Spur Corporation Limited -
Spur Corporation Limited
(Incorporated in the Republic of South Africa)
(Registration number 1998/000828/06)
Share code : SUR
ISIN : ZAE000022653
("Spur" or "the company")
REVIEWED RESULTS FOR THE TWELVE MONTHS ENDED 30 JUNE 2003
KEY PERFORMANCE INDICATORS
- Turnover +13.1%
- Operating profit +21.5%
- Core earnings +22.7%
INCOME STATEMENT
Reviewed 12 Audited
Months ended 12 months
30/06/03 % ended
R"000 Note increase 30/06/02
Turnover 156 139 13.1 138 024
Profit from operations 45 826 21.5 37 727
Net interest received 4 688 73.2 2 707
Profit before exceptional items 50 514 24.9 40 434
Exceptional items 1 (9 371) 6 648
Profit before taxation 41 143 47 082
Taxation (13 482) (10 271)
Earnings attributable to
ordinary shareholders 27 661 -24.9 36 811
RECONCILIATION OF HEADLINE EARNINGS
Earnings attributable
to ordinary shareholders 27 661 36 811
Headline earnings adjustments:
- Profit on sale of company stores (261) -
Headline earnings 27 400 -25.6 36 811
Foreign exchange loss/(gain) 7 562 (8 327)
Core earnings 34 962 22.7 28 484
Statistics
Shares in issue (000"s) 2 93 929 94 884
Weighted average number
of shares in issue (000"s) 94 643 93 822
Earnings per share (cents) 29.23 39.23
Headline earnings per share (cents) 28.95 -26.2 39.23
Core earnings per share (cents) 36.94 21.7 30.36
Cash flow earnings per share (cents) 51.04 39.0 36.73
Distributions per share (cents) 23.50 14.6 20.50
Note 1: Exceptional items comprise:
Foreign exchange (loss)/gain (7 562) 8 327
Loans written off (2 070) (1 679)
Profit on sale of company stores 261 -
(9 371) 6 648
Note 2: Shares in issue:
Shares in issue less shares repurchased by a wholly owned subsidiary company.
STATEMENT OF CHANGES IN EQUITY
Shares
Share Share repurchased
R"000 capital premium by subsidiary
Balance at
July 1, 2001 1 245 880 (1 886)
Profit for the year
Distributions (17 487)
Shares repurchased (4 514)
Shares issued 11 400 (7 360)
Balance at
June 30, 2002 1 239 793 (6 400)
Profit for the year
Distributions (20 991)
Shares repurchased (2 353)
Balance at
June 30, 2003 1 218 802 (8 753)
Unissued Accumulated
R"000 shares deficit Total
Balance at
July 1, 2001 7 360 (145 181) 106 174
Profit for the year 36 811 36 811
Distributions (17 487)
Shares repurchased (4 514)
Shares issued (7 360) (1 157) 2 883
Balance at
June 30, 2002 - (109 527) 123 867
Profit for the year 27 661 27 661
Distributions (20 991)
Shares repurchased (2 353)
Balance at
June 30, 2003 - (81 866) 128 184
BALANCE SHEET
Reviewed Audited
R"000 30/06/03 30/06/02
Non-current assets 76 025 89 127
- Tangible assets 6 769 7 253
- Investments and loans 23 988 30 721
- Deferred tax 45 268 51 149
CURRENT ASSETS 75 157 64 394
- Inventory 4 020 4 234
- Trade and other receivables 17 720 26 480
- Cash resources 53 417 33 680
TOTAL ASSETS 151 182 153 517
EQUITY AND LIABILITIES
CAPITAL AND RESERVES 128 184 123 867
- Ordinary share capital 1 1
- Share premium 210 049 233 393
- Accumulated deficit (81 866) (109 527)
CURRENT LIABILITIES 22 998 29 650
- Trade and other payables 12 622 18 555
- Bank overdraft 3 073 9 148
- Taxation 7 111 1 446
- Shareholders for distribution 192 501
TOTAL EQUITY
AND LIABILITIES 151 182 153 517
CASH FLOW STATEMENT
Reviewed Audited
12 months 12 months
ended ended
R"000 30/06/03 30/06/02
Cash generated from operations 47 623 39 471
Net interest received 4 688 2 707
Taxation paid (4 006) (6 038)
Distributions paid (21 300) (17 708)
Working capital changes 2 020 6 735
Cash flow from operating activities 29 025 25 167
Cash flow from investing activities 2 197 (14 642)
Cash flow from financing activities (2 353) (4 992)
Net movement in cash and cash
equivalents 28 869 5 533
Adjustments for foreign exchange
fluctuations (3 057) 2 190
Net cash and cash equivalents
at beginning of period 24 532 16 809
Net cash and cash equivalents
at end of period 50 344 24 532
BASIS OF ACCOUNTING
These reviewed financial 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. These results have been reviewed by KPMG Inc. and their
unqualified review report is available for inspection at the Company"s
registered office.
FINANCIAL AND OPERATING REVIEW
During the past financial year the Group continued to experience favourable
trading conditions at store level, which enabled us to deliver an encouraging
set of results.
The strategies, disciplines and initiatives applied in all divisions have borne
the necessary fruit and whilst turnover grew by 13,1%, operating profit advanced
by a solid 21.5%. Net interest income of R4.7million (2002: R2.7million) was
73,2% higher and cash reserves grew to a healthy R50.3million (2002: R24.5
million).
Notwithstanding the fact that headline earnings were adversely affected by
unrealised exchange losses due to the strengthening of the rand, distributions
to shareholders were increased by 14,6% to 23.5 cents per share.
The year under review saw the opening of seven new Spur outlets, five stores
were relocated and a further 33 revamped to Spur"s current specifications. In
addition three new Panarottis were opened and the revamp programme has
progressed to the point where there are only six Panarottis revamps outstanding.
On the international front, further Spur and Panarottis outlets are planned in
the United Kingdom, Australia and Africa.
The Group"s marketing resource has continued to provide invaluable input to
ensure that our brand message is communicated through all retail and promotional
avenues so as to optimally leverage all revenue generating opportunities. Our
recently launched "Take me There" brand advert, in conjunction with our value
added retail campaign, has contributed significantly towards ensuring ongoing
awareness and support from our consumers.
PROSPECTS
We remain confident that, with the high levels of motivation and dedication
throughout the Group, favourable economic factors, and the anticipated number of
store openings, continued growth can be expected in the year ahead.
CAPITAL DISTRIBUTION
Notice is hereby given that, subject to JSE and shareholder approval, the Board
has declared a capital distribution in lieu of dividends, of 12,5 cents per
share. The last date to trade in the shares for purposes of entitlement to the
distribution is Friday 31 October 2003. The shares will commence trading ex-
distribution on Monday 3 November 2003 and the record date is Friday 7 November
2003. The distribution will be paid on Monday 10 November 2003. Share
certificates may not be dematerialised or rematerialised between Monday 3
November 2003 and Friday 7 November 2003, both days inclusive. A circular will
be posted to shareholders on or about 6 October 2003 and a general meeting of
shareholders is to be held on or about 22 October 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
12 September 2003
Transfer Secretaries
Computershare Limited, 70 Marshall Street, Johannesburg, 2001
Registered Office
1 Waterford Mews, Century City Blvd, Century City, 7441
Share code: SUR ISIN: ZAE000022653 Sponsor: Barnard Jacobs Mellet
Corporate Finance (Pty) Ltd Website: www.spur.co.za
Spur Corporation Limited (Registration number 1995/0000828/06)
Date: 11/09/2003 05:00:06 PM Supplied by www.sharenet.co.za
Produced by the JSE SENS Department
