| Fri 11 Oct 2002, 10:50 | | Enterprise Outsourcing Holdings Limited - Quality |
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Enterprise Outsourcing Holdings Limited - Quality Service, Skills, Commitment
And Uncompromising Conduct Key To EOH`s Financial Success
Enterprise Outsourcing Holdings Limited
(Company registration no: 1998/014669/06)
Share code: EOH
ISIN code: ZAE000022026
("EOH" or "the Company")
NEWS RELEASE
QUALITY SERVICE, SKILLS, COMMITMENT AND UNCOMPROMISING CONDUCT KEY TO EOH`s
FINANCIAL SUCCESS
BEDFORDVIEW - Listed in the software and computer services sector of the JSE-
lists, EOH Limited a specialist in enterprise-wide business systems, today
announced excellent annual results for the period ended 31 July 2002 with
revenue increasing by 36% to R114,3 million (2001: R84,1 million). Delivering
R11,958 million profit for the period, headline earnings rose by 27%. The
balance sheet remains strong with cash revenue up by 19% to R29,6 million.
"We have declared a maiden cash dividend of 6 cents per share and although we
still have much scope for growth, the board is confident that we can afford a
payout at 4x cover without sacrificing growth," states Asher Bohbot, chief
executive officer of EOH Limited.
"We recently purchased the business operations of Futuristix as a going concern
for a total consideration of up to R6 million. A software distributor for
Manufacturing Execution Systems (MES) and Supervisory Control and Data
Acquisition Systems (SCADA), Futuristix will be earnings enhancing to EOH.
Vendors will be paid in cash and through the issue of EOH shares over the next
two years, should profit warrantees be achieved," says Bohbot.
Over the past four years, EOH has established a presence in all major centres in
South Africa. "Geographically, EOH is extending its reach to the Indian Ocean
Islands, spearheaded by our operations in Mauritius. The group is also targeting
opportunities in the Middle East. On offer is our core services in supplying,
designing, implementing and operating enterprise-wide solutions, with clients
benefiting from our experience in supply chain management and systems that are
linked to new economy technologies," explains Bohbot.
Launched during the first half, the three new business units, viz. J-Enterprise,
which focuses on the provision of large enterprise software solutions and
associated services via an ASP model; EOH Planning Solutions, which provides
generic services around Advanced Planning and Scheduling and Supply Chain
Optimisation; and Enterprise 21, which houses the African distribution rights
and support for a major enterprise software package, are progressing well.
Organically grown businesses as well as acquisitions are given a head start,
benefiting at the outset from an established and highly regarded EOH brand name;
group level strategy formulation and execution; finance and control; in addition
to cost savings through utilising shared services and maximising cross-marketing
activities.
"EOH will continue to enhance its management team and key people capacity. Human
capital development and management`s commitment to service excellence remain our
primary differentiators in the market place. Investments made in new services
and product offerings will support our growing customer base`s needs. Our focus
on lifelong technology partnerships with our clients ensures the balance between
annuity-based and project-type business."
"The consistent application of our business model and strategy have been proving
beneficial and we intend to continue therewith. EOH has the capability to
capitalise on emerging opportunities: it is well positioned in terms of
credibility, enjoys an unblemished business track record; is financially
independent; and led by a management team experienced and skilled to handle
growth as well as change."
"It is the directors resolve to maintain the group`s listing on the JSE
Securities Exchange despite the downturn in the market and a spate of delistings
by other small market capitalisation stocks. The group and its stakeholders take
pride in its financial performance record, and appreciate that its status as a
listed entity makes a positive contribution towards securing new business, as
well as attracting and retaining staff."
"Over the past four years, our approach has been to continuously seek ways to
add value to our customers, delivering an uncompromised, dedicated service
whilst conducting ourselves with integrity. A healthy corporate culture and an
articulated value system have made EOH a leader in enterprise systems," Bohbot
concludes.
Compared to the group`s closing share of 104 cents yesterday, tangible net asset
value amounted to 24,7 cents, and cash flow per share to 29,01 cents at the time
of reporting.
END
For more information, please contact:
Issued on behalf of : EOH
Client Contact : Mr Asher Bohbot
Position : Chief Executive Officer
Tel : (011) 607-8100
Editor`s note:
EOH is a business solutions provider creating lifelong information technology
partnerships by developing IT strategies, supplying and implementing solutions
and managing enterprise-wide business systems for medium to large clients.
EOH operates in three distinct clusters of SBU`s as a fully integrated business.
- EOH Strategic Solutions concentrates on the initial point of contact with EOH
clients through IT strategy development, management consulting, IT-enabled
business process re-engineering, software selection and Supply Chain Logistics
education to support world-class enterprise systems.
- The Business Systems cluster enables EOH to sell, implement and support a
range of world-class business applications including ERP, CRM, Business
Intelligence, Advanced Planning Systems and e-Commerce.
- EOH Outsourcing involves comprehensive maintenance and support of the clients`
IT infrastructure and applications through the offering of full IT outsourcing,
and Application Hosting.
Date: 11/10/2002 08:00:00 AM Produced by the JSE SENS Department
