| Thu 19 Mar 2020, 7:05 | | CAXTON AND CTP PUBLISHERS AND PRINTERS LIMITED - CAT,CATP : Unaudited results for the six months ended 31 December 2019 |
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Unaudited results for the six months ended 31 December 2019
CAXTON & CTP LIMITED
Publishers & Printers
Incorporated in the Republic of South Africa
Registration number: 1947/026616/06
Share code: CAT ISIN: ZAE000043345
Preference share code: CATP ISIN: ZAE000043352
UNAUDITED GROUP RESULTS FOR THE SIX MONTHS TO 31 DECEMBER 2019
Unaudited Unaudited Audited
six months to six months to year to
31 December 31 December 30 June
Unaudited group results % Change 2019 2018 2019
R’000 R’000 R’000
Revenue (1.9) 3 340 208 3 404 591 6 320 895
Profit from operating activities before depreciation (16.4) 286 032 342 233 653 660
and amortisation
Profit for the period (18.1) 175 531 214 248 355 330
Cash and cash equivalents 10.8 1 557 278 1 405 951 1 697 650
Earnings per ordinary share (cents) (15.1) 44.0 51.8 86.7
Headline earnings per ordinary share (cents) (12.5) 45.3 51.8 101.6
Net asset value per share (cents) 0.1 1 462 1 460 1 484
Declared dividend per ordinary share (cents) – – 60.0
Commentary:
The group delivered a reasonable set of results in the face of significant economic headwinds that led to a decline in revenues
and margin pressure. Although operating expenses were well controlled, this could not compensate for the top line and margin
decline that resulted in a decline in headline earnings per share of 12.5%. The bulk of this decline can be attributed to the
publishing, printing and distribution segment of our group where the trading environment led to a drop in advertising revenue
at a local level and reduced margins as a result of increased input costs in our commercial printing operations, which as a
result of intensified competitor activity, could not be passed on. These conditions were highlighted in our financial year end
review, but further intensification was experienced during the current reporting period.
Net finance income increased from R71.7 million to R97.6 million. The increased finance income was somewhat
offset by the decline in dividends received from our investment in Novus Holdings Limited. With the cancellation of
the incentive share scheme for executive directors that was approved at a shareholders general meeting held on
13 December 2019, deemed interest received of R25.4 million was recognised.
Profit before taxation declined by 16.7% to R236.1 million with taxation absorbing R60.6 million. This meant pro t after
taxation declined by R38.7 million (18.1%) to R175.5 million.
The group’s cash and cash equivalents increased by R151.3 million over the corresponding prior period to R1 557.3 million.
This increase is mainly due to improved working capital management and reduced capital expenditure, offset by further
investment in subsidiaries and loans to associates.
As always and as reflected in the current set of results the group will continue to manage its operations in as tight a manner
as possible but with no revenue growth and margin pressure, pro ts will remain under pressure. The group is in an extremely
fortunate position to have a strong balance sheet to ride out these challenges whilst searching for the right acquisition should
opportunities present themselves.
Statement
This short-form announcement is the responsibility of the directors and is only a summary of the information in the
full announcement and does not contain full or complete details. The full announcement has been released
on 19 March 2020 and can be found on the Company’s website at https://caxton.co.za/about/announcements/and also on
the following link: https://senspdf.jse.co.za/documents/2020/JSE/ISSE/CAT/CATAR2020.pdf.
The full announcement is available at the Company’s registered of ce and the of ces of the sponsor at no charge during
office hours.
Copies of the full announcement may be requested via the email address of the company secretary (companysecretary@
caxton.co.za)
Any investment decision should be based on the full announcement published on the SENS and the Company’s website.
By order of the board
19 March 2020
Executive Directors: Independent Non-Executive Directors:
TD Moolman, PG Greyling, TJW Holden PM Jenkins, ACG Molusi, NA Nemukula, T Slabbert, J Phalane
Transfer Secretaries: Registered Office:
Computershare Investor Services Proprietary Limited 28 Wright Street, Industria West, Johannesburg
Sponsor: Arbor Capital Sponsors Proprietary Limited Company website: www.caxton.co.za
Date: 19-03-2020 07:05:00
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