|
STO
Set Point - Interim Results for the six months ended 28 February 2005
Set Point Technology Holdings Limited
(Incorporated in the Republic of South Africa)(Registration number: 1996/014334/06)
Share code: STO
ISIN: ZAE000013629
(`Set Point` or `the company` or `the group`)Interim Results for the six months ended 28 February 2005
* Headline earnings per share plus 20%
Consolidated income statements
Unaudited Unaudited Audited six months six months year
ended ended ended
28 February 29 February 31 August
2005 2004 2004 R000 R000 R000
Revenue 108 441 120 806 247 650
Cost of sales (57 005) (67 871) (138 279)
Gross profit 51 436 52 935 109 371Operating expenses (36 865) (39 114) (83 139)
Operating profit* 14 571 13 821 26 232
Goodwill amortisation (839) (913) (1 858)
Foreign exchange (losses)/gains (110) (176) 24Capital items 401 (312) (3 797)
Profit before finance charges 14 023 12 420 20 601
Net finance charges (1 992) (2 870) (5 426)
Profit before taxation 12 031 9 550 15 175Taxation (4 565) (3 854) (5 409)
Profit after taxation 7 466 5 696 9 766
Minority interests (654) (894) (2 000)
Profit attributable to ordinary 6 812 4 802 7 766shareholders
*Before goodwill amortisation,
foreign exchanges (losses)/gains
and capital itemsWeighted average number of 242 109 245 377 242 109
shares in issue (`000)
Fully diluted weighted average 247 734 245 892 253 649
number of shares in issue (`000)Earnings per share (cents) 2.8 2.0 3.2
Headline earnings per share 3.0 2.5 5.2
(cents)
Fully diluted earnings per share 2.7 2.0 3.1(cents)
Fully diluted headline earnings 2.9 2.5 5.0
per share (cents)
Headline earnings 7 250 6 027 12 569Profit attributable to ordinary 6 812 4 802 7 766
shareholders
Adjusted for: 438 1 225 4 803
Goodwill amortisation 839 913 1 858Capital items (401) 312 3 797
Loss on disposal of operations - - 2 843
(Profit)/loss on sale of (401) (43) 100
property, plant and equipmentImpairment of property, plant - 355 854
and equipment
Taxation effect on capital items - - (852)
Abridged consolidated statements of changes in equity Unaudited six Audited
months ended year ended
28 February 31 August
2005 2004 R`000 R`000
Opening balance 64 365 58 938
Shares issued - 148
Shares purchased by treasury - (279)Shares issued by treasury - 259
Treasury shares held by share trust - (23)
Premium on minority equity (3 105) -
transactionsDividend paid (3 641) (2 444)
Profit attributable to ordinary 6 812 7 766
shareholders
Closing balance 64 431 64 365Consolidated balance sheet
Unaudited Unaudited Audited
February 28 February 29 August 31
2005 2004 2004 R000 R000 R000
Assets
Non-current assets 55 335 56 832 58 708
Property, plant and equipment 18 173 16 970 19 709Goodwill 28 179 30 138 28 914
Deferred taxation 8 983 9 724 10 085
Current assets 85 730 86 409 83 804
Inventories 30 070 36 706 31 685Trade and other receivables 55 595 49 523 49 297
Cash and cash equivalents 65 180 2 822
Total assets 141 065 143 241 142 512
Equity and liabilitiesEquity and reserves 64 431 61 736 64 365
Minority interests 600 5 143 5 349
Non-current interest bearing 14 102 9 232 9 849
liabilitiesSecured liabilities 6 264 9 232 9 849
Deferred purchase consideration 7 838 - -
Current liabilities 61 932 67 130 62 949
Interest bearing liabilities 21 688 24 840 15 435Trade and other payables 38 601 37 943 43 674
Taxation payable 1 643 4 347 3 840
Total equity and liabilities 141 065 143 241 142 512
Shares in issue (net of treasury 242 109 245 377 242 109shares) (000`s)
Net asset value per share 26.6 25.0 26.6
(cents)
Tangible net asset value per 15.0 12.9 14.6share (cents)
1.Contingent liabilities
Performance guarantees 673 2 378 1 082
Other guarantees 530 4 604 4 323 1 203 6 982 5 405
2.Capital commitments
There are no material capital
commitments at 28 February 2005.Abridged consolidated cash flow statements
Unaudited Unaudited Audited
six months six months Year
ended ended Ended 28 February 29 February 31 August
2005 2004 2004
R000 R000 R000
Cash flows from operating (4 376) 7 070 20 452activities
Cash generated by operations* 7 365 15 228 34 429
Net finance charges (1 992) (2 870) (5 426)
Taxation paid (5 660) (2 106) (4 478)Dividends paid (4 089) (3 182) (4 073)
Cash flows from investing (829) (4 910) (6 039)
activities
Acquisition of business (104) (2 727) (1 998)Disposal of business - - 4 013
Net replacement of property, (725) (2 183) (8 054)
plant and equipment
Cash flows from financing 2 448 (2 251) (11 862)activities
Shares issued - 500 128
Increase/(decrease) in deferred 7 838 - (450)
purchase considerationAcquisition of minorities (8 058) - -
Decrease in interest bearing (3 585) (12 302) (17 321)
debt non-current
Increase in interest bearing 6 253 9 551 5 781debt current
Net cash (utilised)/generated (2 757) (91) 2 551
Cash and cash equivalents at 2 822 271 271
beginning of periodCash and cash equivalents at end 65 180 2 822
of period
*Working capital increased mainly due to payments in respect of certain export
sales being received only after February 2005.Segmental information
Six months ended 28
February 2005
Segment Segment Capital Depre- Goodwill assets liabili- expendi- ciation amorti-
ties ture sation
Divisions R000 R000 R000 R000 R000
Analytical Services 77 873 34 931 1 131 1 492 -Fluid Handling 60 299 34 660 312 708 208
Total operating 138 172 69 591 1 443 2 200 208
divisions
Central Services 2 893 6 443 156 460 631 141 065 76 034 1 599 2 660 839
Six months ended 28
February 2005
Operating profit/(loss)
before goodwill,
capital items and Number of
Revenue foreign exchange employeesDivisions R000 % R000 % # %
Analytical Services 57 973 53.5 9 307 63.9 176 64.5
Fluid Handling 50 468 46.5 10 697 73.4 80 29.3
Total operating 108 441 100.0 20 004 137.3 256 93.8division
Central Services - - (5 433) (37.3) 17 6.2
108 441 100.0 14 571 100.0 273 100.0
REVIEW OF OPERATIONSPROFILE
Set Point operates through two core activities:
Analytical Services includes instrumentation and operates specialised
laboratories which offer expert analysis for the precious metals explorationindustry and condition monitoring of fluids.
Fluid Handling supplies medium technology fluid handling equipment to the
petrochemical, mining and other industries.
FINANCIAL RESULTSHeadline earnings and headline earnings per share increased by 20% to R7.3
million and 3.0 cents per share respectively for the 6 months to 28 February
2005. This result was achieved through all operating divisions being ahead of
budget for the period.Revenue of R108 million was 10% lower due to changes in the mix of agencies, but
improved gross margins at 47% compared to 44% and strict control over operating
expenses, resulted in an increase of 13% in profit before finance charges. The
reduction in interest-bearing liabilities assisted in increasing profit beforetax by 26%. Interest cover improved to 7 times compared to 4 times.
The net debt equity ratio at 28 February 2005 increased slightly resulting from
raising the deferred purchase consideration following the acquisition of the
minority interests in Letaba.PROSPECTS
All of the Set Point businesses continue to perform satisfactorily and the board
is confident that headline earnings growth for the full year ending 31 August
2005 will be achieved.DIRECTORATE
Bryan Kent has stepped down as Chairman. He will continue as an independent non-
executive director and take over chairmanship of the Audit, Risk and Governance
Committee.Chris Seabrooke has been appointed Non-Executive Chairman.
Mark Smith has been appointed Deputy Chairman and will retain certain executive
responsibilities.
Errol Gregor has been appointed Chief Executive Officer.BASIS OF PREPARATION
The unaudited interim results have been prepared in accordance with South
African Statements of Generally Accepted Accounting Practice, AC 127 - Interim
Financial Reporting. The accounting policies used in preparation of theseunaudited interim results are consistent with those used in the annual financial
statements for the year ended 31 August 2004.
DIVIDEND
The group dividend policy is to consider a dividend annually, depending on cashflow.
For and on behalf of the Board
CS Seabrooke
Chairman14 April 2005
Directors: CS Seabrooke*+ (Chairman), MJ Smith (Deputy Chairman), EG Gregor
(Chief Executive Officer), Dr DE Baloyi*+, GJ Horsfield, BH Kent*+, JM Judin*,
GE Nel*(*Non-executive)(+Independent)
Registered Office: 30 Electron Avenue, Isando 1601, (PO Box 856 Isando 1600)
Transfer Secretaries: Computershare Investor Services 2004 (Pty) Limited, Ground
Floor, 70 Marshall Street, Johannesburg, 2001(PO Box 61051, Marshalltown 2107)
Sponsor: The Standard Bank of South Africa Limited, Registration number
1962/000738/06Date: 14/04/2005 05:33:05 PM Produced by the JSE SENS Department
| Profile Group (Pty) Ltd. has taken care in preparing all information on this website, but does not accept any liability for errors or out-of-date information. | |||||||||||||
| Other Profile Group sites: FundsData Online (unit trust data) | Profile Group corporate site | |||||||||||||
| [ Terms of Use | Privacy Policy | PAIA manual | FAQs/Help | Site Map | © Copyright Reserved 2026 ] | |||||||||||||
|
|||||||||||||
