|
MSS
MSS
Marshalls - Unaudited Interim Results and dividend declaration
Marshalls Limited
(Incorporated in the Republic of South Africa)
(Registration number 1987/002656/06)
Share code: Share codes: MSS
ISIN numbers: ZAE000066684
Unaudited interim report and dividend declaration for the six months ended
30 June 2006 for Marshalls Limited and it subsidiaries
INCOME STATEMENT
Six months Restated Six Year ended
ended months 31.12.05
30.06.06 ended R"000
R"000 30.06.05
R"000
Confirming fees and interest 185 336 658
Investment income 307 285 449
Rental and parking income 7,946 8,767 16,767
Cash flows inherent in 7,890 8,803 16,868
leases and parking income
Lease smoothing effect (note 56 (36) (101)
1)
Revenue 8,438 9,388 17,874
Operating profit before 2,914 2,785 5,512
interest
Interest received 216 38 289
Interest expense (688) (1,119) (3,111)
2,442 1,704 2,690
Unrealised surplus on - - 8,836
revaluation of investment
properties
Realised net loss on (6) - 96
disposal of listed
investments
Net surplus on disposal of - - 1,617
investment properties
Cost of disposal of - (209) -
investment property
Cost of capital restructure - (202) (234)
Profit before taxation 2,436 1,293 13,005
Taxation 1,041 624 2,484
Profit for the period 1,395 669 10,521
Earnings per share (cents) 8,0 3,9 60,6
Headline earnings per share 8,3 6,7 9,0
(cents)
Dividend per share (cents) 6,5 6,0 12,0
Dividend cover (times) 1,2 0,6 5,1
Shares in issue 17,372,300 17,372,300 17,372,300
Net asset value per share 507 425 476
(cents)
Headline earnings
calculation net of taxation
Profit for the period 1,395 669 10,521
Unrealised surplus on - - (7,754)
revaluation of investment
properties
Realised net loss on 52 - (81)
disposal of listed
investments
Net surplus on disposal of - - (1,349)
investment properties
Cost of disposal of - 287 -
investment property
Cost of capital restructure - 202 234
Headline earnings for the 1,447 1,158 1,571
period
ABRIDGED BALANCE SHEET
Six months Restated Six Year ended
ended months 31.12.05
30.06.06 ended R"000
R"000 30.06.05
R"000
Investment properties 71,709 61,858 71,667
Listed investments 21,892 17,679 18,203
Property, plant and 3,170 1,126 3,242
equipment
Non current amortised lease 498 487 453
receivables
Available for sale assets - - 6,729
Current assets 3,906 3,825 5,902
Bank and cash balances 9,323 7,799 3,248
Total assets 110,498 92,774 109,444
Equity and reserves 88,083 73,867 82,684
Interest bearing borrowings 18,283 15,866 18,589
Deferred taxation 1,752 422 1,415
Current liabilities 2,173 2,125 3,012
Bank overdraft and short 207 494 3,744
term borrowings
Total equity & liabilities 110,498 92,774 109,444
STATEMENT OF CHANGES IN
EQUITY
Six months Restated Six Year ended
ended months 31.12.05
30.06.06 ended R"000
R"000 30.06.05
R"000
Stated capital 26,809 26,809 26,809
Non-distributable reserves 37,688 28,580 36,783
Balance at beginning of 36,783 28,873 28,873
period
As previously reported 36,783 29,336 29,336
Lease smoothing effect - (463) (463)
(note 1)
Transfer to distributable - (1,184) -
reserves
Transfer from distributable - - 7,333
reserves
Currency translation 905 891 577
movement
Distributable reserves 23,586 18,478 19,092
Balance at beginning of 19,092 15,414 15,414
period
As previously reported 19,092 15,073 15,073
Lease smoothing effect
(note 1) - 341 341
Profit for the period 1,395 669 10,521
Transfer of property - - (5,984)
revaluation to non-
distributable reserves
Transfer from non- - 1,184 -
distributable reserves
Transfer of net surplus on - - (1,349)
disposal of investment
properties
Surplus on revaluation of 4,228 2,253 2,575
listed investments
Dividends paid (1,129) (1,042) (2,085)
Total equity and reserves at 88,083 73,867 82,684
the end of the period
Note 1. Lease smoothing effect
This arose due to the application of the accepted interpretation
of IAS17 (Leases). This resulted in the recognition of rental
income on a straight line basis whereas it was previously
recognised in terms of the cash flows inherent in lease
agreements. A corresponding lease receivable has been recognised
on the balance sheet appropriately disclosed as a non-current
asset and current asset. The comparative interim period has been
restated.
SUMMARISED CASH FLOW STATEMENT
Six months Restated Year ended
ended Six months 31.12.05
30.06.06 ended R"000
R"000 30.06.05
R"000
Cash inflow / (outflow) from 6,290 3,984 5,243
operating activities
Net interest and taxation (2,374) (1,273) (3,388)
paid
Operating cash inflow / 3,916 2,711 1,855
(outflow)
Dividends paid (1,129) (1,042) (2,085)
Net cash inflow / (outflow) 2,787 1,669 (230)
from operating activities
Net cash inflow / (outflow) 6,825 3,202 (2,700)
from investing and financing
activities
Net cash inflow / (outflow) 9,612 4,871 (2,930)
for the period
SEGMENTAL ANALYSIS
Six months Restated Year ended
ended Six months 31.12.05
30.06.06 ended R"000
R"000 30.06.05
R"000
Revenue
Properties division 7,946 8,767 16,767
Confirming division 185 336 658
Investment division 307 285 449
8,438 9,388 17,874
Operating profit / (loss)
before interest
Properties division 2,747 2,396 4,836
Confirming division (224) 237 439
Investment division 391 152 237
2,914 2,785 5,512
COMMENTS
The unaudited results for the six months ended 30 June 2006 reflect
operating profit before interest of R 2 914 000 (2005: R 2 785 000
restated). Headline earnings per share has increased to 8.3 cents from 6.7
cents (restated) for the comparative period. Interest expense amounted to R
688 000 (2005: R 1 119 000).
The demand for leased light industrial property has continued as expected
resulting in the group"s vacancy level approximating 1% of current fully
let value. It has managed to control operating overheads and has benefited
from substituting disposed investment properties with more cost efficient
ones. Cumulative rental and parking income has increased by 9% on the
comparable period. The Group is still seeking to acquire additional
investment properties but is being hampered by falling yield rates and a
distinct lack of property stock availability. Funding is currently in place
as previously reported on.
As previously reported, the Confirming Division is operating off a lower
customer base. However, its results include several non-recurring expenses
amounting to R289 000.
The Group"s permanent portfolio of shares in listed investments held
overseas reflects a market value in South African currency of R 21 886 000
as at 30 June 2006 compared to R 18 197 000 as at 31 December 2005.
Excluding disposals, the Rand portfolio value has appreciated by
approximately 23,5% during the period under review. This has predominately
arisen due to the weakening Rand.
These interim financial statements have been prepared in accordance with
International Financial Reporting Standards and do not include all
disclosures and information required for full annual financial statements.
Except for the revaluation of investment properties, the same accounting
policies were used as those applied in the annual financial statements for
the year ended 31 December 2005 in which these policies are fully described
An interim dividend of 7,0 cents per share (2005: 6,0 cents) has been
declared.
DIVIDEND DECLARATION
Notice is hereby given that an interim dividend of 7,0 cents per ordinary
share has been declared in respect of the six months ended 30 June 2006.
In accordance with the settlement procedures of STRATE, Marshalls has
determined the last date to trade to participate in the interim dividend
shall be Friday, 25 August 2006. The shares will commence trading ex-
dividend from Monday, 28 August 2006, and the record date will be Friday, 1
September 2006.
Dividends will be paid on Monday, 4 September 2006.
Share certificates may not be dematerialised, or rematerialised, between
Monday, 28 August and Friday, 1 September 2006, both days inclusive.
11 August 2006
BY ORDER OF THE BOARD
DC Marshall, PN Lonsdale (Directors)
Sponsor
Imara Corporate Finance South Africa (Pty) Ltd
Date: 11/08/2006 07:10:06 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 ] | |||||||||||||
|
|||||||||||||
