| Wed 2 Apr 2003, 17:41 | | United Service Technologies Limited - Audited Resu |
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United Service Technologies Limited - Audited results for the year ended 31
January 2003
UNITED SERVICE TECHNOLOGIES LIMITED
(Incorporated in the British Virgin Islands)
JSE Code: USV ISIN: ZAE000012431
Audited results for the year ended 31 January 2003 (in accordance with US GAAP)
PROFIT AND LOSS ACCOUNT
Year to Year to
ZAR000"s 31/1/03 31/1/02
Income
Operating loss (1 004) (719)
Foreign exchange (loss)/profit (2 592) 3 918
Income attributable to associated
company 150 547 86 747
Interest received 112 382
Ordinary profit before tax 147 063 90 328
Taxation attributable to associated company 44 757 25 484
Net income attributable to ordinary
shareholders 102 306 64 844
Number of ordinary shares in issue (000) 54 583 54 583
Basic earnings per share (cents) 187.4 118.8
Headline earnings per share (cents) 188.7 150.1
Dividends per share (cents) 10.0 -
Reconciliation of headline earnings Year to Year to
31/1/03 31/1/02
Basic earnings 102 306 64 844
Amortisation of goodwill & other intangibles 714 17 073
Headline earnings 103 020 81 917
BALANCE SHEET
ZAR000"s 31/1/03 31/1/02
Non-current assets
Investments 839 356 740 669
Current assets 8 436 10 261
Current liabilities 69 68
847 723 750 862
Capital and reserves
Ordinary share capital 47 581 47 581
Reserves 800 142 703 281
Shareholders" equity 847 723 750 862
Market value of listed investment at 31 January 2003 is R1 883 million.
The net asset value per share is R15.53 (R13.76).
STATEMENT OF MOVEMENT IN EQUITY
Year to Year to
ZAR000"s 31/1/03 31/1/02
Opening balance 750 862 534 133
Profit and loss account 102 306 64 844
Dividends paid (5 458) -
Foreign exchange translation reserve (183 835) 152 331
Movement in equity of
associated company 183 848 (446)
847 723 750 862
CASH FLOW STATEMENT
Year to Year to
ZAR000"s 31/1/03 31/1/02
Net cash (outflow)/inflow
from operating activities (3 648) 3 202
Return on investments
and servicing of finance 1 770 557
Net (decrease)/increase in cash (1 878) 3 759
Cash at beginning of the year 10 256 6 497
Cash at the end of the year 8 378 10 256
PROPOSAL OF DIVIDEND
An ordinary dividend of 12.5 SA cents (10.0 SA cents) per share has been
proposed by the directors and is to be confirmed by the shareholders at the
Annual General Meeting.
COMMENTS
Uniserv Results
United Service Technologies Limited ("Uniserv") is listed on the JSE Securities
Exchange SA. Our only interest is an investment in UTi Worldwide Inc. ("UTi"), a
global supply chain solutions provider, which is listed on Nasdaq under the
symbol (UTIW). Uniserv holds approximately 30.3% of the equity in UTi.
On 18 December 2002 UTi issued an additional 4 600 000 ordinary shares for cash
at USD23.00 per share ("share issue"). This share issue resulted in UTi raising
approximately USD106 million, before underwriting commissions and costs.
Although Uniserv"s holding in UTi was diluted from approximately 36% to 30.3%,
its share of the shareholders" equity increased from approximately R740.7
million to R839.4 million, an increase of R98.7 million or 13%.
We equity account the results of UTi in Uniserv. Headline earnings per share in
Uniserv (prior to the amortisation of goodwill & other intangibles in UTi)
increased by 26% to 188.7 SA cents (150.1 SA cents).
One UTi share is equivalent to approximately 5.8888 Uniserv shares.
The accounting policies applied are consistent with the prior period.
These results have been audited by the group"s auditors, Deloitte & Touche, and
a copy of their unqualified audit report is available for inspection at the
company"s registered office.
UTi Worldwide Inc.
The UTi results are reported in US Dollars. The results of Uniserv and the
Uniserv share price on the JSE Securites Exchange SA are denominated in SA Rand.
To assist in understanding the operations of UTi, as in the previous year, we
have presented a summarised Profit and Loss account and Balance Sheet of UTi
translated into SA Rand. In keeping with prior years the summarised Profit and
Loss account has been translated at the average rate of exchange for the year -
10.197 SA Rand to 1 US Dollar (8.864). The balance sheet has been translated at
the exchange rate ruling at the end of the financial period, 8.534 SA Rand to 1
US Dollar (11.419).
Revenue in UTi increased by 51% (31% increase in USD) to ZAR11.9 billion (ZAR7.9
billion). Operating profit from ordinary activities (before amortisation of
goodwill & other intangibles) increased by 50% to ZAR466.0 million (ZAR310.3
million). EBITDA (earnings before interest, tax, depreciation and amortisation
of goodwill & other intangibles) increased by 47% to ZAR580 million (ZAR393.9
million).
Headline earnings (before amortisation of goodwill & other intangibles)
increased by 38% to ZAR300.7 million (ZAR217.1 million). Headline earnings per
share increased by 33% to 1 135 SA cents (851.5 SA cents).
Free cash flow generated during the year amounted to approximately ZAR350
million (ZAR296 million).
Strides were made towards UTi"s long-term objective of global integrated
logistics with the completion of two acquisitions during the year, Standard and
Grupo SLi. These acquisitions strengthened UTi"s range of services. The
successful share issue has provided UTi with greater resources and flexibility
to execute their growth plans.
UTi will face continued global business uncertainties, especially with the
geopolitical issues in the Middle East. The group has, however, limited
exposure in this region. Weaker volumes in trade demand, particularly in the
Asian imports to the USA, have recently been noted. It is expected that these
factors will affect UTi"s first fiscal quarter, which remains the seasonally
weakest of the year. UTi is nevertheless optimistic about the full year outlook
as it continues to build reserves, drives operating improvements, realises a
full year contribution from the acquisition of Standard and attracts global
customers.
More information on UTi is available on the Internet at www.go2uti.com. A live
broadcast on the results is archived and can be heard for 2 weeks until 5pm,
Pacific Standard Time, Wednesday 16 April 2003 at this Internet site or at
www.companyboardroom.com.
MJ Wessels
Chairman
RC Kerr
Non-excutive director
2 April 2003
UTi Worldwide Inc.
SUMMARISED PROFIT AND LOSS ACCOUNT*
Year to Year to
ZAR000"s 31/1/03 31/1/02
Revenue 11 931 102 7 887 067
Earnings before interest, tax,
depreciation and amortisation of
goodwill & other intangibles (EBITDA) 579 975 393 895
Operating profit from ordinary activities
(excluding goodwill) 466 033 310 320
Taxation 127 381 70 639
Headline earnings 300 730 217 145
Earnings after amortisation of
goodwill & other intangibles 298 711 169 819
Weighted average number
of shares (diluted) 26 504 25 502
Earnings per ordinary share (cents) 1 127 665.9
(diluted)
Headline earnings per share
before amortisation of goodwilll
& other intangibles (cents) (diluted) 1 135 851.5
* Translated at the average exchange rate of 10.197 South African Rand to 1
United States Dollar (2002: 8.864).
SUMMARISED BALANCE SHEET**
ZAR000"s 31/1/03 31/1/02
Non-current assets
Property, plant and equipment 380 326 356 101
Goodwill & other intangibles 1 072 220 874 815
Deferred tax assets 10 471 16 345
Other non-current assets 64 338 38 891
1 527 355 1 286 152
Current assets
Trade and other receivables 2 389 324 2 333 861
Cash and other equivalents 1 434 779 1 000 239
Total assets 5 351 458 4 620 252
Non-current liabilities
Long-term borrowings 1 698 13 605
Deferred tax liabilities 14 021 17 882
Other non-current liabilities 69 356 73 302
85 075 104 789
Current liabilities
Trade and other payables 2 018 701 1 976 780
Short-term borrowings 363 369 372 032
Other current liabilities 94 821 84 097
Minority interest 23 033 28 799
Shareholders" equity 2 766 459 2 053 755
Total liabilities & shareholders"
equity 5 351 458 4 620 252
** Translated at the exchange rate of 8.534 South African Rand to 1 United
States Dollar (2002: 11.419)
Transfer agents in South Africa
Computershare Investor Services Limited
70 Marshall Street
Marshalltown
Johannesburg 2001
Registered office
First Floor
Bank of Nova Scotia Building
Road Town, Tortola
British Virgin Islands
