Moneyweb - Trading Update
MONEYWEB HOLDINGS LIMITED
Registration No:1998/025067/06)
Share code:MNY ISIN:ZAE000025409
(`Moneyweb` or `the Company`)
TRADING UPDATE
In the Chairman`s statement contained in the annual report for the year ended 31
March 2004, it was stated that: `Management will strive to maintain the balance
between investing for growth and producing the level of profitability demanded
by shareholders. In spite of stiff operational and strategic challenges, it is
with confidence that satisfactory financial returns are expected in the year to
end March 2005.`
At the annual general meeting held on Monday, 16 August 2004, Moneyweb Chairman
Alec Hogg said the company is now expecting headline earnings for the financial
year to 31 March 2005 to be substantially (meaning a decrease of 30% or more)
down in comparison with the prior period ended 31 March 2004. This is due to the
decision to pursue fresh initiatives which will require significant investment,
all of which will be expensed through the income statement, and are set out in
detail in the Chairman`s address, the full transcript of which is available on
www.moneyweb.co.za.
Hogg said these new projects are primarily related to radio, specifically the
partnership with community station 1485amGold Radio Today; the Moneyweb Radio
satellite initiative; and as from 1 September, an hour-long business programme
for national FM station Radio Sonder Grense.
He explained: `In effect, we will be re-investing all of the profit generated at
an operating level into building new revenue-generating platforms for the
business.`
Costs include the marketing campaign associated with the new radio initiatives;
upgrading of the technical infrastructure to provide the content; new staff; and
the initiation of independent market research to profile the company`s offerings
in the way demanded by the advertising industry.
The information contained in this announcement has not been reviewed or reported
on by the Company`s auditors.
Rosebank
16 August 2004
Sponsor
Grant Thornton Corporate Finance (Pty)Ltd
Date: 16/08/2004 01:40:02 PM Produced by the JSE SENS Department
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