| Wed 21 Jan 2004, 11:19 | | Trading Statement and Cautionary Announcements |
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Altron / Altech / Bytes - Trading Statement and Cautionary Announcements
Allied Electronics Corporation Limited
(Incorporated in the Republic of South Africa)
(Registration Number 1947/024583/06)
(Share code ATN ISIN ZAE000029658)
(Share code ATNP ISIN ZAE000029669)
("Altron")
Allied Technologies Limited
(Incorporated in the Republic of South Africa)
(Registration number 1946/020415/06)
(Share code: ALT ISIN: ZAE000015251)
("Altech")
Bytes Technology Group Limited
(Incorporated in the Republic of South Africa)
(Registration number 1911/003874/06)
(Share code: BTG ISIN: ZAE000029526)
("BTG")
TRADING STATEMENTS AND RESULTANT CAUTIONARY ANNOUNCEMENTS
Introduction
The Altron group of companies, comprising, the listed entities Altron, Altech,
BTG, and Altron"s whollyowned subsidiary, Powertech ("the Altron Group") have
analysed their year-to-date financial results and the internal forecasts for the
year ending 29 February 2004. As a result thereof, and in accordance with the
Listings Requirements of the JSE Securities Exchange South Africa ("JSE"), the
Altron Group provides the following guidance with regard to the anticipated
earnings for the year ending 29 February 2004.
Trading statements
These trading statements are made in accordance with the JSE Listings
Requirements and the terms "significant"(0% to 10%), "material" (above 10% to
30%) and "substantial" (above 30%) are used as defined therein.
1. Altech
It is anticipated that the headline earnings per share for the year ending 29
February 2004 will be significantly lower than the reported adjusted headline
earnings per share of 320.6 cents in the prior year. As previously disclosed,
the headline earnings per share excluded the once off benefit from a
distribution from the Altron Group Benefit Fund. This decline in earnings is
primarily attributable to the impact of the strengthening and volatility of the
rand and its impact on trading at UEC, notwithstanding that UEC"s year on year
sales volumes in unit numbers have increased and the company remains profitable.
All of Altech"s other operations have exceeded or have performed in line with
expectations.
Following on from the cautionary announcement renewal on 15 January 2004, Altech
advised shareholders that, provided negotiations reached a sufficient level to
warrant further disclosure, Altech would anticipate being in a position to
provide further details on these negotiations with the Econet Wireless group of
companies by Wednesday 21 January 2004. Altech confirms that it will provide
more detail on these negotiations to shareholders and a SENS release is
scheduled for approximately 14:00 Wednesday 21 January 2004.
Shareholders should also note that final closing arguments on the NamITech
Holdings Limited acquisition will be heard by the Competition Tribunal on
Thursday 22 January 2004 and accordingly, the final ruling of the Tribunal is
expected within 10 working days thereof. Altech will advise its shareholders of
the Tribunal ruling as soon as it is received.
2. BTG
It is anticipated that headline earnings per share for the year ending 29
February 2004 will be materially higher than the reported prior year adjusted
headline earnings per share of 53.51 cents. This variance is primarily due to
improved local trading performance, and the beneficial impact of the acquisition
of the additional 50% shareholding in Bytes Document Solutions (formerly known
as Xerox South Africa), albeit partially set off by weaker trading conditions in
the UK. Details of the Xerox acquisition were previously announced to
shareholders.
Headline earnings per share for the year ending 29 February 2004 will be
materially lower than the unadjusted headline earnings per share reported for
the prior year (72.42 cents), which included once off substantial benefits from
the raising of a deferred tax asset and a distribution from the Altron Group
Benefit Fund.
In considering the dividend for the current year, the directors of BTG will be
guided by the material increase in headline earnings per share over the adjusted
headline earnings per share for the prior year.
Shareholders are further advised that discussions pertaining to the introduction
of a significant black economic empowerment partner are well advanced.
3. Powertech
Earnings from Powertech are expected to meet expectations. Earnings generated by
the power electronics business have remained satisfactory and are in line with
management"s expectations. As indicated previously, trading conditions in the
telecommunications business continue to be challenging with limited visibility
on any potential improvement in this sector. The reduction in the cost base
implemented over the last two years has minimised the above effects.
4. Altron
As a result of the trading information provided above, it is anticipated that
Altron"s headline earnings per share, will show a significant decline over the
headline earnings per share achieved in the previous corresponding period
adjusted for the once-off gain from the distribution from the Altron Group
Benefit Fund.
Shareholders will be advised should there be any change from the above guidance.
Cautionary announcements
As the above guidance on anticipated earnings has not been reviewed by and
reported on by the respective auditors of Altron, Altech or BTG, shareholders of
these companies are advised to exercise caution when dealing in their securities
until the aforementioned full year results are released on SENS. It is
anticipated that the full year results for the Altron Group will be released as
detailed below:
Altech - Tuesday 4 May 2004
BTG - Thursday 6 May 2004
Altron - Wednesday 12 May 2004
As a result of these cautionary announcements, Altron, Altech and BTG have now
entered closed periods.
Johannesburg
21 January 2004
Sponsors to Altron - Cazenove and Nedbank Corporate
Sponsor to Altech - Cazenove
Sponsors to BTG - Nedbank Corporate and Cazenove
Date: 21/01/2004 08:00:05 AM Supplied by www.sharenet.co.za
Produced by the JSE SENS Department
