| Thu 8 Sep 2005, 17:39 | | Samrand - Audited Financial Results For The Year E |
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Samrand - Audited Financial Results For The Year Ended 31 March 2005
Samrand Development Holdings Limited
(Incorporated in the Republic of South Africa)
(Registration number 1971/003132/06)
Share code: SMR ISIN: ZAE000010419
(`the group` or `the company`)
AUDITED FINANCIAL RESULTS FOR THE YEAR ENDED 31 MARCH 2005
The consolidated audited results of Samrand Development Holdings Ltd and its
subsidiaries for the year ended 31 March 2005 are set out below:
12 months 12 months
31/03/2005 31/03/2004
(audited) (audited)
R`000 R`000
ABRIDGED CONSOLIDATED BALANCE SHEET
ASSETS
Non-current assets 89 403 194 963
Investment properties - 115 000
Loan to local authority 89 403 79 963
Current assets 241 699 226 550
Developed land for re-sale 209 953 216 965
Accounts receivable 27 915 8 776
Bank and cash balances 3 831 809
Total assets 331 102 421 513
EQUITY AND LIABILITIES
Share capital and reserves 89 482 121 429
Non-current liabilities 8 743 114 601
Current liabilities 232 877 185 483
Accounts payable 232 877 179 606
Bank overdraft - 5 877
Total equity and liabilities 331 102 421 513
Closing number of shares in issue (`000) 1 361 1 361
Net asset value per share (cents) 65,70 89,20
Net tangible asset value per share (cents) 65,70 89,20
ABRIDGED CONSOLIDATED INCOME STATEMENT
Gross revenue 20 745 44 750
Land sales 10 088 11 960
Rental income 10 657 32 790
Loss from operations (3 935) (5 552)
Net financing expense (11 282) (32 583)
Loss on disposal of investment property (13 985) (248)
Revaluation for re-sale of developed land - 18 342
Loss before taxation (29 202) (20 041)
Taxation (2 745) -
Net loss for year (31 947) (20 041)
Average number of shares in issue (`000) 1 361 1 361
Loss per share (cents) (21,46) (14,73)
Headline loss per share (cents) (11,18) (28,20)
ABRIDGED CONSOLIDATED CASH FLOW STATEMENT
Operating activities 23 156 (999)
Investing activities 91 601 (4 722)
Financing activities (105 858) 3 749
Net cash (utilised)/generated 8 899 (1 972)
Cash and cash equivalents
beginning of year (5 068) (3 096)
Cash and cash equivalents end of year 3 831 (5 068)
ABRIDGED CONSOLIDATED STATEMENT
OF CHANGES IN EQUITY
Equity beginning of year 121 429 141 470
Net loss for year (31 947) (20 041)
Equity end of year 89 482 121 429
COMMENTARY
INCOME STATEMENT
Shareholders are advised that the group generated a loss before taxation of
R29,2 million for the twelve months ended 31 March 2005. This includes the loss
on the disposal of assets by Samstocks (Pty) Ltd group of companies of R13,9
million.
Turnover of R20,7 million cannot be compared to the same period last year
because the rental generating assets in Samstocks were sold in June and July
2004. This was reported to shareholders in the unaudited interim results as
at 30 September 2004.
The loss on the disposal of investment property of R13,9 million reflects the
total loss of the disposal of all properties within Samstocks and was derived
from the original purchase price of (R92,5 million), plus revaluation of the
properties (R22,4 million), and less the proceeds derived on the sale of all
properties being R101,0 million. The properties within Samstocks were sold and
all net proceeds utilised to reduce to various loans with The Standard Bank of
South Africa Limited.
During the year under review the non-trading expenses of the group consisted
of:
The write-off of its investment in Samstocks R15,5 million
Loss on disposal of the Samstocks assets R13,9 million
Net finance expenses of R11,3 million includes the interest charged by The New
Republic Bank Limited (under Receivership), The Standard Bank of South Africa
Limited and Nedcor Limited.
BALANCE SHEET
Shareholders are advised that the company still disputes the claim by The New
Republic Bank Limited (under Receivership). This dispute is subject to
litigation.
Negotiations with the Tshwane Metropolitan Municipality to settle the loan of
R89,4 million are on-going.
The accrual of R14,3 million, raised in prior financial years, for related
company loans, has been retained, but the company disputes these un-confirmed
and unsubstantiated loans.
LOSS PER SHARE (CENTS)
This is determined as follows: 31/03/2005 31/03/2004
Loss before taxation (29 202) (20 041)
Divided by shares in issue (`000) 1 361 1 361
(21,46) (14,73)
HEADLINE LOSS PER SHARE (CENTS)
This is determined as follows: 31/03/2005 31/03/2004
Loss before taxation (29 202) (20 041)
Add back disposal of investment property 13 985 -
Add back revaluation of developed land - (18 342)
Headline loss (15 217) (38 383)
Divided by shares in issue (`000) 1 361 1 361
(11,18) (28,20)
PROSPECTS
The company is currently considering offers for the development of, or outright
sale of portions 246 and 247 Olievenshoutbosch Kosmosdal.
The company intends to apply to the JSE Limited for the lifting of the
suspension in trading of the company`s shares.
DIVIDENDS
No dividends have been declared or recommended for the year under review.
AUDIT QUALIFICATION
The auditors of Samrand, being Meagher Moynihan, have qualified their audit
report as follows: `We have been unable to verify the existence and/or value
of certain material loan accounts reflected in the financial statements of
the group as at 31 March 2005. Requests for verification of these loan
accounts have not been responded to as there are no legal representatives
available for these companies. The loan account amounts to R16 445 995.`
This qualified audit report may be viewed at the registered offices of Samrand.
ACCOUNTING POLICIES
These audited results have been prepared in accordance with the South African
Statements of Generally Accepted Accounting Practice and are consistent with
the group`s policies as reflected in the annual report for the year ended
31 March 2005.
For and on behalf of the board of directors
I D P Burger N B Egan
Non-Executive Chairman Executive Director
8 September 2005
DIRECTORS:
Non-Executive: I D P Burger, P Berrange, M D Lamola, T W van den Heever,
A D Wilkins
Executive: N B Egan
Company Secretary: N B Egan
Registered Office: Hillcrest Forum, 731 Duncan Street, Hillcrest, 0083
Postal Address: PO Box 6060, Homestead, 1412
Transfer Secretaries: Computershare Investor Services 2004 (Pty) Ltd.
70 Marshall Street
Johannesburg, 2001
Sponsor : LPC Manhattan Moela
Auditors: Meagher Moynihan
