| Tue 12 Mar 2002, 0:00 | | Rex Trueform Clothing Company:profit Announcement |
|
31 DECEMBER 2001
Rex Trueform Clothing Company Limited
(Registration number 1937/009839/06)
JSE Share code: RTO ISIN: ZAE000006144
PROFIT ANNOUNCEMENT FOR THE SIX MONTHS ENDED 31 DECEMBER 2001
INCOME STATEMENT
Consolidated (R'000)
Six months ended Year ended
December 31 June 30
2001 2000 2001
(Unaudited) (Unaudited) (Audited)
Revenue 142 095 139 592 281 133
Net operating income/(loss) before
depreciation 827 (2 652) 8 495
Depreciation 4 152 4 180 8 476
Net operating (loss)/income (3 325) (6 832) 19
Net interest received 1 724 2 092 3 661
(Loss)/income before taxation (1 601) (4 740) 3 680
Taxation 27 64 1 119
(Loss)/income after taxation (1 628) (4 804) 2 561
Preference dividends 8 8 16
Net (loss)/income attributable to
ordinary and 'N' ordinary shareholders (1 636) (4 812) 2 545
Headline (loss)/earnings
per share (cents) (7.9) (23.3) 12.3
Weighted average number of
equity shares on which earnings
per share is based (000) 20 642 20 642 20 642
Number of equity shares in issue (000) 20 642 20 642 20 642
BALANCE SHEET
Assets
Non-current assets 37 968 40 953 39 165
Fixed assets 31 809 36 416 33 568
Investments (unlisted) 5 327 4 745 4 765
Deferred taxation 832 (208) 832
Current assets 139 281 135 594 151 879
Inventory 99 535 91 679 94 683
Debtors 26 526 23 152 24 965
Taxation 229 343 58
Cash 12 991 20 420 32 173
Total assets 177 249 176 547 191 044
Equity and liabilities
Capital and reserves 161 349 158 208 162 985
Share capital 1 777 1 777 1 777
Share premium 25 847 25 847 25 847
Non-distributable reserves 9 1 104 9
Distributable reserves 133 716 129 480 135 352
Current liabilities 15 900 18 339 28 059
Accounts payable 15 900 18 241 25 282
Taxation - 98 197
Shareholders for dividend - - 2 580
Total equity and liabilities 177 249 176 547 191 044
ABRIDGED CASH FLOW STATEMENT
Cash generated by/(applied to) operations 736 (2 768) 8 420
Working capital changes (15 715) (10 199) (7 975)
Interest received (net) 1 724 2 092 3 661
Taxation (475) (3 620) (5 331)
Dividends paid (2 588) (5 169) (5 177)
Net cash outflows from operations (16 318) (19 664) (6 402)
Net cash outflows from investing
Activities (2 864) (11 228) (12 737)
Net decrease in cash (19 182) (30 892) (19 139)
Cash at the beginning of the period 32 173 51 312 51 312
Cash at the end of the period 12 991 20 420 32 173
STATEMENT OF CHANGES IN EQUITY
Consolidated (R'000)
Six months ended Year ended
December 31 June 30
2001 2000 2001
(Unaudited) (Unaudited) (Audited)
Share capital 1 777 1 777 1 777
Share premium 25 847 25 847 25 847
Non-distributable reserves 9 1 104 9
Distributable reserves
(Loss)/income before taxation (1 601) (4 740) 3 680
Taxation 27 64 1 119
(Loss)/income after taxation (1 628) (4 804) 2 561
Preference dividends 8 8 16
Net (loss)/income attributable to
ordinary and 'N' ordinary shareholders (1 636) (4 812) 2 545
Headline (loss)/earnings
per share (cents) (7.9) (23.3) 12.3
Weighted average number of
equity shares on which earnings
per share is based (000) 20 642 20 642 20 642
Number of equity shares in issue (000) 20 642 20 642 20 642
BALANCE SHEET
Assets
Non-current assets 37 968 40 953 39 165
Fixed assets 31 809 36 416 33 568
Investments (unlisted) 5 327 4 745 4 765
Deferred taxation 832 (208) 832
Current assets 139 281 135 594 151 879
Inventory 99 535 91 679 94 683
Debtors 26 526 23 152 24 965
Taxation 229 343 58
Cash 12 991 20 420 32 173
Total assets 177 249 176 547 191 044
Equity and liabilities
Capital and reserves 161 349 158 208 162 985
Share capital 1 777 1 777 1 777
Share premium 25 847 25 847 25 847
Non-distributable reserves 9 1 104 9
Distributable reserves 133 716 129 480 135 352
Current liabilities 15 900 18 339 28 059
Accounts payable 15 900 18 241 25 282
Taxation - 98 197
Shareholders for dividend - - 2 580
Total equity and liabilities 177 249 176 547 191 044
ABRIDGED CASH FLOW STATEMENT
Cash generated by/(applied to) operations 736 (2 768) 8 420
Working capital changes (15 715) (10 199) (7 975)
Interest received (net) 1 724 2 092 3 661
Taxation (475) (3 620) (5 331)
Dividends paid (2 588) (5 169) (5 177)
Net cash outflows from operations (16 318) (19 664) (6 402)
Net cash outflows from investing
Activities (2 864) (11 228) (12 737)
Net decrease in cash (19 182) (30 892) (19 139)
Cash at the beginning of the period 32 173 51 312 51 312
Cash at the end of the period 12 991 20 420 32 173
STATEMENT OF CHANGES IN EQUITY
Consolidated (R'000)
Six months ended Year ended
December 31 June 30
2001 2000 2001
(Unaudited) (Unaudited) (Audited)
Share capital 1 777 1 777 1 777
Share premium 25 847 25 847 25 847
Non-distributable reserves 9 1 104 9
Distributable reserves
Opening balance 135 352 134 292 134 292
Transfer - - 1 095
(Loss)/profit after taxation (1 628) (4 804) 2 561
Dividends (8) (8) (2 596)
133 716 129 480 135 352
OTHER INFORMATION
Capital expenditure 2 587 7 021 12 634
Capital commitments
Contracted for 871 224 2 031
Authorised - not contracted for 5 404 2 563 4 264
Current ratio 8.8 7.4 5.4
Accounting policy
The interim financial statements comply with the South African statements of
Generally Accepted Accounting Practice. Accounting Policies used are
consistent with those applicable for the June 2001 financial statements.
Preference dividend
A dividend on the 6% cumulative preference shares for the six months ended
31 December 2001 in the amount of R8 400 was declared in November and paid
on 31 December 2001.
COMMENT
The performance of the company, although better than the corresponding
period of last year, is still not positive and a loss of R1 627 840 (R4 803
852 in 2000) after tax, has been incurred for the first six months of the
financial year.
Queenspark has continued to trade profitably, and with better margins
achieved and operating costs contained, the contribution of Queenspark was
substantially improved over the corresponding period last year. Queenspark
is strongly positioned in its niche market and it is pleasing to report that
the new Autumn/Winter ranges have been enthusiastically received by our
customers and prospects for the second half of the financial year are
encouraging.
The manufacturing operations have experienced another difficult period.
Prospects, however, for new long run export business are good and it is
expected that additional volumes will materialise, thereby improving
performance during the second half of the financial year and beyond.
The continued positive contribution of Queenspark, together with an expected
improved performance from the manufacturing operations, should result in the
company producing a positive result during the second half of the financial
year. The balance sheet remains strong and the company is capable of
financing future expansion out of its own cash resources. It is thus well
positioned to take advantage of an upturn in demand.
Rex Trueform has completed an internal restructure of its business into
three separate business units, being Queenspark - Retail, Rex Trueform -
Clothing Manufacturing, and Distribution. This restructuring was completed
late last year and now properly reflects the business activities of the
group.
Signed on behalf of the Board:
Stewart C Shub (Chairman)
Alan A Hodgkinson (Director)
Cape Town
Opening balance 135 352 134 292 134 292
Transfer - - 1 095
(Loss)/profit after taxation (1 628) (4 804) 2 561
Dividends (8) (8) (2 596)
133 716 129 480 135 352
OTHER INFORMATION
Capital expenditure 2 587 7 021 12 634
Capital commitments
Contracted for 871 224 2 031
Authorised - not contracted for 5 404 2 563 4 264
Current ratio 8.8 7.4 5.4
Accounting policy
The interim financial statements comply with the South African statements of
Generally Accepted Accounting Practice. Accounting Policies used are
consistent with those applicable for the June 2001 financial statements.
Preference dividend
A dividend on the 6% cumulative preference shares for the six months ended
31 December 2001 in the amount of R8 400 was declared in November and paid
on 31 December 2001.
COMMENT
The performance of the company, although better than the corresponding
period of last year, is still not positive and a loss of R1 627 840 (R4 803
852 in 2000) after tax, has been incurred for the first six months of the
financial year.
Queenspark has continued to trade profitably, and with better margins
achieved and operating costs contained, the contribution of Queenspark was
substantially improved over the corresponding period last year. Queenspark
is strongly positioned in its niche market and it is pleasing to report that
the new Autumn/Winter ranges have been enthusiastically received by our
customers and prospects for the second half of the financial year are
encouraging.
The manufacturing operations have experienced another difficult period.
Prospects, however, for new long run export business are good and it is
expected that additional volumes will materialise, thereby improving
performance during the second half of the financial year and beyond.
The continued positive contribution of Queenspark, together with an expected
improved performance from the manufacturing operations, should result in the
company producing a positive result during the second half of the financial
year. The balance sheet remains strong and the company is capable of
financing future expansion out of its own cash resources. It is thus well
positioned to take advantage of an upturn in demand.
Rex Trueform has completed an internal restructure of its business into
three separate business units, being Queenspark - Retail, Rex Trueform -
Clothing Manufacturing, and Distribution. This restructuring was completed
late last year and now properly reflects the business activities of the
group.
Signed on behalf of the Board:
Stewart C Shub (Chairman)
Alan A Hodgkinson (Director)
Cape Town
8 March 2002
Transfer Secretaries: Registered Office:
Mercantile Registrars Ltd Rex Buildings
10th Floor, 11 Diagonal Street 263 Victoria Road
Johannesburg, 2001 Salt River, Cape, 7925
Directors:
SC Shub (Chairman), G Bradley, MR Danford (British), V Hardy (British),
AA Hodgkinson, JC O'Brien, CEA Radowsky, AM Shub, PE Shub, CA Stride,
DR Sykes, GM Thomas
Secretary: African & Overseas Enterprises Limited
