| Wed 30 Oct 2002, 17:53 | | Buildmax - Unaudited Interim Results For The Six M |
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Buildmax - Unaudited interim results for the six months ended 30 September 2002
Buildmax Limited
(Incorporated in the Republic of South Africa)
(Registration number 1995/012209/06)
Share code: BDM ISIN: ZAE000011250
("the group")
Unaudited interim results for the six months ended 30 September 2002
The unaudited results of Buildmax Limited and its subsidiaries for the six
months ended 30 September 2002 are set out below:
Six months Six months 12 months
30/09/2002 30/09/2001 31/03/2002
(unaudited) (unaudited) (audited)
BALANCE SHEET R`000 R`000 R`000
ASSETS
Non-current assets
Property, plant and equipment 12 043 13 155 12 563
Investments 3 224 3 296 3 594
Deferred taxation - 397 397
Current assets 38 326 38 231 32 180
Total assets 53 593 55 079 48 734
EQUITY AND LIABILITIES
Share capital and reserves 40 452 39 694 39 991
Non-current liabilities
Long-term liabilities - 4 -
Current liabilities 13 141 15 381 8 743
Total equity and liabilities 53 593 55 079 48 734
Net asset value per share (cents) 96,8 95,0 95,7
Net tangible asset value
per share (cents) 96,8 95,0 95,7
CASH FLOW STATEMENT
Operating activities 602 9 152 4 598
Investing activities 370 1 539 7 445
Financing activities - (3 963) (5 735)
Net cash generated 972 6 728 6 308
Cash and cash equivalents
beginning of period 7 353 1 045 1 045
Cash and cash equivalents
end of period 8 325 7 773 7 353
INCOME STATEMENT
Gross revenue 36 793 36 987 73 584
Continuing operations 36 793 28 980 65 577
Discontinued operations - 8 007 8 007
Operating profits 652 3 833 4 195
Continuing operations 652 51 414
Discontinued operations - 3 782 3 781
Profit of sale of discontinued
operations - 5 874 5 860
Profit on ordinary activities
before interest 652 9 707 10 055
Net interest received/(paid) 206 (493) -
Profit before taxation 858 9 214 10 055
Taxation (397) (210) (754)
Net profit for period 461 9 004 9 301
Average number of shares
in issue (`000) 41 806 41 806 41 806
Earnings per share (cents) 1,1 21,5 22,3
Net profit for the period 461 9 004 9 301
Divided by weighted average
number of shares in issue 41 806 41 806 41 806
Headline earnings per share (cents) 1,1 7,5 8,2
Profit before taxation, less profit
on sale of discontinued operations,
less taxation 461 3 130 3 441
Divided by weighted average number
of shares in issue 41 806 41 806 41 806
Net asset value per share (cents) 96,8 95,0 95,7
Share capital and reserves 40 452 39 694 39 991
Dividend by weighted average
number of shares in issue 41 806 41 806 41 806
ABRIDGED STATEMENT OF CHANGES IN EQUITY
Equity beginning of period 39 991 30 690 30 690
Net profit for period 461 9 004 9 301
Equity end of period 40 452 39 694 39 991
COMMENTARY
Turnover from continuing operations for the six months ended 30 September 2002
of R36,793 million reflects an increase of 26,96 % when compared to the same
period last year (R28,980 million). It must be noted that the turnover accruing
to the concrete operation for the period April 2001 to July 2001 was previously
reflected within the information relating to discontinued operations and when
this adjustment is effected the increase in turnover September 2002 compared to
September 2001 reflects a 14,21% increase. Operating profit of R652 000 reflects
the improvement in all operating divisions and the recovery of market share
previously lost to this group`s main competitors. The positive cash situation of
this group now generates interest income whereas previously this group paid
interest on interest bearing financial facilities.
The operating profit includes retrenchment costs of R349 000 paid to certain
senior staff members during the period under review. Earnings per share (profit
for the period divided by average number of shares in issue) of 1,1 cents cannot
be compared to the same period last year due to the profit on the sale of
discontinued operations in the previous financial reporting period. Headline
earnings per share (profit before taxation, less taxation divided by average
number of shares in issue) of 1,1 cents were achieved for this accounting
period. The net asset value per share (share capital and reserves divided by
average number of shares in issue) of 96,8 cents compares favourably with
previous reporting periods. This group continues to maintain a positive cash
flow, with the cash balance having increased to R8,325 million.
An improvement in the building and construction industry appears to have
commenced but the sustainability of this increased activity and demand is
subject to the effect of any further prime overdraft interest increases and the
eroding effect of ever increasing inflation percentages. It is projected that
the economies of this country`s major trading partners are strengthening and
that the local currency could be in a cycle of recovery when measured against
the US Dollar, the British Pound and the Euro. The potential improvement in
trading conditions in South Africa need to be protected against any erosion
which may arise from the economic chaos in some of this company`s neighbouring
states.
PROSPECTS
This group believes that it is well-poised to take advantage of any synergistic
opportunities, within its current operations, which may arise in the near
future. This group continues to examine all cost input increases and believes
that any continued growth in the building and construction industry must
initially be treated with caution. Barring unforeseen circumstances this group
believes it can achieve its budget expectations for the financial year, which
ends 31 March 2003.
DIVIDENDS
The group recognises that dividend distributions are an important part of long-
term shareowners` wealth creation and particularly so in periods of weak equity
market performance. After careful consideration no dividend has been declared
for the period now under review.
ACCOUNTING POLICIES
The results were prepared in accordance with South African statements of
Generally Accepted Accounting Practice and are consistent with the group`s
accounting policies.
For and on behalf of the board
N B Egan N R Jansen
Director Director
31 October 2002
Directors: Non-executive directors: Dato` A H Samsudin* (Chairman), Datin M V
Samsudin
(*Malaysian) Executive directors: N B Egan, N R Jansen
Company Secretary: N B Egan
Registered Office: SMG Holdings Limited, 108 Johan Avenue, Corner Katherine
Street, Sandton, 2196
Transfer Secretaries: Computershare Investor Services Limited, Ground Floor, 70
Marshall Street, Johannesburg, 2001
Sponsor: Sasfin Bank Limited, 13 - 15 Scott Street, Waverley, 2090
Date: 30/10/2002 05:30:03 PM Produced by the JSE SENS Department
