| Mon 13 Jun 2005, 14:55 | | Y3k Group Limited - Audited Results For The Year E |
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Y3k Group Limited - Audited Results For The Year Ended 28 February 2005
Y3K GROUP LIMITED
(Registration number: 1998/009608/06)
JSE share code: YHK
ISIN code: ZAE000017208
AUDITED RESULTS FOR THE YEAR ENDED 28 FEBRUARY 2005
2005 2004
R`000s R`000s
GROUP INCOME STATEMENT
Revenue 31,446 9,137
Cost of sales (17,778) (4,383)
Gross Profit 13,668 4,754
Other income 75 -
Income from associate 22 -
Operating expenses (10,714) (4,747)
Operating profit before net finance effects 3,051 7
Net finance income 134 128
Net profit for the year before tax 3,185 135
Taxation-reversal 4 -
Net profit for the year 3,189 135
GROUP CASH FLOW STATEMENT
Cash flows from operating activities 4,705 (49)
Cash flows from investing activities (1,116) (307)
Cash flows from financing activities 656 43
Net increase/(decrease) in cash and cash 4,245 (313)
equivalents
Cash and cash equivalents at beginning of 687 1,000
the year
Cash and cash equivalents at end of the year 4,932 687
GROUP STATEMENT OF CHANGES IN EQUITY
Balance at beginning of the year 1,079 944
Net profit for the year 3,189 135
New shares issued during the year 10,191 -
Balance at the end of the year 14,459 1,079
RECONCILIATION OF HEADLINE EARNINGS
Profit as per income statement 3,189 135
Goodwill amortised 152 45
Trademark amortised 1,273 -
Headline earnings 4,614 180
GROUP BALANCE SHEET
Assets
Non-current assets 6,966 1,755
Tangible assets 363 460
Investment in associate 122 -
Intangible assets 5,558 1,240
Share Incentive Trust 923 55
Current assets 14,858 3,327
Cash and cash equivalents 4,932 687
Inventories 36 23
Loan receivable 2,545 -
Trade and other receivables 7,345 2,617
Total assets 21,824 5,082
Equity and liabilities
Capital and reserves 14,459 1,079
Non-current liabilities - 24
Interest bearing borrowings - 24
Current liabilities 7,365 3,979
Interest bearing borrowings - 19
Trade and other payables 7,365 3,960
Total equity and liabilities 21,824 5,082
ORDINARY SHARES
Earnings per share (cents) 2.5 0.3
Headline earnings per share (cents) 3.6 0.3
Number of shares in issue (`000s) 130,000 52,253
Net asset value per share (cents) 11.1 2.1
Net tangible asset value per share (cents) 6.8 (0.3)
The year ending 28 February 2005 was a significant one for Y3K Group Limited
(name to change to ISA Holdings Limited effective 27 June 2005), during which
substantial changes in the Group`s management structure, product mix and
territory coverage were implemented. These changes saw the Group strengthen its
position as a focused information security solutions provider servicing both
large and small enterprises. The new management team and the divisions under
their control have integrated well together and are confident that the Group`s
objectives for the future can be realised.
During the year under review the Group satisfactorily met all its relevant
budgets and key financial objectives. As a consequence of the substantially
changed nature of the Group, as a result of the merger of Y3K, iSecure (Pty) Ltd
and Information Security Architects (Pty) Ltd, year on year comparisons are not
meaningful. Turnover of R31.4 million was in line with budget, despite the
constant pressure arising from the unanticipated strength and instability of the
Rand throughout the year. Management remained focused on rigorous margin and
cost control during the year, which enabled the Group to achieve headline
earnings of R4.6 million (3,6 cents per share) and earnings of R3.2 million (2.5
cents per share). These were both in excess of budget.
The directors propose a dividend of 2 cents per share, comprising of an ordinary
dividend of 1 cent per share and a special dividend of 1 cent per share, to
shareholders recorded in the register on Friday 29 July 2005. This dividend
proposal is a first in the history of the Group and arises as a result of excess
cash generated by operations and is to be approved by shareholders at the Annual
General Meeting on Friday 8 July 2005.
The results have been prepared on a going concern basis, using accounting
principles and policies that comply with South African Statements of Generally
Accepted Accounting Practice and are consistent with those of the previous
audited financial statements. The financial results have been audited by the
Group`s auditors, Levenstein and Partners, and their unqualified audit opinion
is available for inspection at Y3K`s registered offices.
The year under review was an exciting and challenging one for the Group. The
board of directors thank all those who have supported them through this period
of momentous change and growth. They extend a special thanks to all staff and
management, who have been integral in meeting the tasks of refocusing and
integrating the new Group. The board looks forward to meeting all shareholders
at the ISA Holdings Annual General Meeting on Friday 8 July 2005.
For and on behalf of the board:
Clifford S Katz
Chief Executive Officer
Johannesburg
13 June 2005
Company Sponsor: River Sponsors (Pty) Ltd
Date: 13/06/2005 02:50:04 PM
Produced by the JSE SENS Department
