|
JSE INLP
INVS
Investec Bank Limited - Reviewed interim condensed consolidated financial
results for the six months to 30 September 2006 and dividend declaration
Investec Bank Limited
(Registration number 1969/004763/06)
JSE Code: INLP ISIN: ZAE000048393
Reviewed interim condensed consolidated financial results for the six months to
30 September 2006
Consolidated income statements
6 months to 6 months to Year to
30 Sept. 30 Sept. 31 March
R" million 2006 2005 2006
Interest received 4,374 3,639 7,827
Interest paid (3,174) (2,644) (5,827)
Net interest income 1,200 995 2,000
Fees and commissions 342 323 647
receivable
Fees and commissions payable (20) (21) (28)
Principal transactions 513 331 637
Operating loss from (27) - -
associates
Other income 808 633 1,256
Total operating income 2,008 1,628 3,256
Impairment losses on loans (90) (37) 17
and advances
Net operating income 1,918 1,591 3,273
Administrative expenses (995) (773) (1,722)
Depreciation and amortisation (20) (18) (38)
of property, equipment and
software
Profit before taxation 903 800 1,513
Taxation (210) (178) (305)
Profit after taxation 693 622 1,208
Earnings attributable to 3 3 32
minority interests
Earnings attributable to 690 619 1,176
shareholders
Earnings attributable to 693 622 1,208
shareholders" equity
Calculation of headline
earnings
Earnings attributable to 690 619 1,176
shareholders
Headline adjustments - - (1)
Realisation of available - - (1)
for sale financial asset
Headline earnings 690 619 1,175
attributable to shareholders
Preference dividends paid (59) (62) (121)
Headline earnings
attributable to
ordinary shareholders 631 557 1,054
Consolidated balance sheets at
30 Sept. 31 March 30 Sept.
R" million 2006 2006 2005
Assets
Cash and balances at central banks 1,654 1,930 1,249
Loans and advances to banks 13,831 12,473 9,214
Cash equivalent advances to 6,367 5,217 4,806
customers
Reverse repurchase agreements and 2,121 1,224 793
cash collateral on securities
borrowed
Trading securities 13,599 12,208 10,023
Derivative financial instruments 12,630 9,032 7,889
Investment securities 27 31 1,361
Loans and advances to customers 69,027 62,885 53,037
Interest in associated undertakings 251 - -
Deferred taxation assets 250 241 201
Other assets 900 682 621
Property and equipment 99 83 95
Investment properties 1 7 9
Intangible assets 39 26 18
Loans to group companies 7,512 6,508 8,796
128,308 112,547 98,112
Liabilities
Deposits by banks 8,794 7,776 4,867
Derivative financial instruments 10,219 7,138 6,476
Other trading liabilities 59 266 321
Repurchase agreements and cash 2,496 919 582
collateral on securities lent
Customer accounts 61,105 56,201 52,105
Debt securities in issue 27,531 23,502 17,396
Current taxation liabilities 244 422 295
Deferred taxation liabilities 268 164 244
Other liabilities 5,019 4,207 4,091
115,735 100,595 86,377
Subordinated liabilities (including 3,105 3,140 3,173
convertible debt)
118,840 103,735 89,550
Equity
Ordinary share capital 16 16 16
Share premium 4,732 4,732 4,732
Equity portion of convertible 229 229 229
debentures
Perpetual preference shares 1,491 1,491 1,491
Other reserves 546 512 438
Profit and loss account 2,443 1,824 1,554
Shareholders" equity excluding 9,457 8,804 8,460
minority interests
Minority interests 11 8 102
Total shareholders" equity 9,468 8,812 8,562
Total liabilities and shareholders" 128,308 112,547 98,112
equity
Statements of changes in equity
6 months to 6 months to Year to
30 Sept. 30 Sept. 31 March
R" million 2006 2005 2006
Balance at the beginning of the 8,812 8,459 8,459
period
Foreign currency adjustments 16 (3) (6)
Earnings for the period 690 619 1,176
attributable to shareholders
Earnings for the period 3 3 32
attributable to minority
interests
Share based payments 6 - -
adjustments
Dividends paid to ordinary - (440) (640)
shareholders
Dividends paid to perpetual (59) (62) (121)
preference shareholders
Cash flow hedge fair value gain - (33) 16
Movement of minorities on - 19 (104)
disposals and acquistions
Balance at the end of the 9,468 8,562 8,812
period
Consolidated cash flow statements
6 months 6 months Year
to to to
30 Sept. 30 Sept. 31 March
R" million 2006 2005 2006
Net cash inflow from operating 653 202 470
activities
Net cash outflow from (315) (19) (78)
investing activities
Net cash inflow/(outflow) from 1,332 947 (34)
banking activites
Net cash (outflow)/inflow from (988) (299) 1,963
financing activities
Net increase in cash and cash 682 831 2,321
equivalents
Cash and cash equivalents at 7,679 5,358 5,358
the beginning of the period
Cash and cash equivalents at 8,361 6,189 7,679
the end of the period
Cash and cash equivalents is defined as including: cash and balances at central
banks, on demand loans and advances to banks and cash equivalent advances to
customers (all of which have a maturity profile of less than three months).
Segmental information
For the 6 months to 30 September 2006
Private Treasury &
Client Specialised Investment
R" million Activities Finance Banking Other Total
Net operating 693 672 202 351 1,918
income
Operating (467) (293) (76) (179) (1,015)
expenses
Operating 226 379 126 172 903
profit before
taxation
Cost to income 64.2 40.1 37.6 51.4 50.5
ratio (%)
For the 6 months to 30 September 2005
Private Treasury &
Client Specialised Investment
R" million Activities Finance Banking Other Total
Net operating 457 507 242 385 1,591
income
Operating (306) (231) (80) (174) (791)
expenses
Operating 151 276 162 211 800
profit before
taxation
Cost to income 66.7 43.3 32.3 45.0 48.6
ratio (%)
These consolidated interim financial results are published to provide
information to holders of Investec Bank Limited"s listed non-redeemable, non-
cumulative, non-participating preference shares.
Commentary
Overview of results
We are pleased to announce that Investec Bank Limited, a subsidiary of Investec
Limited, posted an increase in headline earnings attributable to ordinary
shareholders of 13.3% from R557 million to R631 million.
For full information on the Investec group results, refer to the combined
results of Investec plc and Investec Limited.
Business unit review
Unless the context indicates otherwise, all comparatives referred to in the
business unit review, relate to the six months ended 30 September 2005.
Operating profit is before taxation and after headline adjustments.
Salient operational features of the period under review include:
- The Private Client Activities division posted an increase of 49.7% in
operating profit from R151 million to R226 million. The Private Bank has
benefited from strong growth in advances, non-interest income and a solid
performance recorded across its areas of specialisation. The average
private client lending book has grown by 39.6% to R44.5 billion (2005:
R31.9 billion) and the division increased its average retail deposit book
by 55.3% to R20.4 billion (2005: R13.1 billion).
- The Treasury and Specialised Finance division posted operating profit of
R379 million (2005: R276 million), an increase of 37.3%. Growth was
underpinned by a strong performance from the division"s advisory,
structuring, trading, asset creation and distribution activities with
average advances increasing by 21.4% to R19.1 billion.
- Operating profit of the Investment Banking division decreased by 22.2% to
R126 million (2005: R162 million).
The Corporate Finance division benefited from a high level of activity. The
results of the Private Equity division are not comparable to the previous period
as certain of the recent Private Equity investments have been acquired by other
subsidiaries of Investec Limited.
- Other Activities posted a 18.5% decrease in operating profit to R172
million (2005: R211 million) largely as a result of a decline in the value
of some of the investments within the central funding portfolio.
Accounting policies
This interim financial report is prepared in accordance with International
Financial Reporting Standards ("IFRS").
To be added under the Accounting policies heading. The accounting policies
applied in the preparation of the results for the six months ended 30 September
2006 are consistent with those adopted in the financial statements for the year
ended 31 March 2006, except for the adoption of accounting standards
interpretations issued with effect from 1 January 2006. The adoption of these
interpretations has had no material reportable impact on the financial results,
position or cash flows of the consolidated group.
On behalf of the Board of Investec Bank Limited
Hugh Herman Stephen Koseff Bernard Kantor
Chairman Chief Executive Officer Managing Director
16 November 2006
These interim results have been reviewed by KPMG Inc. and Ernst and Young Inc.
and their review conclusion is available for inspection at the company"s
registered office.
Non-redeemable non-cumulative non-participating preference shares declaration of
dividend number 7
Notice is hereby given that preference dividend number 7 amounting to 412.50
cents per share has been declared for the period 1 April 2006 to 30 September
2006. The dividend is payable to holders of the non-redeemable non-cumulative
non-participating preference shares as recorded in the books of the company at
the close of business on 8 December 2006.
The relevant dates relating to the payment of dividend number 7 are as follows:
Last day to trade cum-dividend Friday, 1 December 2006
Shares trade ex-dividend Monday, 4 December 2006
Record date Friday, 8 December 2006
Payment date Monday, 11 December 2006
Share certificates may not be dematerialised or rematerialised between Monday, 4
December 2006 and Friday, 8 December 2006, both dates inclusive.
By order of the board
S. Noik Sandton
Company Secretary 16 November 2006
Registered office Transfer secretaries
100 Grayston Drive Computershare Investor Services
Sandown 2004 (Pty) Ltd
Sandton 70 Marshall Street
2196 Johannesburg 2001
Directors: H S Herman (Chairman). D M Lawrence* (Deputy Chairman).
S Koseff* (Chief Executive). B Kantor* (Managing). S E Abrahams. G R Burger*. D
E Jowell. M P Malungani. K X T Socikwa. B Tapnack*. P R S Thomas. F Titi. C B
Tshili. *Executive
Company Secretary: S Noik
Date: 16/11/2006 09:02:08 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 ] | |||||||||||||
|
|||||||||||||
