| Tue 20 Nov 2001, 0:00 | | Admiral - Audited Results For The Year Ended 31 Au |
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ADMIRAL LEISURE WORLD LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1938/011493/06)
Share code: ADL ISIN: ZAE000010229
Audited results for the year ended 31 August 2001
Consolidated Balance Sheet
Audited at Audited at
(in ZAR) 31 August 2001 31 August 2000
Assets
Non-current assets 7 842 407 9 934 073
Fixed assets 6 079 505 8 162 233
Loans receivable 740 043 742 624
Accounts receivable 1 022 859 1 029 216
Current assets 3 033 957 3 377 083
Inventories 1 303 590 1 482 093
Accounts receivable 300 096 712 347
Taxation 34 003 46 137
Cash resources 1 396 268 1 136 506
Total assets 10 876 364 13 311 156
Equity and Liabilities
Capital and reserves 7 117 134 9 378 598
Issued capital 62 193 750 62 193 750
Non-distributable reserve 71 189 71 189
Accumulated loss (55 147 805) (52 886 341)
Non-current liabilities 688 300 1 034 046
Long-term liabilities 652 051 626 096
Deferred taxation 36 249 407 950
Current liabilities 3 070 930 2 898 512
Accounts payable 2 313 840 2 159 617
Taxation 87 299 68 364
Bank overdraft 669 791 670 531
Total equity and liabilities 10 876 364 13 311 156
Net asset value per share (cents) 20 27
Consolidated Income Statement
Audited Audited
12 months to 12 months to
(in ZAR) 31 August 2001 31 August 2000
Gross revenue 13 846 181 15 103 866
Other income 801 812 518 018
Operating expenses 17 286 771 18 725 492
Net loss before taxation (2 638 778) (3 103 608)
Taxation (377 314) (83 618)
Net loss after taxation (2 261 464) (3 019 990)
Minority interests 4 043
Net loss (2 261 464) (3 015 947)
Accumulated loss at beginning of period (52 886 341) (49 870 394)
Accumulated loss at end of period (55 147 805) (52 886 341)
(Loss)/Earnings per share (cents) (6,47) (8,63)
Headline (loss)/earnings
per share (cents) (6,17) (7,85)
Reconciliation between basic loss
and headline loss
Basic loss (2 261 464) (3 015 947)
Amortisation of intangibles 210 960
Restraint of trade 60 000
Profit on disposal of fixed assets 105 193
Headline loss (2 156 271) (2 744 987)
Consolidated Cash Flow Statement
Audited Audited
12 months to 12 months to
(in ZAR) 31 August 2001 31 August 2000
Cash flows from operating activities 255 137 353 986
Cash flows from investing activities 1 301 (469 136)
Cash flows from financing activities 4 064 (214 202)
Net increase/(decrease) in cash and
cash equivalents 260 502 (329 352)
Cash and cash equivalents
at beginning of period 465 975 795 327
Cash and cash equivalents
at end of period 726 477 465 975
Statement of Changes in Equity
for the year ended 31 August 2001
Non-
Issued distributable Accumulated
(in ZAR) capital reserves losses Total
Balance as at 31 Aug 2000 62 193 750 71 189 (52 886 341) 9 378 598
Loss for the year (2 261 464) (2 261 464)
Balance as at 31 Aug 2001 62 193 750 71 189 (55 147 805) 7 117 134
Comments
The operations in Botswana, Swaziland and Namibia have continued to produce
cash flows which have been utilised to finance existing operations and
promote future opportunities in South Africa that will arise out of the
Limited Payout Machine ("LPM") market and other gaming opportunities. Income
has been generated in South Africa from an existing distributorship
agreement. Our South African entities are now licenced with six of the nine
South African Provincial Gaming Boards in fields, inter alia, which include
manufacture, supply, service and maintenance of gambling and associated
equipment. Costs in respect of probities for new licences, licence renewals
and membership fees for LPMASA and SAGMA and necessary infrastructure in
South Africa, are financed from foreign operations. At 31 August 2001, one
gaming licence was pending in South Africa and the transfer of one gaming
licence is pending in Namibia. Notwithstanding the costs for gaming
licensure and infrastructure in South Africa, the Group has managed to
reduce operating losses for the twelve month period under review to ZAR 2
261 464 (2000: ZAR 3 015 947). The balance sheet remains positive.
Continuous delays in respect of the implementation of the LPM market in
South Africa continues to have an adverse effect on Group results.
Operations
The Group operates its two licenced Casinos in Botswana, the Public
Lottery Licence in the Kingdom of Swaziland and in Namibia, operates its
licenced LPM gambling facilities. The Group also supplies, services and
maintains LPMs and terminals under contract with entities in Namibia and
Swaziland.
The Group's operations are controlled from the head office in Midrand,
Gauteng as also from its regional offices. The Midrand office serves as a
springboard for gaming opportunities into Africa and is the main supplier of
gaming equipment and gaming systems technology to the Group. It also
conducts training programs for Group employees.
Summary
Admiral is committed to achieving its goals in respect of profitability,
by first and foremost remaining focussed on its existing businesses and by
continuously evaluating its position in regard to the South African LPM
market. New gaming legislation is under consideration in Botswana. The Group
has, as a member of the Gambling Association of Botswana participated in
workshops and presentations to Government and contributed towards costs in
respect of a VAT impact study. It has been reported that the presentations
made to Government have been received favourably.
The Swaziland Government will in due course present a new draft Gaming
Act, aimed at updating the current outdated Lotteries and Casino Acts of
1963. Our Group will, as an interested party in the gaming industry of
Swaziland, participate and co-operate in this process. The Group continues
to investigate gaming opportunities in the jurisdictions where it is
operative as well as in other countries/provinces where participation could
make a positive contribution to Group income.
Going Concern
The Board of Directors has addressed the going concern concept and has
every reason to believe that the company will continue as a going concern in
the year ahead.
General
No dividend has been declared for the year under review.
By order of the Board
R A Wulz
(Chairman and Chief Executive Director)
Midrand
20 November 2001
Registered Office
151 Lechwe Street, Corporate Park, Midrand, 1685, Gauteng, South Africa
PO Box 6160, Halfway House, 1685, Gauteng, South Africa
Transfer Secretaries
Mercantile Registrars Limited,
10th Floor, 11 Diagonal Street, Johannesburg, 2001, Gauteng, South Africa
PO Box 1053, Johannesburg, 2000, Gauteng, South Africa
Directors
R A Wulz - Austrian (Chairman and Chief Executive Director)
M A Werner - (Deputy Chairman and Executive Director)
P Zorer - Austrian (Non-executive Director)
D C Khama - Motswana (Non-executive Director)
