Spur Corporation Limited
(Registration number 1998/000828/06)
ISIN: ZAE000022653
Share code: SUR
INTERIM RESULTS FOR THE SIX MONTHS ENDED 31 DECEMBER 2002
KEY PERFORMANCE INDICATORS
Turnover +16%
Operating Profit +26%
INCOME STATEMENT
Unaudited Unaudited Audited
6 months 6 months 12 months
ended % ended ended
R`000 Note 31/12/02 change 31/12/01 30/6/02
Turnover 83 244 16 71 838 138 024
Profit from operations 25 097 26 19 854 37 727
Net interest received 1 813 867 2 707
Exceptional items 1 (3 614) 4 271 6 648
Profit before taxation 23 296 -7 24 992 47 082
Taxation (6 975) (5 964) (10 271)
Earnings attributable to
ordinary shareholders 16 321 -14 19 028 36 811
RECONCILIATION OF HEADLINE EARNINGS
Earnings attributable to ordinary
shareholders 16 321 19 028 36 811
Headline earnings adjustments:
- Profit on sale of company stores (883) - -
- Loans written off - - 1 679
Headline earnings 15 438 -19 19 028 38 490
Statistics
Shares in issue (000`s) 2 94 616 95 059 94 884
Weighted average number
of shares in issue (000`s) 94 836 92 206 93 822
Earnings per share (cents) 17.21 -17 20.64 39.23
Headline earnings per share (cents) 16.28 -21 20.64 41.02
Cashflow earnings
per share (cents) 28.30 47 19.26 36.73
Fully diluted headline earnings
per share (cents) 16.28 -21 20.64 41.02
Distribution per share (cents) 11.00 10.00 20.50
Note 1: Exceptional items comprise:
Foreign exchange (loss)/gain (4 497) 8 845 8 327
Provision against doubtful debts - (4 574) -
Loans written off - - (1 679)
Profit on sale of company stores 883 - -
(3 614) 4 271 6 648
Note 2:
Shares in issue less shares repurchased by a wholly owned subsidiary company.
STATEMENT OF CHANGES IN EQUITY
Shares
Share Share repurchased Accumulated
R`000 capital premium by subsidiary deficit Total
Balance at
July 1, 2002 1 239 793 (6 400) (109 527) 123 867
Profit for the period 16 321 16 321
Distributions (10 251) (10 251)
Shares repurchased (556) (556)
Balance at
December 31, 2002 1 229 542 (6 956) (93 206) 129 381
BALANCE SHEET
Unaudited Unaudited Audited
R`000 31/12/02 31/12/01 30/6/02
NON-CURRENT ASSETS 80 047 88 490 89 123
Property, plant and equipment 7 113 7 675 7 253
Loans 24 592 27 493 30 721
Deferred tax 48 342 53 322 51 149
CURRENT ASSETS 77 965 54 879 64 394
Inventory 6 788 6 134 4 234
Trade and other receivables 31 944 26 435 26 480
Cash resources 39 233 22 310 33 680
TOTAL ASSETS 158 012 143 369 153 517
EQUITY AND LIABILITIES
CAPITAL AND RESERVES 129 381 116 069 123 867
Ordinary share capital 1 1 1
Share premium 222 586 242 221 233 393
Accumulated deficit (93 206) (126 153) (109 527)
CURRENT LIABILITIES 28 631 27 300 29 650
Trade and other payables 16 620 22 264 18 555
Loans 1 963 1 089 -
Shareholders for distribution 257 555 501
Bank overdraft 6 046 1 728 9 148
Taxation 3 745 1 664 1 446
TOTAL EQUITY AND LIABILITIES 158 012 143 369 153 517
CASH FLOW STATEMENT
Unaudited Unaudited Audited
6 months 6 months 12 months
ended ended ended
R`000 31/12/02 31/12/01 30/6/02
Cash generated from operations 26 895 20 582 37 792
Net interest received 1 813 867 2 707
Taxation paid (1 869) (3 686) (6 038)
Distributions paid (10 495) (7 891) (17 708)
Working capital changes (9 953) 2 237 6 735
Cash flow from operating activities 6 391 12 109 23 488
Cash flow from investing activities 2 264 (8 171) (10 773)
Cash flow from financing activities - (165) (4 992)
Net movement in cash
and cash equivalents 8 655 3 773 7 723
Net cash and cash equivalents
at beginning of period 24 532 16 809 16 809
Net cash and cash equivalents
at end of period 33 187 20 582 24 532
BASIS OF PREPARATION OF FINANCIAL STATEMENTS
These unaudited results have been prepared in accordance with South African
Statements of Generally Accepted Accounting Practice and the accounting policies
used in the preparation of these results are consistent with the year ended 30
June 2002.
COMPARATIVE FIGURES
Comparative figures have been restated to accord with changes in accounting
policies during the previous financial year and current year classifications.
FINANCIAL AND OPERATING REVIEW
The period under review has again seen the Group produce a solid set of results
in respect of its core business. Turnover advanced by 16%, whilst operating
profit was a healthy 26% ahead of the previous year, reflecting the operating
leverage advantages achieved. Net interest income more than doubled and the
Group`s cash reserves grew to R33.2 million (2001: R20.6 million). Despite the
fact that the strengthening of the rand impacted negatively on headline
earnings, the Group`s strong cash flow has enabled us to increase the
distribution to shareholders to 11 cents per share.
During the past six months we have opened five new Spur outlets in prime
locations, which include Durban`s Sun Coast Casino, Plettenberg Bay and Gordon`s
Bay. In addition, nineteen stores were revamped to Spur`s latest specifications.
Our first United Kingdom franchised outlet, in Basingstoke, South London, has
been well received, and a further franchised outlet should open this year. The
planned opening of three Spur Steak Ranches on the African continent in 2003
will strengthen the brand in this region.
The group`s pizza/pasta division, Panarottis, is starting to benefit from the
revamp process undertaken during the past few years, with an improved
contribution to Group turnover and profits. We are also pleased to report that
our second Australian Panarottis outlet is scheduled to open in Mingara, New
South Wales, during the course of this month.
The group has continued to invest in staff and franchisee training across the
board and maximising productivity and communications by the introduction of
strategic IT packages.
Marketing remains a core focus and the Group has maintained a strong media
presence through television and radio advertising. A follow-up brand/promotional
campaign is planned to build on the success of the Howzit campaign.
PROSPECTS
It is anticipated that the Group will sustain the current strong growth patterns
for the remainder of the financial year. The downward trend in inflation as well
as the stabilising of key food prices will stand us in good stead to deliver a
solid performance over the next six months.
CAPITAL DISTRIBUTION
Notice is hereby given that, subject to JSE and shareholders approval, the Board
has declared a capital distribution in lieu of dividends, of 11 cents per share.
The last date to trade in the shares for purpose of entitlement to the
distribution is Wednesday, 16 April 2003. The shares will commence trading ex-
distribution on Thursday, 17 April 2003 and the record date is Friday, 25 April
2003. The distribution will be paid on Tuesday, 29 April 2003. Share
certificates may not be dematerialised or rematerialised between Thursday, 17
April 2003 and Friday, 25 April 2003, both days inclusive. A circular will be
posted to shareholders on or about 20 March 2003 and a general meeting of
shareholders is to be held on or about 7 April 2003.
The above dates are subject to amendment and any amendment will be published in
the press and on SENS.
For and on behalf of the Board
A.J. Ambor (Executive Chairman)
P.G. van Tonder (Managing Director)
Cape Town
3 March 2003
Transfer Secretaries
Computershare Investor Services Ltd, 70 Marshall Street, Johannesburg, 2001
Sponsors
Barnard Jacobs Mellet Corporate Finance (Pty) Ltd
Registered Office
5th Floor, Matrix House, 73 Strand Street, Cape Town, 8001
Website: www.spur.co.za
Date: 03/03/2003 05:00:09 PM Supplied by www.sharenet.co.za
Produced by the JSE SENS Department |
