| Thu 27 May 2004, 16:49 | | Audited Group Results And Final Dividend Declarati |
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Crookes Brothers Limited - Audited Group Results And Final Dividend Declaration
and Withdrawal of Cautionary
CROOKES BROTHERS LIMITED
Registration No. 1913/000290/06
Share code: CKS
ISIN number: ZAE000001434
AUDITED GROUP RESULTS AND FINAL DIVIDEND DECLARATION
The audited results of the group for the year ended 31 March 2004 together
with those of the previous year are set out below:
ABRIDGED GROUP 31 March 31 March
INCOME STATEMENT 2004 2003
(R000`s) Restated
Revenue 181 984 179 957
Operating profit before interest 29 028 26 095
Income from investments 35 37
Net interest (paid)/received (580) 2 155
Profit before taxation and abnormal items 28 483 28 287
Abnormal items 1 026 86
Profit before taxation 29 509 28 373
Taxation (9 609) (9 976)
Profit after taxation 19 900 18 397
Share of profits of associate company 8 28
Net profit attributable to shareholders 19 908 18 425
Reconciliation of headline earnings
Net profit attributable to shareholders 19 908 18 425
Profit on disposal of shares (17) (86)
Profit on disposal of property (1 009) -
Profit on disposal of plant and equipment (644) (235)
Tax effect on disposal of plant and equipment 193 70
Headline earnings 18 431 18 174
Number of shares in issue (000`s) 12 092 12 000
Earnings per share (cents) 164,6 153,5
Earnings per share (diluted) (cents) 162,7 151,6
Headline earnings per share (cents) 152,4 151,5
Headline earnings per share (diluted) (cents) 150,7 149,5
Dividends declared per share (cents) 106,0 100,0
ABRIDGED GROUP 31 March 31 March
BALANCE SHEET 2004 2003
(R000`s) Restated
ASSETS
Non-current assets 228 480 192 969
Property, plant and equipment 172 609 143 587
Bearer biological assets 52 933 45 874
Investments 2 083 2 110
Other non-current assets 855 1 398
Current assets 85 201 99 638
Total assets 313 681 292 607
EQUITY AND LIABILITIES
Ordinary shareholders` funds 230 726 224 425
Non-current liabilities 50 345 53 747
Deferred taxation 41 358 39 555
Post-retirement medical obligation 8 987 14 192
Current liabilities 32 610 14 435
Accounts payable and accruals 15 364 13 489
Interest bearing debt - short-term 17 246 946
Total equity and liabilities 313 681 292 607
Net asset value per share (cents) 1 908 1 870
ABRIDGED STATEMENT OF 31 March 31 March
CHANGES IN EQUITY 2004 2003
(R000`s) Restated
Shareholders` equity at beginning of year 222 804 202 296
Change in accounting policies
Prior year adjustment - AC137 1 621 14 204
Restated balance 224 425 216 500
Changes in share capital and premium
Issue of share capital 510 -
Changes in non-distributable reserves
Transfer to retained earnings
- realisation of reserves (7 722) -
Changes in retained earnings 13 513 7 925
Net profit attributable to shareholders 19 908 18 425
Ordinary dividends (13 603) (10 500)
Restatement - implementation AC133 (514) -
Transfer ex non-distributable reserves 7 722 -
Shareholders` equity at end of year 230 726 224 425
ABRIDGED GROUP 31 March 31 March
CASH FLOW STATEMENT 2004 2003
(R000`s) Restated
Cash generated by operations 27 485 40 806
Investment income 35 37
Net interest (paid)/received (580) 2 155
Changes in working capital 5 495 (1 428)
Taxation paid (6 924) (11 049)
Cash available from operations 25 511 30 521
Dividends paid (13 603) (10 500)
Cash retained from operations 11 908 20 021
Net investment activities (40 588) (17 925)
Net cash (outflow)/inflow (28 680) 2 096
Net cash inflow from financing activities 16 839 673
Net (decrease)/increase in cash resources (11 841) 2 769
Cash and cash equivalents at beginning of year 11 865 9 096
Cash and cash equivalents at end of year 24 11 865
Cash flow from operating activities
- per share (cents) 211,0 254,3
ACCOUNTING POLICIES
The financial statements have been compiled in accordance with the South African
Statements of Generally Accepted Accounting Practice and the Listings
Requirements of the JSE Securities Exchange South Africa. The accounting
policies used in this report are consistent with those applied in the previous
year, except for the changes in accounting policies as detailed below.
The group adopted both AC133 (Financial Instruments) and AC137 (Agriculture)
with effect from 1 April 2003. As required by the statements, AC133 has been
prospectively applied, whereas AC137 has been retrospectively applied and
comparative figures for the previous year have been restated accordingly.
The group has applied the principles in AC137 since 1 April 2000 however most
biological assets were valued at cost. As from 1 April 2003 the group is
required in terms of AC137 to value biological assets at fair value less
estimated point-of-sale costs. This change has resulted in difficult subjective
decisions that have to be taken in respect of estimated fair values of
unharvested crops. The substantial changes in earnings have affected
retrospectively the results for the 2003 financial year and those for the
current year.
Unrealised profits/(losses) are therefore brought into account at the end of
each financial period instead of in the financial period in which the crops are
harvested and sold.
The impact on net profit attributable to shareholders is as follows:
Year ended Year ended Year ended
31 March 31 March 31 March
(R000`s) 2004 2003 2002
Profit after taxation
- on previous basis 22 266 31 008 18 092
(Decrease)/increase in net profit
attributable to shareholders (2 358) (12 583) 14 203
Profit from operations
- adjustment AC137 (3 368) (17 976) 20 290
Taxation 1 010 5 393 (6 087)
Restated net profit attributable
to shareholders 19 908 18 425 32 295
Headline earnings per share
- previous basis 171,9 257,7 150,6
Headline earnings per share
- revised basis 152,4 151,5 387,2
COMMENTS ON THE RESULTS
The Board is pleased to report that production volumes in all divisions were
higher than those of the previous year. However, the strong Rand during the
financial year negatively impacted on the prices of sugar cane, local grain, and
both citrus and deciduous fruit exports. Local banana prices increased
significantly as a result of the severe drought in Mpumalanga which affected
supply volumes.
The ongoing drought conditions which prevailed throughout 2003, especially in
Mpumalanga and Swaziland, were finally broken with good rainfall being received
at the beginning of 2004. All external and company dams have recovered to
acceptable levels which should ensure sufficient water resources for the
forthcoming year.
OUTLOOK
The unfavourable weather conditions experienced during 2003 will have a negative
impact on sugar cane yields during the 2004 season, especially in Mpumalanga.
However, despite the above factors, estimated volumes of all crops (except for
citrus) are expected to be similar to those of the previous year.
This is mainly as a result of acquisitions and internal expansion projects.
The company`s main focus is to continue producing quality agricultural products
and to remain a low cost producer. Therefore to a large extent earnings for the
forthcoming year will depend on prices received for our products and the
fluctuations in the value of the Rand.
AUDITED RESULTS
The results for the year ended 31 March 2004 have been audited by Deloitte &
Touche. Their unqualified audit opinion is available for inspection at the
registered office of the company.
WITHDRAWAL OF CAUTIONARY
Shareholders are referred to the trading update and cautionary announcement
dated 10 May 2004. As a consequence of the publication of the year end results
the cautionary is now withdrawn.
DECLARATION OF DIVIDEND NO. 178
A final dividend of 56,0 cents per share has been declared in respect of the
year ended 31 March 2004 and will be paid on Monday, 12 July 2004 to
shareholders recorded in the books of the company at the close of business on
the record date, Friday, 9 July 2004.
In compliance with the requirements of STRATE, the following dates are
applicable:
Last day to trade cum the dividend Friday, 2 July 2004
Date trading commences ex the dividend Monday, 5 July 2004
Record date Friday, 9 July 2004
Payment date Monday, 12 July 2004
Certificated shareholders may not dematerialise or rematerialise their share
certificates between Monday, 5 July 2004 and Friday, 9 July 2004, both days
inclusive.
This dividend, together with the interim dividend of 50,0 cents per share which
was declared on 26 November 2003, makes a total distribution in respect of the
year ended 31 March 2004 of 106,0 cents per share (2003: 100,0 cents).
For and on behalf of the Board
JFC Palmer (Chairman)
DJ Crookes (Managing Director)
Renishaw 27 May 2004
Registered office and postal address Transfer secretaries
Renishaw, KwaZulu-Natal Computershare Investor
P O Renishaw, 4181 Services 2004 (Pty) Ltd
70 Marshall Street
Website: www.cbl.co.za Johannesburg, 2001
Telephone (011) 370 5000
Sponsor
Sasfin Corporate Finance
A division of Sasfin Bank Limited
Directors:
JFC Palmer* (Chairman),
DJ Crookes (Managing),
P Bhengu*, PL Campbell*,
CJH Chance*, AC Crookes*
*Non-executive director
Secretary:
B Darbyshire-Roberts
Date: 27/05/2004 04:46:10 PM Produced by the JSE SENS Department
