| Mon 18 Feb 2002, 0:00 | | Concor Limited - Interim Report Of The Six Months |
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(Registration number 1969/003076/06)
(Incorporated in the Republic of South Africa)
INTERIM REPORT FOR THE SIX MONTHS ENDED 31 DECEMBER 2001
summarised
consolidated
income statement
Unaudited Unaudited Year ended 30
six months six months June 2001
ended 31 ended 31
December December
2001 2000
R' 000 R' 000 R' 000
Revenue 585,189 583,509 1,135,501
continuing operations 582,799 554,112 1,084,622
discontinuing operations 2,390 29,397 50,879
Operating income before 30,854 13,773 42,132
depreciation
Depreciation 17,320 11,968 27,785
Operating income from 13,534 1,805 14,347
continuing operations before
interest
Operating (loss)/income from (9,076) 4,763 741
discontinuing operations
Interest received 8,058 5,374 11,613
Interest paid (3,536) (10,603) (15,524)
Income before taxation 8,980 1,339 11,177
Taxation 5,874 326 2,664
Income after taxation 3,106 1,013 8,513
Outside shareholders 0 (247) (269)
interest
Earnings attributable to 3,106 766 8,244
ordinary shareholders
Headline earnings 3,106 766 8,244
attributable to ordinary
shareholders
Number of shares in issue 13,347,594 13,347,594 13,347,594
Earnings per share (cents) 23.3 5.7 61.8
Headline earnings per share 23.3 5.7 61.8
(cents)
summarised consolidate
balance sheet
As at As at As at
31 December 31 December 30 June
2001 2000 2001
R' 000 R' 000 R' 000
Fixed assets 112,215 60,726 78,523
Unlisted investments 27,663 74,193 53,283
Deferred tax asset 5,723 9,471 8,068
Current assets 511,195 420,252 433,176
Deposits and cash 189,462 61,012 101,834
Other current assets 321,733 359,240 331,342
Total assets 656,796 564,642 573,050
Shareholders equity 151,194 140,610 148,088
Outside shareholders interest 366 3,530 366
Interest bearing debt 69,488 155,455 58,615
Current liabilities 435,748 265,047 365,981
Total equity and liabilities 656,796 564,642 573,050
Net asset value per share 1,133 1,053 1,109
(cents)
Gearing 46% 108% 40%
Net capital expenditure (Rm) 50 10.7 43
Capital commitments 4 18 35
abridged
cash flow statement
Unaudited Unaudited
six months six months Year
ended ended ended
31 December 31 December 30 June
2001 2000 2001
Operating activities 110,803 (26,236) 130,587
Cash generated by operations 46,123 17,562 43,111
Net interest received/(paid) 4,522 (5,229) (3,911)
Working capital 60,158 (38,237) 90,759
generated/(utilised)
Taxation (paid)/refunded 0 (332) 628
Investment activities (34,048) (12,613) (31,774)
Fixed assets net of (50,066) (10,710) (42,997)
disposals
Associated companies and 16,018 (1,903) 11,223
unlisted investments
Net cash 76,755 (38,849) 98,813
generated/(utilised)
Financing activities
Increase/(decrease) in 10,873 58,901 (37,939)
interest bearing debt
Increase in deposits and 87,628 20,052 60,874
cash
statement of changes
in equity
Share capital Retained
and premium income Total
R' 000 R' 000 R' 000
Balance at 1 July 2000 58,314 81,530 139,844
Earnings attributable to
shareholders to 30 June 2001 8,244 8,244
Balance at 1 July 2001 58,314 89,774 148,088
Earnings attributable to
shareholders to 31 December 2001 3,106 3,106
Balance at 31 December 2001 58,314 92,880 151,194
Unaudited Unaudited Year ende
six six 30 June
months months 2001
ended 31 ended 31
December December
2001 2000
% R' 000 % % R' 000
Turnover
Construction 80 470 444 75 438 755 76 861 756
Manufacturing 19 112 355 20 115 357 20 222 866
Discontinuing operations 1 2 390 5 29 397 4 50 879
100 585 189 100 583 509 100 1 135 50
Income before taxation
Construction 177 15 909 ( 18) ( 240) 62 6 956
Manufacturing 39 3 480 391 5 239 110 12 324
Discontinuing Operations ( 116) (10 409) ( 273) (3 660) ( 72) (8 103)
100 8 980 100 1 339 100 11 177
Geographical Turnover
Republic of South Africa 80 465 725 81 470 966 83 946 745
Rest of Africa 20 119 464 19 112 543 17 188 756
100 585 189 100 583 509 100 1 135 50
Compliance with GAAP
These interim results have been compiled in accordance with Statements of
Generally Accepted Accounting Practices in South Africa.
Accounting policies
The same accounting policies and methods of computation have been used
in the preparation of these interim financial statements
as were used in the annual financial statements to 30 June 2001.
CONCOR LIMITED
Registration number 1969/003076/06
Incorporated in the Republic of South Africa
Isin Code : ZAE000001616
Share Code : CNC
We are pleased to advise that the Group is making good progress in its three-
year plan to return the Group to acceptable returns.
GROUP'S KEY SHORT-TERM STRATEGIES
Procurement of an improved order book and work outside South Africa.
Introduction of improved management control and information systems.
Improved balance sheet and working capital.
Close out the property development division.
OPERATIONAL REVIEW
All divisions have performed in line with expectations and there are no
major contractual disputes pending other than the Injaka Bridge collapse
which has been fully provided for. A ruling by the Department of Labour is
expected soon.
The Building Division, in joint venture with others, successfully completed
the R300 million Louis Trichardt Prison during January 2002, the R400
million Johannesburg International Airport Domestic Terminal contract is
progressing well and is scheduled for completion by the end of the year.
The Roads Division commenced work during August 2001 on the R2,7 billion N4
Platinum Toll Road, in which Concor has a 16,7% share, and has secured
additional work in Botswana.
The Engineering Division secured fast track contracts for the Tati Nickel
Mine in Botswana, which will be completed by the end of February 2002.
Further contracts are in progress in the Platinum areas.
The Civils Division is currently busy on the Mozal ll project, a hotel in
Pemba, Mozambique and has been awarded a USD10 million contract in Beira by
BP.
The Underground and Opencast Mining Divisions operated below capacity but
still exceeded budgeted profit levels.
The Technicrete Division benefited from the low interest rates and increased
their market share and product range.
The Tsitsikamma Toll Road, operate and maintenance contract, was awarded to
the Facility Management Division during the period under review.
LOSS ON DISCONTINUED OPERATIONS
Concor sold its 33% share in the Glen Shopping Centre at a loss but this
enabled the Group to reduce its interest bearing debt and increase cash
reserves. Offers are being considered for the remainder of the Property
portfolio which, when concluded, will not materially affect the Groups
results.
CASH FLOW AND WORKING CAPITAL
Despite an aggressive capital expenditure programme over the last 6 months,
on the renewal of the plant fleet and improved management information
systems, interest bearing debt reduced by R86 million and cash increased by
R128 million compared to December 2000. It is still the Group's objective
to reduce interest-bearing debt to only asset-based finance by year-end.
PROSPECTS
The devaluation in the Rand and increased activity in the mining sector
should benefit Concor as all our divisions are well entrenched in this
sector. The award of a road and bridge contract in Zambia as well as a road
contract in Mozambique is imminent.
Work on hand amounts to R850 million.
Hochtief, Concor's major shareholder, continues to enhance its level of
support and assistance.
DIVIDEND
The Board has decided not to declare an interim dividend. It is expected
that the achievement of the Group's growth and performance objectives will
enable the resumptions of dividend payments by year-end.
JV WILLMOTT FW KELLER
Chief Executive Chairman
R C DAVIES 18 February 2002
Secretary
Directors: F W Keller (Chairman) J V Willmott (Chief Executive Officer)
A J Bester M Lommatzsch.
Registered Office: Concor House, 13 Church Street Ext., Crown Industria,
Johannesburg 2001 (P O Box 8259, Johannesburg 2000)
Transfer Secretaries: Mercantile Registers Ltd, First National House, 11
Diagonal Street, Johannesburg 2001 (P O Box 1053, Johannesburg 2000)
