities
The installation of engineering services on the Hackle Brook Office Park at
Craighall, on which seven office buildings are to be constructed, has taken
place and the first building has been completed. Future construction will
only commence against secured tenancies.
Low Cost Housing
During the period under review a further 3 261 houses were completed and
handed over to beneficiaries bringing the delivery total to 7 900 so far. In
excess of 3 600 houses are forecast to be completed in the current financial
year.
Sale of Houses
Lower interest rates kept the demand for houses in Boksburg constant. A
total of 17 houses were sold leaving a balance of 30 houses in the
portfolio.
Financial Results
The company has enjoyed another good year of trading with a major shift in
the make up of income. Re-occurring rental income comprised 42% of gross
profit in financial 2001. The distribution for the year has been increased
by 12,5% to 22,5 cents per linked unit.
Effects of AC 135
The group's results have been prepared in accordance with the South African
Statements of Generally Accepted Accounting Practise. The revaluation of
investment properties arose as a result of the early adoption of AC 135
(investment property) which requires that all gains and losses from changes
in the fair value of investment properties be included in the net profit or
loss for the period. Corresponding information has been restated under this
statement. In accordance with this policy the increase in market value as
determined by an external valuer amount to R3,7 million.
Post Balance Sheet Events
Since the year-end the company has entered into suspensive agreements to
acquire twenty investment buildings for a total consideration of R205,8
million. The buildings acquired are as follows:
Purchase Letable
BUILDING AREA Consideration Area
Lyons House Morningside 10,000,000 1,621
Enel Building Bryanston 1,475,953 272
Cheshan Building Bryanston 5,440,308 987
Boumat House Bryanston 4,120,454 551
Proudfoot Building Bryanston 7,732,650 1,240
Homestead (3 Buildings) Bryanston 18,590,767 3,007
Stonewedge (3 Buildings) Bryanston 37,891,558 5,870
Wedgefield (3 Buildings) Bryanston 20,486,293 3,193
College House Bryanston 10,250,000 1,850
Monitor House Houghton 14,456,000 1,694
Erf 42 Hyde Park Hyde Park 13 556 000 1,956
Corporate Park Shopping Centre Midrand 18,900,600 3,996
Bryanston Wedge Shopping Centre Bryanston 25,349,000 4,408
Post House Bryanston 17,512,417 2,740
The acquisitions will be funded as follows :
R millions
- Assume bond liability 140.5
- Issue of 16 423 750 linked units on 2 October 2001 26.3
- Issue of 13 416 695 linked units on 15 March 2002 21.5
- Issue of 10 945 440 linked units on 15 September 2002 17.5
TOTAL 205.8
All suspensive conditions have been fulfilled and shareholders approval for
the transaction will be sought at a general meeting scheduled for 21
September 2001.
