Rex True final results June 2018
Revenue for the year increased 10.8% to R608.5 million (2017: R549 million) and operating profit shot up by 1 765.2% to R14.1 million (2017: R755 000). Profit for the period attributable to ordinary and "N" ordinary shareholders soared to R12.8 million (2017: R3.2 million). Furthermore, headline earnings per share grew by 257.5% to 62.2 cents per share (2017: R17.4 cents per share).
A dividend on the 6% cumulative preference shares for the six months ended 30 June 2018 in the amount of 6 cents per share was declared by the board of directors on 15 June 2018 and was paid on 9 July 2018. The directors have not proposed a dividend in respect of the ordinary and "N" ordinary shares.
Queenspark is making progress on its strategic initiatives to build new channels of growth and increase brand awareness. The introduction of third party brands has been well received by the customer and our new house brands continue to grow and complement our existing ranges. Customer relationship management has been, and continues to be, a major focus, and we are beginning to reap the rewards of enhanced customer knowledge and understanding. The introduction of lay-by as a form of payment has been well received and continues to gain traction. We will continue to open new stores that are considered feasible, with a view to expanding our footprint both in South Africa and Namibia.
The first seven weeks of the new financial year have exceeded management's expectations and whilst we are fully aware that we are trading in difficult economic times, we remain confident in our future and in our ability to deliver sustainable growth and value creation for shareholders.
Rex has the intention to develop two further properties in the medium term, both situated in the Cape Town area, and is continuing to consider development options in this regard. One of the undeveloped properties is classified as a heritage site which will limit development opportunities and has caused a delay in the development process.