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Sol - Sasol Limited - Interim Financial Results For The Six Months

Release Date: 10/03/2008 06:59:57      Code(s): SOL
SOL - Sasol Limited - Interim Financial Results For The Six Months              
                        Ended 31 December 2007 and dividend declaration         
Sasol Limited                                                                   
(Incorporated in South Africa)                                                  
(Registration number: 1979/003231/06)                                           
ISIN Code: ZAE000006896                                                         
Share Code: SOL                                                                 
NYSE Code: SSL                                                                  
("Sasol" or "the Company")                                                      
Interim financial results for the six months ended 31 December 2007             
Sasol Limited is the world`s leader in the conversion of coal and gas to        
transportation fuels and chemicals.                                             
-    operating profit up 15% to R14,0 billion                                   
-    synfuels volumes up 4%                                                     
-    headline earnings per share up 18% to R14,56                               
-    interim dividend up 18% to R3,65 per share                                 
-    share repurchase programme advanced, gearing increased to 32%              
-    turnaround of several businesses succeeding                                
-    transformation progressing                                                 
These results and other related information are available on: www.sasol.com     
Segment report for the period ended                                             
Turnover                    Business unit  Operating profit                     
Rm                          analysis       Rm                                   

full     half      half                    half      half      full             
year     year      year                    year      year      year             
30       31        31                      31        31        30               
Jun 07   Dec 06    Dec 07                  Dec 07    Dec 06    Jun 07           
Audited  Reviewed  Reviewed                Reviewed  Reviewed  Audited          
77 019   38 670    45 315   South African  11 334    10 869    21 775           
                           energy                                               
cluster                                              
6 042    2 837     3 387    Mining         565       411       1 171            
3 702    1 878     2 173    Gas            923       1 167     1 936            
29 084   14 694    16 987   Synfuels       7 815     8 360     16 251           
38 191   19 261    22 768   Oil            2 031     931       2 417            
1 465    761       1 407    International  35        (14)      (463)            
                           energy                                               
                           cluster                                              
65       82        577      Synfuels       (274)     (366)     (763)            
                           International                                        
1 400    679       830      Petroleum      309       352       300              
                           International                                        
58 881   29 149    31 804   Chemical       2 396     1 165     4 293            
                           cluster                                              
9 410    4 661     4 749    Polymers       497       262       1 089            
13 766   6 659     7 331    Solvents       556       490       1 106            
22 582   11 113    12 175   Olefins &      458       -         1 140            
                           Surfactants                                          
13 123   6 716     7 549    Other          885       413       958              
                           chemical                                             
businesses                                           
2 843    1 120     2 616    Other          245       167       16               
                           businesses                                           
140 208  69 700    81 142                  14 010    12 187    25 621           
(42 081) (21 219)  (25 625) Intercompany                                        
                           turnover                                             
98 127   48 481    55 517                                                       
Overview                                                                        
Chief executive Pat Davies says:                                                
"Sasol`s continued commitments to safety, to reducing our environmental         
footprint and to making progress with transformation are part of our core       
values. These elements are also essential to sustaining our strong financial    
performance, underpinned by a healthy balance sheet. Sasol is well-positioned   
for future growth."                                                             
Earnings attributable to shareholders for the six months ended 31 December 2007 
increased by 15% to R9,1 billion from R8,0 billion in the comparable period in  
the previous financial year, while earnings per share and headline earnings per 
share both increased by 18% over the same period, to R15,05 and R14,56          
respectively.                                                                   
Operating profit of R14,0 billion was 15% higher than the comparable period of  
the previous financial year. The increase in operating profit was buoyed by     
higher crude oil prices (average dated Brent was US$81,83/barrel in 2007        
compared with US$64,59/barrel in 2006) and refined product prices, which were   
partially offset by a 4% strengthening in the average exchange rate (R6,94/US$  
in 2007 compared with R7,23/US$ in 2006) and softer refining margins. The       
average crude oil price exceeded the cap on Sasol Synfuels and Sasol Petroleum  
International oil hedges during the period September 2007 to December 2007,     
resulting in a cash outflow of R465 million. The recognition of the fair value  
of the oil hedge resulted in an unrealised fair value loss of R1,1 billion at   
the end of the period as a result of the significant increase in crude oil      
prices towards the end of December 2007.                                        
Cash of R14,1 billion generated by operating activities represents a 4% increase
on the comparable period of the previous financial year.                        
Chief financial officer Christine Ramon says:                                   
"This pleasing set of results has been achieved under favourable market         
conditions, supported by continued progress in the restructuring of our overseas
chemical business and improved operating performance by our energy business.    
Good progress in our capital projects such as Oryx GTL, Arya Sasol Polymers and 
the Selective Catalytic Cracker at Synfuels is laying the foundation for        
sustainable growth."                                                            
Focus on sustainable development yields results                                 
Sasol`s continued focus on safety and our commitment to sustainable             
development has led to tangible results:                                        
-  Our safety performance continues to improve. The recordable                  
case rate covering employees and service providers, including                 
  injuries and illnesses, improved to 0,64 at 31 December 2007                  
  from 0,72 at 30 June 2007.                                                    
-  We are reducing our environmental footprint. As part of our                  
energy-efficiency initiatives in South Africa, an open cycle                  
  gas turbine, which will generate electricity from waste gases,                
  has been ordered.                                                             
-  We continue to make significant community investments in                     
education, health and welfare, and job creation.                              
Further progress with transformation                                            
Transformation in South Africa, in line with the Department of Trade and        
Industry codes on broad-based black economic empowerment, is gathering          
momentum:                                                                       
-  The final terms of our proposed broad-based black economic                   
  empowerment (BEE) transaction for up to 10% ownership at Sasol                
  Limited level will be announced soon.                                         
-  The second phase of Sasol Mining`s empowerment transaction,                  
  valued at R1,9 billion, was announced in October 2007.                        
-  Procurement from BEE entities reached R2,2 billion for the six               
  months ended 31 December 2007.                                                
-  Sasol continues to invest heavily in skills development.                     
-  There has been a further increase in the representation of                   
  people from designated groups in managerial, professional and                 
  supervisory posts, from 47% at 30 June 2007 to 49% at 31                      
December 2007.                                                                
Significant progress with capital projects                                      
Cash spent on capital projects amounted to R4,0 billion. Major projects         
advanced include:                                                               
-  Significant progress in improving operations at the Oryx GTL                 
  plant in Qatar. The plant, which produces both ultra low                      
  sulphur diesel and naphtha, achieved average daily production                 
  for the six-month reporting period of 9 000 barrels per day,                  
while the average for December 2007 exceeded 16 000 barrels per               
  day.                                                                          
-  The Selective Catalytic Cracker at Sasol Synfuels in South                   
  Africa is in operation and has produced ethylene, propylene and               
gasoline to specification. Some remedial action is still                      
  required to ensure sustained operation.                                       
-  Arya Sasol Polymers in Iran reached a major milestone on 5                   
  November 2007, when the ethylene cracker produced its first on-               
specification product. Sustainable ethylene production is                     
  projected for the first quarter of the 2008 calendar year. The                
  low-density and high-density polyethylene polymer plants are                  
  being commissioned and beneficial operation is expected in the                
second and third quarters of the 2008 calendar year,                          
  respectively.                                                                 
-  Construction of the Escravos GTL plant in Nigeria continues.                 
  The contract terms have been modified from a fixed lump sum to                
a reimbursable basis, the impact of which is still being                      
  evaluated. A material increase in capital costs is expected.                  
-  The Octene 3 plant in South Africa, to produce 1-octene for use              
  as a co-monomer in polyethylene production, is being                          
commissioned, with beneficial operation expected towards the                  
  first quarter of the next financial year.                                     
Operational review                                                              
South African energy cluster                                                    
Sasol Mining - increased sales volumes                                          
Operating profit of R565 million was 37% higher than the comparable period a    
year earlier, due primarily to increased export sales volumes at higher export  
US dollar prices, greater sales volumes at higher prices to Sasol Synfuels and  
improved coal quality. This increase was partially offset by lower production   
resulting from certain challenging geological conditions and strike action in   
October 2007.                                                                   
Sasol Gas - continued growth                                                    
Operating profit decreased by 21% compared to the first six months of the       
previous reporting period, to R923 million. However, taking into account the    
sale of the 25% of the Republic of Mozambique Pipeline Investments Company (Pty)
Limited in the prior period, operating profit increased by 16% as a result of   
increased sales volumes at higher margins, offset by higher cash fixed costs due
to increased activity.                                                          
Sasol Synfuels - increased production volumes                                   
Production volumes were 4% higher as a result of improved plant stability,      
production efficiencies and fewer planned maintenance shutdowns. The gains      
associated with higher oil prices were, however, offset by the stronger rand and
the effect of the unrealised fair value loss of the oil hedge, resulting in     
operating profits decreasing by 7% to R7 815 million compared to the first six  
months of the previous financial year.                                          
Sasol Oil - record results                                                      
Sasol Oil`s operating profit increased to R2 031 million, 118% higher than the  
comparable period due to improved production volumes resulting from refinery    
optimisation, reduced reliance on imports and increased sales volumes. Improved 
margins have resulted from stronger product prices on the back of higher        
prevailing crude oil prices. Growth in our retail network                       
to 397 convenience centres has also enhanced performance.                       
International energy cluster                                                    
Sasol Synfuels International (SSI) - GTL production increasing                  
Production at the Oryx facility in Qatar is ramping up steadily, with both      
trains having operated simultaneously in December 2007. The Oryx operating      
profit contributed to a decrease in operating losses of SSI to R274 million, 25%
more favourable than the comparable period a year earlier.                      
Sasol Petroleum International (SPI) - increased exploration activity            
Operating profit decreased by 12% to R309 million compared with the first six   
months of the previous financial year, due mainly to increased exploration      
expenditure, partially offset by higher oil prices and increased sales volumes  
from our Gabon operation.                                                       
Chemical cluster                                                                
Sasol Polymers - higher margins                                                 
Operating profit increased by 90% to R497 million, due mainly to significant    
increases in margins, which have recovered off a low base. Plants from the Turbo
project have increased the fixed cost base, but the impact thereof has been     
negated through foreign translation gains.                                      
Sasol Solvents - higher sales prices achieved with relatively flat sales volumes
Operating profit increased by 13% to R556 million on the back of improved sales 
prices, which negated the effect of higher raw material costs.                  
Sasol Olefins & Surfactants - restructuring process progressing well            
An operating profit of R458 million was achieved compared to a break-even       
position for the comparable period a year earlier. The first steps in the       
restructuring process were the shutdown of the Baltimore and Porto Torres linear
alkyl benzene plants, cost reduction in all remaining units and efforts to      
recover the increase in feedstock costs in selling prices.                      
Other chemical businesses - improved performance                                
Sasol Wax increased its operating profit by 55% to R416 million primarily due to
improved product margins and the sale of Paramelt RMC BV.                       
Sasol Nitro recorded an improvement of 69% in operating profit to R545 million, 
primarily due to higher sales volumes in the explosives business, higher        
fertiliser and ammonia selling prices, and the sale of Sasol Dyno Nobel (Pty)   
Limited.                                                                        
Gearing - share repurchase programme advanced                                   
Gearing has increased from 22% at 30 June 2007 to 32% at 31 December 2007, due  
primarily to the share repurchase programme.                                    
During the current period, we repurchased a total of 22 173 525 Sasol ordinary  
shares at an average price of R329,23 per share. Total shares repurchased since 
the inception of the programme in March 2007 represent about 5,88% of our issued
share capital at 31 December 2007.                                              
Profit outlook - good earnings growth for the full 2008 financial year          
We are currently commissioning new production capacity at Arya Sasol and Oryx   
GTL`s output is steadily increasing. We expect to see the benefits in our       
earnings during the second half of the 2008 financial year and into the 2009    
financial year, when production at these plants ramps up.                       
Taking into account our assumptions on prices and currencies, the earnings for  
the full 2008 financial year will reflect good growth compared with the 2007    
financial year. The effects of our BEE transactions as announced in September   
2007, which are expected to have material non-cash accounting effects, have not 
been taken into account in this outlook.                                        
Disposal of businesses                                                          
On 10 July 2007, Sasol Wax disposed of its investment in Paramelt RMC BV,       
operating in the Netherlands, realising a profit of R129 million.               
In August 2007, Sasol Investment Company (Pty) Limited disposed of its          
investment in FFS Refiners (Pty) Limited in South Africa, realising a profit of 
R108 million.                                                                   
On 17 September 2007, Sasol Nitro disposed of 50% of its investment in Sasol    
Dyno Nobel (Pty) Limited in South Africa and realised a profit of R114 million. 
On 13 November 2007, Sasol Chemical Industries Limited disposed of its joint    
venture investment in African Amines (Pty) Limited in South Africa and realised 
a loss of R3 million.                                                           
Post balance sheet events                                                       
Sasol Chemical Industries Limited and Mitsubishi Chemical Corporation agreed to 
dissolve their Acrylates joint venture in South Africa, in terms of which Sasol 
Chemical Industries Limited acquired effective control from 24 January 2008.    
On 20 February 2008, the South African Minister of Finance announced that the   
corporate tax rate would be reduced from 29% to 28%. The effect of this         
reduction on our taxation will be reflected in our annual financial statements  
for the year ended 30 June 2008.                                                
Declaration of cash dividend number 57                                          
An interim cash dividend of South African R3,65 per share (2007: R3,10 per      
share) has been declared.                                                       
The salient dates for holders of ordinary shares are:                           
Last day for trading to qualify for and     Friday, 4 April 2008                
participate in the interim dividend (cum                                        
dividend)                                                                       
Trading ex dividend commences               Monday, 7 April 2008                
Record date                                 Friday, 11 April 2008               
Dividend payment date                       Monday, 14 April 2008               
Holders of American Depositary Receipts*                                        
Last day for trading to qualify for and     Tuesday, 8 April 2008               
participate in the interim dividend (cum                                        
dividend)                                                                       
Record date                                 Friday, 11 April 2008               
Date of currency conversion                 Tuesday, 15 April 2008              
Dividend payment date                       Monday, 21 April 2008               
*all dates approximate as the NYSE approves the record date after receipt of    
the dividend declaration.                                                       
On Monday, 14 April 2008, dividends due to certificated shareholders on the     
South African registry will either be electronically transferred to             
shareholders` bank accounts or, in the absence of suitable mandates, dividend   
cheques will be posted to such shareholders. Shareholders who have              
dematerialised their share certificates will have their accounts credited on    
Monday, 14 April 2008.                                                          
Share certificates may not be dematerialised or re-materialised between Monday, 
7 April 2008 and Friday, 11 April 2008, both days inclusive.                    
On behalf of the board                                                          
Pieter Cox        Pat Davies                Christine Ramon                     
Chairman          Chief executive           Chief financial officer             
Sasol Limited                                                                   
10 March 2008                                                                   
The interim financial statements are presented on a condensed consolidated      
basis.                                                                          
Statement of Financial Position                                                 
At                                 31 Dec 07    31 Dec 06        30 Jun 07      
                                  Reviewed     Reviewed         Audited         
                                  Rm           Rm               Rm              
Assets                                                                          
Property, plant and equipment      54 301       42 421           50 515         
Assets under construction          23 424       24 362           24 611         
Goodwill                           607          457              586            
Other intangible assets            586          664              629            
Post-retirement benefit assets     532          80               363            
Deferred tax assets                808          604              845            
Other long-term assets             3 080        2 697            3 134          
Non-current assets                 83 338       71 285           80 683         
Assets held for sale               6            11 794           334            
Inventories                        17 028       9 004            14 399         
Trade and other receivables        17 787       12 035           16 994         
Short-term financial assets        239          161              22             
Cash restricted for use            768          710              646            
Cash                               3 956        6 057            5 987          
Current assets                     39 784       39 761           38 382         
Total assets                       123 122      111 046          119 065        
Equity and liabilities                                                          
Shareholders` equity               60 228       57 917           61 617         
Minority interest                  1 759        1 515            1 652          
Total equity                       61 987       59 432           63 269         
Long-term debt                     12 687       15 139           13 359         
Long-term financial liability      51           36               53             
Long-term provisions               4 048        3 643            3 788          
Post-retirement benefit            3 887        2 591            3 661          
obligations                                                                     
Long-term deferred income          2 942        2 150            2 765          
Deferred tax liabilities           8 657        7 216            8 304          
Non-current liabilities            32 272       30 775           31 930         
Liabilities in disposal group      -            5 236            35             
held for sale                                                                   
Short-term debt                    8 671        2 694            5 621          
Short-term financial liabilities   1 318        507              383            
Other current liabilities          16 971       12 084           17 282         
Bank overdraft                     1 903        318              545            
Current liabilities                28 863       20 839           23 866         
Total equity and liabilities       123 122      111 046          119 065        
Note: At December 2006, Sasol O&S was classified as held for sale and all       
attributable assets and liabilities relating to the disposal group were         
disclosed as part of assets and liabilities held for sale.                      
The business was reclassified as a continuing operation during March 2007.      
Income Statement                                                                
for the period ended            half year       half year        full year      
                               31 Dec 07       31 Dec 06        30 Jun 07       
                               Reviewed        Reviewed         Audited         
Rm              Rm               Rm              
Turnover                        55 517          48 481           98 127         
Cost of sales and services      (32 548)        (30 277)         (59 997)       
rendered                                                                        
Gross profit                    22 969          18 204           38 130         
Non-trading income              215             578              639            
Marketing and distribution      (3 226)         (2 842)          (5 818)        
expenditure                                                                     
Administrative expenditure      (2 480)         (2 612)          (6 094)        
Other operating expenditure     (3 468)         (1 141)          (1 236)        
Other expenditure1              (3 439)         (885)            (1 004)        
Translation losses              (29)            (256)            (232)          
Operating profit                14 010          12 187           25 621         
Finance income                  273             363              825            
Finance expenses                (444)           (457)            (1 148)        
Share of profits of associates  121             192              405            
(net of tax)                                                                    
Profit before tax               13 960          12 285           25 703         
Taxation                        (4 393)         (4 074)          (8 153)        
Profit for the period           9 567           8 211            17 550         
Attributable to                                                                 
Owners of Sasol Limited         9 148           7 981            17 030         
Minority interests in           419             230              520            
subsidiaries                                                                    
9 567           8 211            17 550          
Earnings per share              Rand            Rand             Rand           
Basic earnings per share        15,05           12,79            27,35          
Diluted earnings per share2     14,85           12,60            27,02          
1. Included in other expenditure is an unrealised fair value loss of R1,1       
billion (June 2007: loss of R0,2 billion) that relates to the revaluation of    
the crude oil hedge.                                                            
2. Diluted earnings per share is calculated taking the Sasol Share Incentive    
Scheme into account.                                                            
Note: The income statement for December 2006 has been restated for the          
effect of the reclassification of Sasol O&S as a continuing operation.          
Statement of Comprehensive Income                                               
for the period ended            half year       half year        full year      
                               31 Dec 07       31 Dec 06        30 Jun 07       
                               Reviewed        Reviewed         Audited         
                               Rm              Rm               Rm              
Profit for the period           9 567           8 211            17 550         
Other comprehensive income                                                      
Effect of translation of        53              (242)            (258)          
foreign operations                                                              
Effect of cash flow hedges      (30)            -                -              
Available-for-sale financial    1               -                -              
assets                                                                          
Tax on other comprehensive      (4)             (1)              -              
income                                                                          
Other comprehensive income                                                      
for the period, net of tax      20              (243)            (258)          
Total comprehensive income for  9 587           7 968            17 292         
the period                                                                      
Attributable to                                                                 
Owners of Sasol Limited         9 169           7 743            16 772         
Minority interests in           418             225              520            
subsidiaries                                                                    
                               9 587           7 968            17 292          
Statement of Changes In Equity                                                  
for the period ended            half year       half year        full year      
31 Dec 07       31 Dec 06        30 Jun 07       
                               Reviewed        Reviewed         Audited         
                               Rm              Rm               Rm              
Opening balance                 63 269          52 984           52 984         
Shares issued during period     262             160              332            
Repurchase of shares            (7 300)         -                (3 669)        
Share based payment expense     77              92               186            
Change in shareholding of       73              1 129            1 165          
subsidiaries                                                                    
Total comprehensive income for  9 587           7 968            17 292         
the period                                                                      
Dividends paid                  (3 597)         (2 683)          (4 613)        
Dividends paid to minority      (384)           (218)            (408)          
shareholders                                                                    
Closing balance                 61 987          59 432           63 269         
Comprising                                                                      
Share capital                   3 890           3 456            3 628          
Share repurchase programme      (10 969)        -                (3 669)        
Retained earnings               66 660          53 990           61 109         
Share based payment reserve     1 043           872              966            
Foreign currency translation    (389)           (435)            (443)          
reserve                                                                         
Investment fair value reserve   3               2                2              
Cash flow hedge reserve         (10)            32               24             
Shareholders` equity            60 228          57 917           61 617         
Minority interest               1 759           1 515            1 652          
Total equity                    61 987          59 432           63 269         
Statement of Cash Flows                                                         
for the period ended             half            half          full year        
                                year            year                            
                                31              31            30                
                                Dec 07          Dec 06        Jun 07            
Reviewed        Reviewed      Audited           
                                Rm              Rm            Rm                
Cash receipts from customers     54 857          49 229        97 339           
Cash paid to suppliers and       (40 746)        (35 655)      (68 914)         
employees                                                                       
Cash generated by operating      14 111          13 574        28 425           
activities                                                                      
Finance income                   504             600           1 059            
Financing expenses paid          (935)           (724)         (1 816)          
Tax paid                         (4 712)         (3 557)       (7 251)          
Dividends paid                   (3 597)         (2 683)       (4 613)          
Cash retained from operating     5 371           7 210         15 804           
activities                                                                      
Additions to non-current assets  (4 577)         (6 050)       (12 045)         
Acquisition of businesses        -               (221)         (285)            
Disposal of businesses           686             2 183         2 200            
(Cash)/bank overdraft disposed                                                  
of                                                                              
on disposal of businesses        (31)            33            33               
Other net cash flows from        44              (183)         (441)            
investing activities                                                            
Cash utilised in investing       (3 878)         (4 238)       (10 538)         
activities                                                                      
Share capital issued             262             160           332              
Share repurchase programme       (7 300)         -             (3 669)          
Dividends paid to minority       (384)           (218)         (408)            
shareholders                                                                    
Decrease in long-term debt       (2 014)         (43)          (13)             
Increase in short-term debt      4 685           63            865              
Cash effect of financing         (4 751)         (38)          (2 893)          
activities                                                                      
Translation effects on cash and                                                 
cash equivalents of foreign      (9)             12            (24)             
operations                                                                      
Movement in cash and cash        (3 267)         2 946         2 349            
equivalents                                                                     
Cash and cash equivalents at     6 088           3 244         3 244            
beginning of period                                                             
Net reclassification from held   -               259           495              
for sale                                                                        
Cash and cash equivalents at     2 821           6 449         6 088            
end of period                                                                   
Salient Features                                                                
for the period ended                  half       half     full                  
year       year     year                   
                                     31 Dec     31 Dec   30 Jun                 
                                     07         06       07                     
Selected ratios                                                                 
Return on equity         %            15,0       14,4     29,8                  
Return on total assets   %            11,9       11,9     24,2                  
Operating margin         %            25,2       25,1     26,1                  
Borrowing cost cover     times        15,4       17,6     14,8                  
Dividend cover           times        4,2        4,2      3,0                   
Share statistics                                                                
Total shares in issue    million      630,6      625,2    627,7                 
Treasury shares                                                                 
(share repurchase        million      37,1       -        14,9                  
programme)                                                                      
Weighted average number  million      607,7      623,8    622,6                 
of shares                                                                       
Diluted weighted                                                                
average                                                                         
number of shares         million      616,0      633,5    630,3                 
Share price (closing)    Rand         339,00     258,79   266,00                
Market capitalisation    Rm           213 773    161 796  166 968               
Net asset value per      Rand         101,48     92,64    100,55                
share                                                                           
Dividend per share       Rand         3,65       3,10     9,00                  
Other financial                                                                 
information                                                                     
Total debt (including                                                           
bank overdraft)                                                                 
- interest bearing       Rm           22  661    17 681   18 925                
- non-interest bearing   Rm           600        600      600                   
Borrowing costs          Rm           660        386      989                   
capitalized                                                                     
Capital commitments      Rm           21 605     13 664   18 575                
- authorised and         Rm           27 095     30 116   28 416                
contracted                                                                      
- authorised, not yet    Rm           14 340     7 440    11 720                
contracted                                                                      
- less expenditure to    Rm           (19 830)   (23 892) (21 561)              
date                                                                            
Guarantees and                                                                  
contingent liabilities                                                          
- total amount           Rm           31 479     33 924   35 147                
- liability included on  Rm           12 931     11 560   13 888                
balance sheet                                                                   
Significant items in                                                            
operating profit                                                                
- employee costs         Rm           6 465      5 674    11 695                
- depreciation and                                                              
amortisation                                                                    
of non-current assets    Rm           2 355      1 887    3 736                 
Effective tax rate       %            31,5       33,2     31,7                  
Number of employees      number       32 893     31 852   31 860                
Average crude oil price                                                         
- dated Brent            US$/barrel   81,83      64,59    63,95                 
Average rand/US$         1US$ = Rand  6,94       7,23     7,20                  
exchange rate                                                                   
Closing rand/US$         1US$ = Rand  6,87       7,01     7,04                  
exchange rate                                                                   
Reconciliation of                     Rm         Rm       Rm                    
headline earnings                                                               
Profit for the period                 9 567      8 211    17 550                
Less minority interest                (419)      (230)    (520)                 
Effect of capital items               (304)      (162)    (1 140)               
 Impairment of assets                27         114      208                    
Reversal of fair                                                               
value write-down                                                                
of disposal group held                -          -        (803)                 
for sale                                                                        
Fair value write-down                                                          
of                                                                              
disposal group held for               -          420      -                     
sale                                                                            
Profit on disposal of               (391)      (748)    (749)                  
assets                                                                          
 Loss on repurchase of                                                          
participation                                                                   
rights in GTL venture                 34         -        -                     
 Scrapping of                                                                   
property, plant                                                                 
and equipment                         26         52       204                   
Tax effects and                       7          (93)     (93)                  
minority interest                                                               
Headline earnings                     8 851      7 726    15 797                
Capital items per above                                                         
Mining                                (3)        8        13                    
Gas                                   -          (371)    (370)                 
Synfuels                              -          (2)      64                    
Oil                                   (26)       (9)      2                     
Synfuels International                34         -        -                     
Polymers                              -          5        9                     
Solvents                              23         47       152                   
Olefins & Surfactants                 6          466      (707)                 
Other chemical                        (229)      9        8                     
businesses                                                                      
Nitro                                (114)      -        -                      
Wax                                  (118)      (1)      (4)                    
Other                                3          10       12                     
Other businesses                      (109)      (315)    (311)                 
Capital items                         (304)      (162)    (1 140)               
Headline earnings per    Rand         14,56      12,39    25,37                 
share                                                                           
Note: The salient features for December 2006 have been restated to              
incorporate the effect of the reclassification of Sasol O&S as a                
continuing operation.                                                           
The reader is referred to the definitions contained in the 2007                 
Sasol Limited annual financial statements.                                      
Registered office: Sasol Limited, 1 Sturdee Avenue, Rosebank, Johannesburg 2196 
PO Box 5486, Johannesburg 2000, South Africa                                    
Share registrars: Computershare Investor Services (Pty) Limited,                
70 Marshall Street, Johannesburg 2001                                           
PO Box 61051, Marshalltown 2107, South Africa,                                  
Tel: +27 11 370-7700 Fax: +27 11 370-5271/2                                     
Directors (non-executive): PV Cox (Chairman), E le R Bradley*,                  
BP Connellan*, HG Dijkgraaf (Dutch)*, MSV Gantsho*, A Jain (Indian), IN Mkhize*,
S Montsi*, TH Nyasulu, JE Schrempp (German)*, TA Wixley*                        
(executive): LPA Davies (Chief executive), KC Ramon(Chief financial officer), VN
Fakude, AM Mokaba                                                               
*Independent                                                                    
Company secretary: NL Joubert                                                   
Company registration number: 1979/003231/06, incorporated in the Republic of    
South Africa                                                                    
                     JSE              NYSE                                      
Share code:           SOL              SSL                                      
ISIN code:            ZAE000006896     US8038663006                             
American depositary receipts (ADR) program:                                     
Cusip number 803866300                                                          
ADR to ordinary share 1:1                                                       
Depositary: The Bank of New York, 22nd floor, 101 Barclay Street,               
New York, NY 10286, USA                                                         
Forward-looking statements: In this report we make certain statements that are  
not historical facts and relate to analyses and other information based on      
forecasts of future results not yet determinable, relating, amongst other       
things, to exchange rate fluctuations, volume growth, increases in market share,
total shareholder return and cost reductions. These are forward-looking         
statements as defined in the United States Private Securities Litigation Reform 
Act of 1995. Words such as "believe", "anticipate", "intend", "seek", "will",   
"plan", "could", "may", "endeavour" and "project" and similar expressions are   
intended to identify such forward-looking statements, but are not the exclusive 
means of identifying such statements. Forward-looking statements involve        
inherent risks and uncertainties and, if one or more of these risks materialise,
or should underlying assumptions prove incorrect, actual results may be very    
different from those anticipated. The factors that could cause our actual       
results to differ materially from such forward-looking statements are discussed 
more fully in our most recent annual report under the Securities Exchange Act of
1934 on Form 20-F filed on 21 November 2007 and in other filings with the United
States Securities and Exchange Commission. Forward-looking statements apply only
as of the date on which they are made, and Sasol does not undertake any         
obligation to update or revise any of them, whether as a result of new          
information, future events or otherwise.                                        
Please note: A billion is defined as one thousand million.                      
Basis of preparation and accounting policies                                    
The condensed consolidated interim financial results for the six months ended 31
December 2007 have been prepared in compliance with the Listings Requirements of
the JSE Limited, International Financial Reporting Standards (IFRS) as published
by the International Accounting Standards Board (in particular International    
Accounting Standard 34 Interim Financial Reporting) and the South African       
Companies Act, 1973, as amended.                                                
The accounting policies applied in the presentation of the interim financial    
results are consistent with those applied for the year ended 30 June 2007,      
except as follows:                                                              
-  Sasol Limited has revised the format of its interim financial                
  results in line with the amendments to IAS 34, Interim                        
  Financial Reporting. IAS 34 has been amended as a result of IAS               
  1, Presentation of Financial Statements (as revised 2007).                    
Sasol Limited has early adopted these amendments.                             
-  Sasol Limited has early adopted IFRIC 14 - IAS 19, The Limit on              
  a Defined Benefit Asset, Minimum Funding Requirements and their               
  Interaction. The adoption did not have a significant impact.                  
These condensed consolidated interim financial results have been prepared in    
accordance with the historic cost convention except that certain items,         
including derivatives and available for sale financial assets, are stated at    
fair value.                                                                     
The condensed consolidated interim financial results are presented in rand,     
which is Sasol Limited`s functional and presentation currency.                  
Related party transactions                                                      
The group, in the ordinary course of business, entered into various sale and    
purchase transactions on an arm`s length basis at market rates with related     
parties.                                                                        
Significant changes in contingent liabilities since 30 June 2007                
In January 2008, Yellow Rock was awarded damages in the amount of US$9,2        
million, plus interest against Sasol North America LLC, who will be appealing   
the decision. A liability for the damages amounting to R76 million (US$11       
million) has been recognised at 31 December 2007.                               
Independent review by the auditors                                              
The condensed consolidated interim statement of financial position at 31        
December 2007 and the related condensed consolidated interim income statement,  
statements of comprehensive income, changes in equity and cash flows for the six
months then ended have been reviewed by KPMG Inc. Their unmodified review report
is available for inspection at the registered office of the company.            
10 March 2008                                                                   
Johannesburg                                                                    
Issued by sponsor: Deutsche Securities (SA) (Proprietary) Limited               
Date: 10/03/2008 06:59:56 Supplied by www.sharenet.co.za                     
Produced by the JSE SENS Department                             .                  
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information disseminated through SENS.                                          



                                        
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