| Tue 23 Dec 2003, 11:07 | | Consolidated Income Statements (Abridged) And Wit |
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JCI Limited - Consolidated Income Statements (Abridged) And Withdrawal of
Cautionary Announcement
JCI LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1894/000854/06)
Share code: JCD ISIN: ZAE000039681
Existing Debenture code: JCDD ISIN: ZAE000039699
"A" Debenture code: JCAD ISIN: ZAE000049144
("JCI" or "the Company")
CONSOLIDATED INCOME STATEMENTS (ABRIDGED)
Unaudited Unaudited Audited
six months six months year
ended ended ended
30 Sept 30 Sept 31 March
2003 2002 2003
Notes R"000 R"000 R"000
Revenue 55 111 41 044 219 486
Net loss for the period 1 (47 723) (77 672) (11 667)
Share of earnings/(losses) of
associated companies 2 61 854 (124 616) 43 895
Exceptional items 3 26 348 201 316 164 758
Net profit/(loss) before taxation 40 479 (972) 196 986
Taxation 4 48 64 186
Net profit/(loss) after taxation 40 431 (1 036) 196 800
Loss attributable to outside
shareholders - (306) (194)
Net profit/(loss) for the period 40 431 (730) 196 994
(Loss)/Earnings per share - (cents) 5
- headline (loss)/earnings (0,0) (21,9) 5,1
- attributable earnings/(loss) 2,2 (0,1) 13,9
Headline earnings are calculated
as follows:
Net profit/(loss) for period 40 431 (730) 196 994
Exceptional items (26 348) (201 316) (164 758)
Items of a capital nature:
- (Goodwill)/negative goodwill
transferred to earnings (14 361) (20 822) 40 547
- profit on sale of fixed assets (11) - (284)
(289) (222 868) 72 499
NOTES TO THE INCOME STATEMENTS
1 Net loss is stated after taking into account the following:
Dividends received 764 - -
- Interest received 10 785 233 1 713
- Net goodwill transferred from/(to)
earnings 14 361 20 822 (40 547)
- Interest paid 42 752 62 746 113 061
2. Share of earnings/(losses) of associated
companies
- Income/(Loss) from ordinary activities 107 739 (124 616) 184 749
- Loss from non-recurring activities (45 885) - (140 792)
61 854 (124 616) 43 957
3. Exceptional items
- Reversal of provision/(Provision)
against and write down of investments 63 005 767 (9 550)
- Loss attributable to dilution of holding
in associated company (27 111) - -
- Provision against loans - - 13 051
- Translation (loss)/profit (9 614) 25 826 65 779
- Profit on disposal of investments and
mining assets 68 181 471 83 052
- Restructuring costs - (6 748) (9 327)
- Reversal of interest - - 21 753
26 348 201 316 164 758
4. Taxation
- Foreign normal taxation 48 64 186
48 64 186
5. Earnings/(loss) per share calculation
is based on the weighted average number
of shares in issue of 1 822 433 137 1 019 862 230 1 415 631 894
CASH FLOW STATEMENTS (ABRIDGED)
Unaudited Unaudited Audited
30 Sept 30 Sept 31 March
2003 2002 2003
R"000 R"000 R"000
Cash flows from operating activities (358 749) 6 251 (26 055)
Cash flows from investing activities (64 866) 11 240 (13 599)
Cash flows from financing activities 465 446 (9 942) 61 703
Net movement in cash and cash equivalents 41 831 7 549 22 049
Cash and cash equivalents:
- at beginning of period (2 712) (25 132) (25 132)
- subsidiary acquired 1 488 382 371
Cash and cash equivalents at end of period 40 607 (17 201) (2 712)
STATEMENT OF CHANGES IN EQUITY
Non-
distri-
Share Share butable Accumulated
capital premium reserves loss Total
R"000 R"000 R"000 R"000 R"000
Balance on 31 March 2002 7 117 1 046 278 285 588 (1 068 598) 270 385
Issued during the year 10 389 457 084 - - 467 473
Expenses written off - (5 265) - - (5 265)
Transfer from non-distributable
reserve to accumulated loss - - (37 976) 37 976 -
Net profit for the year - - - 196 994 196 994
Share of fair value adjustment of
associated companies - - - (107 065)(107 065)
Balance at 31 March 2003 17 506 1 498 097 247 612 (940 693) 822 522
Adjustment for share of fair
value adjustment of associated
companies, relating to
prior year - - - (61 868) (61 868)
Change in accounting policy
- AC 133 - - - 4 292 4 292
Restated opening balances 17 506 1 498 097 247 612 (998 269) 764 946
Issued during the period 1 641 94 862 - - 96 503
Expenses written off - (324) - - (324)
Transfer from non-distributable
reserve to accumulated loss - - (15 205) 15 205 -
Fair value adjustment - - - 14 198 14 198
Net profit for the period - - - 40 431 40 431
19 147 1 592 635 232 407 (928 435) 915 754
CONSOLIDATED BALANCE SHEETS (ABRIDGED)
Unaudited Unaudited Audited
30 Sept 30 Sept 31 March
2003 2002 2003
Notes R"000 R"000 R"000
Assets
Non-current assets
- Property, mineral rights, plant
and equipment 126 433 91 390 105 569
- Goodwill 155 387 101 414 71 746
- Investments 2 1 065 037 891 916 1 023 805
- Loans 298 695 210 374 295 055
1 645 552 1 295 094 1 496 175
Current assets 3 739 573 425 757 357 137
Total assets 2 385 125 1 720 851 1 853 312
Equity and liabilities
Capital and reserves 4 915 754 730 912 822 522
Shares in holding company held
by subsidiaries (15 252) (14 191) (15 216)
Outside shareholders 23 1 055 22
900 525 717 776 807 328
Non-current borrowings
- interest bearing 5 310 724 347 033 327 977
- non-interest bearing 2 649 - 1 502
313 373 347 033 329 479
Current liabilities
- interest bearing 6 968 781 481 756 513 030
- non-interest bearing 202 446 174 286 203 475
1 171 227 656 042 716 505
Total equity and liabilities 2 385 125 1 720 851 1 853 312
Number of shares in issue 1 914 664 803 1 750 566 255 1 750 566 255
Net asset value per share - cents 47,0 40,9 46,1
NOTES TO THE BALANCE SHEETS
1. Basis of accounting
These consolidated results are prepared in accordance with South African
Statements of Generally Accepted Accounting Practice ("GAAP") and Schedule 4
of the Companies Act. These Accounting policies are consistent with those
used in the annual financial statements for the year ended 31 March 2003,
with the exception for the adoption of AC 133, Financial Instruments:
Recognition and Measurements.
2. Investments in associated companies are accounted for on the equity
accounting method and carrying values are disclosed after the amortisation of
any goodwill arising on the acquisition of the investments.
Unaudited Unaudited Audited
30 Sept 30 Sept 31 March
2003 2002 2003
R"000 R"000 R"000
Investments at carrying value:
Listed investments
- associated companies 690 159 555 495 710 662
- other 65 483 59 791 4 714
Unlisted investments
- associated companies 168 697 (18 406) 167 731
- other 140 698 317 392 140 698
Market value of listed investments:
- associated companies 2 083 072 1 591 182 1 508 177
- other 65 483 158 496 4 362
Directors" valuation of unlisted investments:
- associated companies 169 000 1 505 167 731
- other 140 698 317 392 140 698
3. Current assets include deposits and cash of R54 618 000 (30/9/2002: R43
228 000; 31/03/2003: R32 414 000)
4. During the period under review, the Company"s authorised share capital
remained unchanged at R27 000 000 divided into 2 700 000 000 ordinary shares
of 1 cent each. The following issues of shares took place during the period.
23 June 2003 - 32 598 578 ordinary shares at 54 cents each as repayment of
a loan raised by the Company.
21 July 2003 - 131 500 000 ordinary shares at 60 cents each for the
acquisition of investments
5. Debentures
Included in non-current interest bearing debt is an amount of R252 875 000
which relates to the 202 300 024 convertible redeemable 50% secured
debentures issued at R1,25.
6. Current liabilities - interest bearing include overdrafts of R14 011 000
(30/09/2002: R60 429 000; 31/03/2003: R35 126 000)
7. Contingent liabilities
The Group has guaranteed the liabilities of certain third parties to an
amount of R60,4 million.
JCI Gold Limited ("JCI Gold") is obliged to meet any tax liability which
may arise in Invego Limited ("Invego") (previously JCI Limited), as a result
of the restructuring of that company at 30 June 1998. Invego has been
assessed for taxation by the South African Revenue Services ("SARS") for 30
June 1998 and no liability has arisen. However, Invego has been notified of
the intention of SARS to disregard certain deductions previously allowed. The
directors are of the opinion that no liability will arise.
In the latter half of April 2002, Durban Roodepoort Deep, Limited ("DRD")
served summons on the Company as a co-defendant together with JCI Gold
claiming payment from the Company of R6 462 000, payment from JCI Gold of R1
119 000 and payment jointly and severally from the Company and JCI Gold of
R24 650 000. Not only is the action being defended but the company has a
counter claim against DRD, well in excess of the amount claimed.
The Company has issued guarantees in favour of various subsidiary
companies for the repayment of inter group loans totalling R1 226
407 000.
Commentary
* The Group continued to benefit from the improved sentiment in the gold
sector through its holding in Western Areas Limited ("WAL") and Randgold
Resources Limited through its holding in Randgold & Exploration Company
Limited ("Randgold"), still widely acknowledged as two of the world"s
premier gold assets.
During the period under review, the excess in market value over the
carrying value of the Company"s listed investments in associated companies,
of which WAL and Randgold constitute the major portion, rose to R1 392
million, an increase of R575 million. This translates into a net asset
value of 120,6 cents per share.
* The company carries on business as a financier of transactions that
support the transformation of the South African economy. Through this
process new patriotic capital bases are formed and the directors are very
confident that the Company will prosper in partnership with these new
ventures.
While most of these ventures entail long-term investment, in all cases
there is a short-term element to the funding which allows the company to
realise value in the short as well as long term. As the volume of these
transactions continues to increase so will the profitability of the
company, and it is expected that the profits attributable to the Company
will be higher in the current six-month period.
WITHDRAWAL OF CAUTIONARY ANNOUNCEMENT
Shareholders are referred to the trading statement and cautionary
announcement published on 18 December 2003.
With this publication of the results the cautionary is hereby withdrawn.
For and on behalf of the board
R A R Kebble R B Kebble
Non-Executive Chairman Chief Executive Officer
Johannesburg
23 December 2003
Registered office:
28 Harrison Street
Johannesburg, 2001
(PO Box 11165, Johannesburg, 2000)
London secretaries:
JCI (London) Limited
6 St James"s Place
London, SW1A 1NP
Tel + 020 7491 1889
Fax + 020 7491 1989
Investor relations:
George Poole
28 Harrison Street, Johannesburg, 2001
(PO Box 11165, Johannesburg, 2000)
Tel: +27 11 688 5100
Fax: +27 11 836 3757
Transfer secretaries:
Computershare Limited
70 Marshall Street
Johannesburg, 2001
(PO Box 1053, Johannesburg, 2000)
Sponsor
Sasfin Corporate Finance
A division of Sasfin Bank Limited
Date: 23/12/2003 10:59:09 AM Produced by the JSE SENS Department
