|
ABO
ABO
Absolute - Unaudited Results For The Six Month Period Ended 31 December 2005
ABSOLUTE HOLDINGS LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1986/004649/06)
Share code: ABO & ISIN: ZAE000062998
("Absolute" or "the company")
UNAUDITED RESULTS FOR THE SIX MONTH PERIOD ENDED 31 DECEMBER 2005
GROUP BALANCE SHEETS
Unaudited Audited Unaudited
31 Dec 2005 30 June 2005 31 Dec 2004
ASSETS R"000 R"000 R"000
Non-current assets 21 714 22 060 12 367
Property, equipment and 5 305 6 062 6 809
vehicle
Mineral rights 9 901 9 504 -
Goodwill 6 047 6 047 5 550
Deferred taxation 461 447 8
Current assets 9 882 9 709 10 021
Cash and cash equivalents 40 18 16
Inventories 8 204 7 532 8 084
Short term receivables 139 199 152
Trade and other receivables 1 499 1 960 1 769
Total assets 31 596 31 769 22 388
EQUITY AND LIABILITIES
Capital and reserves 12 685 12 847 4 327
Non-current liabilities 5 087 5 622 4 152
Interest bearing long-term 5 087 5 622 4 152
liabilities
Current liabilities 13 824 13 300 13 909
Short-term loans 464 339 1 477
Bank overdraft 3 884 4 458 4 434
Trade and other payables 8 720 8 218 7 355
Provisions 471 -- 267
Taxation payable 285 285 376
Total equity and 31 596 31 769 22 388
liabilities
Number of shares in issue 739 708 739 708 628 597
(`000)
Net asset value per share 1.71 1.74 0.69
(cents)
Tangible net asset value (0.44) (0.37) (0.19)
per share (cents)
Fully diluted number of 739 708 739 708 628 597
shares (`000)
Diluted net asset value per 1.71 1.74 0.69
share (cents)
Diluted tangible net asset (0.44) (0.37) (0.19)
value per share (cents)
GROUP INCOME STATEMENTS
Unaudited Audited Unaudited
Six months Year Six months
ended ended ended
31 Dec 2005 30 Jun 2005 31 Dec 2004
R"000 R"000 R"000
Revenue 15 823 32 345 18 099
Cost of sales and operating 15 526 33 594 (18 073)
expenses
Net operating profit/(loss) 297 (1 249) 26
Profit/(Loss) on sale of 5 - (20)
fixed assets
Amortisation of goodwill - - (295)
Over provision for - 3 853 3 853
guarantee
Fair value adjustment of - (455) -
investment property
Profit from operations 302 2 149 3 564
Finance charges (479) (1 042) (606)
(Loss)/profit before (177) 1 107 2 958
taxation
Taxation 15 361 (10)
Net (loss)/profit for the (162) 1 468 2 948
period
Reconciliation between
profit/(loss) and headline
loss
Net (loss)/profit for the (162) 1 468 2 948
period
(Profit)/Loss on disposal (5) 12 20
of fixed assets
Amortisation of goodwill - - 295
Decrease in value of - 455
investment property
Reversal of provision for - (3 853) (3 853)
guarantee
Headline loss (167) (1 918) (590)
Weighted average shares in 739 708 677 608 628 597
issue (`000)
(Loss)/earnings per share (0.02) 0.22 0.47
for period (cents)
Headline loss per share for (0.02) (0.28) (0.09)
period (cents)
Fully diluted weighted 739 708 677 608 628 597
average shares in issue
(`000)
Diluted (loss)/earnings per (0.02) 0.22 0.47
share for period (cents)
Diluted headline loss per (0.02) (0.28) (0.09)
share for period (cents)
ABRIDGED CASH FLOW STATEMENTS
Unaudited Audited Unaudited
31 Dec 2005 30 Jun 2005 31 Dec 2004
R"000 R"000 R"000
Net cash inflow/(outflow) 489 (1 201) (427)
from operating activities
Net cash inflow/(outflow) 457 (786) (104)
from investing activities
Net cash from financing (350) 1 226 (209)
activities
Net increase/(decrease) in 596 (761) (740)
cash and cash equivalents
Cash and cash equivalents - (4 440) (3 679) (3 678)
beginning of period
Cash and cash equivalents (3 844) (4 440) (4 418)
at end of period
STATEMENT OF CHANGES IN EQUITY
Share Share Shares Accumu- Total
capital premium to be lated
R"000 R"000 issued losses R"000
R"000 R"000
Balance at 30 June 6 286 69 096 -- (74 003) 1 379
2004
Net profit for the -- -- -- 1 468 1 468
year
Issue of shares for 1 000 8 000 -- -- 9 000
the acquisition of
51% of Absolute
Coleccion
Issue of shares for 111 889 -- -- 1 000
cash
Balance at 30 June 7 397 77 985 -- (72 535) 12 847
2005
Net loss the period -- -- -- (162) (162)
Balance at 31 7 397 77 985 -- (72 697) 12 685
December 2005
COMMENTARY
The directors are pleased to present the unaudited results for the six month
period ended 31 December 2005. The accounting policies adopted for purposes of
this report comply, and have been consistently applied in all material respects,
with South African Statements of GAAP, International Financial Reporting
Standards ("IFRS") IAS 34 - Interim Financial Reporting and the JSE Listings
Requirements. The group has adopted and applied IFRS for the first time for the
year ending 30 June 2006 with the transition date being 01 July 2004. However,
where possible, the group took a decision to early adopt certain accounting
standards in terms of transitional provisions within GAAP, in order align the
company"s reporting with IFRS, within the financial statements for the year
ended 30 June 2005. Accordingly there are no major adjustments to the groups
opening IFRS balance sheet at the transition date and the comparative results
for the reported period.
RESULTS
The Absolute Group has as a whole continued its improvement over the reporting
period. Profit from the retail operations improved over the prior period,
despite revenue declining due to pricing of tile products, which are mostly
imported, being linked to the landed cost. Volumes and gross margins were
steady over the comparative period. Tighter fiscal controls and the results of
the rationalisation exercise concluded last year have contributed to the
improved comparative headline earnings result and changed the retail operations
from an operating loss to an operating profit. If the effects of the once-off
reversal of the guarantee provision in the prior period are removed, the
improvement in operational performance of the group can be seen, moving from a
loss of R289 000 to a profit from operations of R302 000 for the period ended
December 2005. Cash generated from operations has also demonstrated a
turnaround following the restructuring and tightening of controls.
The net profit from operations may be segmented into the following main areas of
activity:
Segment Net
Operating
Profit /
(Loss)
R"000
Retail 675
Property holding (40)
Holding company (333)
Net operating profit 302
The segmental analysis above reflects the contribution of the retail operations
to the business. Shareholders are also referred to subsequent events below.
MINING RIGHTS
The issue of the mineral rights for the quartzite deposit in the Northern Cape
has progressed successfully. The Department of Minerals and Energy have accepted
a rehabilitation guarantee of R200 000 submitted by the company. A presentation
was made to the Department on 5 April 2006 regarding the status of the
applicant"s BEE shareholding as well as its Social and Labour Plan initiatives.
The Department was satisfied with the company"s proposals and the application
shall be forwarded to their Pretoria office for finalisation. Shareholders are
also referred to subsequent events below. Whilst the issue of these rights has
taken longer than expected, the board considers these latest developments to be
positive.
SUBSEQUENT EVENTS
Subsequent to the period end, the company has accepted an offer for the disposal
of Stand 315, the property held in Pretoria, for an amount of R4.2 million. The
offer is subject to certain conditions, including the approval of financing and
the application for the subdivision of the property, which application has
already been submitted. A deposit of R150 000 has been received in trust.
Subsequent to the period end, The Absolute Coleccion (Pty) Ltd, a 100% held
subsidiary and the holding company of Lubtalk Investments (Pty) Ltd, the diamond
quartzite mining company, disposed of 10% of its shares and claims in Lubtalk
Investments (Pty) Ltd to Richtersveld Ontwikkeling Maatskappy Beperk, a company
representing over 2,700 residents of the Richtersveld Community in Namaqualand,
for an amount of R90,169.47. The transaction results in the total BEE
shareholding of Lubtalk Investments exceeding 26%, as required by the Mineral
and Petroleum Resources Development Act.
MEDIA LIAISON
The company is pleased to announce that Ms Zakhali Tshabalala has been appointed
as media liaison and shareholder relations officer for the group. Interested
parties are encouraged to contact her via e-mail on zakhali@absoluteholdings.com
for any assistance.
DIVIDENDS PAID AND RECOMMENDED
No dividends were paid or declared during the accounting period under review and
none are recommended at this stage (2004: nil).
SHARE CAPITAL
There have been no shares issues during the period under review.
CHANGES TO THE BOARD OF DIRECTORS
As previously announced, MR AM Janse van Vuuren resigned from the board on 28
October 2005.
By order of the board
M Diale
AM Sher
12 April 2006
Company Secretary and Registered Office
Arcay Client Support (Pty) Ltd (Registration number 1998/025284/07)
Arcay House, Number 3 Anerley Road, Parktown, Johannesburg (PO Box 62397,
Marshalltown, 2107)
Directors
MK Diale* Chairman, AM Sher* Deputy Chairman, JJ Serfontein*, GP Sequeira
(* Non-executive)
Sponsor
Arcay Corporate Services
Transfer Office
Computershare Investor Services 2004 (Pty) Ltd
Date: 12/04/2006 09:06:24 AM 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 ] | |||||||||||||
|
|||||||||||||
