Wrap Text
Reviewed results announcement 31 March 2013
AH-VEST LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1989/000100/06)
Share code: AHL ISIN code: ZAE000129177
REVIEWED CONDENSED CONSOLIDATED FINANCIAL RESULTS FOR THE TWELVE
MONTHS INTERIM PERIOD ENDED 31 MARCH 2013 AND RENEWAL OF CAUTIONARY
ANNOUNCEMENT
Condensed statement of financial position
Reviewed Audited
12 Months Ended Year Ended
31 March 2013 31 March 2012
R R
Assets
Non-current Assets 8 869 017 13 847 812
Property, Plant & Equipment 7 863 914 12 565 157
Deferred tax 450 000 450 000
Intangible asset 555 103 832 655
Current Assets 43 598 193 34 800 064
Inventories 14 041 565 16 063 276
Other financial assets 865 066 -
Trade & other receivables 19 263 693 15 633 680
Cash & cash equivalents 3 723 665 3 103 108
Non-current asset held for sale 5 704 204 -
Total Assets 52 467 210 48 647 876
Equity and Liabilities
Capital and Reserves 18 155 796 19 096 075
Share capital 21 293 071 21 293 071
Reserves 4 688 610 4 688 610
Accumulated loss (7 825 885) (6 885 606)
Non-current liabilities 9 180 720 11 407 586
Finance lease obligation - 193 811
Other financial liabilities 9 180 720 11 213 775
Current liabilities 25 130 694 18 144 215
Other financial liabilities 1 949 687 1 195 418
Finance lease obligation 193 508 248 673
Trade and other payables 22 987 499 16 650 245
Operating lease liability - 49 879
Total Equity and Liabilities 52 467 210 48 647 876
Net asset value per share (cents) 17.80 18.72
Tangible net asset value per share (cents) 17.26 17.91
Shares in issue at period end 101 973 333 101 973 333
Condensed statement of comprehensive income
Reviewed Audited
12 months ended Year ended
31 March 2013 31 March 2012
R R
Revenue 108 913 842 106 639 879
Cost of sales (69 381 090) (64 859 794)
Gross profit 39 532 752 41 780 085
Other income 516 603 280 405
Operating expenses (39 949 379) (37 192 244)
Operating profit before finance costs 99 976 4 868 246
Investment revenue 21 779 9 783
Finance costs (1 062 034) (1 221 828)
(Loss)/Profit before tax (940 279) 3 656 201
Taxation - -
(Loss)/Profit for the period (940 279) 3 656 201
Other comprehensive income for the year net
of taxation - -
Total comprehensive (loss)/income (940 279) 3 656 201
Earnings before interest, taxation,
depreciation and amortisation (“EBITDA”) 2 417 603 6 708 864
Depreciation (2 040 076) (1 563 067)
Amortisation (277 551) (277 551)
Investment income 21 779 9 783
Finance cost (1 062 034) (1 221 828)
(Loss)/Profit before taxation (940 279) 3 656 201
Attributed to:
Equity holders of the company (940 279) 3 656 201
Minority interest - -
Headline earnings reconciliation:
(Loss)/profit attributed to equity holders of the
company (940 279) 3 656 201
Adjusted for:
Profit on sale of property, plant and
equipment (40 000) -
Impairment of property, plant and equipment - 324 033
Headline (loss)/earnings (980 279) 3 980 234
Weighted average shares in issue 101 973 333 101 973 333
Diluted weighted average shares in issue 101 973 333 101 973 333
Per share information (cents)
(Loss)/Earnings per share (0.92) 3.59
Diluted (loss)/earnings per share (0.92) 3.59
Headline (loss)/earnings per share (0.96) 3.90
Diluted Headline (loss)/earnings per share (0.96) 3.90
Statement of changes in equity
Reviewed Audited
12 months ended Year ended
31 March 2013 31 March 2012
R R
Capital and reserves 21 293 071 21 293 071
Revaluation of Land and Buildings 4 688 610 4 688 610
Shares issued - -
Share issue expenses - -
Accumulated loss (7 825 885) (6 885 606)
Capital and reserves 18 155 796 19 096 075
Condensed statement of cash flows
Reviewed Audited
12 months ended Year ended
31 March 2013 31 March 2012
R R
Net cash generated from/(utilised in)
operating activities 6 013 419 (1 781 058)
Net cash used in investing activities (3 015 785) (547 418)
Net cash used in financing activities (2 377 077) (341 589)
Net increase/(decrease) in cash and cash
equivalents 620 557 (2 670 065)
Cash and cash equivalents at the beginning
of period 3 103 108 5 773 173
Cash and cash equivalents at end of
period 3 723 665 3 103 108
COMMENTARY
The board is pleased to present the reviewed results for the 12 month interim period ended
31 March 2013. Shareholders are reminded that the Company has changed its year end to 30
June each year and accordingly reviewed results for the twelve months ended 31 March 2013
are required to be published.
BASIS OF PREPARATION
The reviewed interim condensed consolidated financial results for the 12 months ended of the
Group are prepared on a going concern basis. The reviewed interim condensed consolidated
financial results have been prepared in accordance with the framework concepts and the
measurement and recognition requirements of IFRS and the SAICA Financial Reporting Guides
as issued by the Accounting Practices Committee and Financial Reporting Pronouncements as
issued by Financial Reporting Standards Council, the presentation and disclosure requirements
of IAS 34: Interim Financial Reporting, the JSE Limited Listings Requirements and the
requirements of the South African Companies Act 71 of 2008. The accounting policies are in
terms of IFRS and are consistent with those of the previous annual financial statements. The
principal accounting policies, which comply with International Financial Reporting Standards,
have been consistently applied in all material respects in the current and comparative period. All
new interpretations and standards were assessed and adopted with no material impact.
These condensed consolidated results have been reviewed by our auditors Nexia SAB&T, who
have issued an unmodified review conclusion on the second interim results for the twelve
months ended 31 March 2013. A copy of the review conclusion is available for inspection at the
registered office of the company.
The results have been prepared by the Financial Director, Mr. R. Darsot.
SEGMENTAL ANALYSIS
No segmental analysis has been presented as the company operates primarily within South
Africa. An analysis of the revenue of customers over 10% is set out below:
Customer Analysis
2013 2012
Customer A 49% 49%
Customer B 32% 31%
ACQUISITIONS AND DISPOSALS
Disposal of head office and relocation of factory and head office
During the period under review, the Company concluded an agreement to dispose of its head
office premises, located at 103 Booysens Reserve Road Johannesburg, with effect from the
date of transfer.
The total cash consideration for the disposal of the property is R5 150 000 (Five million one
hundred and fifty thousand Rand) and the proceeds of the disposal, after associated costs, will
be utilised to reduce the Land Bank liability. Delays have been experienced in finalising the
transfer of the property and receipt of the proceeds.
Pursuant to the disposal of the aforementioned premises as well as due to the fact that the lease
at the Tarlton factory premises was terminating in January 2013, the Company entered into a
lease agreement with JR209 Investments (Pty) Ltd to rent the premises known as Twenty One
Industrial Estate, with the purpose of relocating the factory and headquarters into one location in
Clayville, Johannesburg.
A dispute has arisen in relation to this lease agreement as a notification of cancellation of lease
has been received following a demand for payment of approximately R42 million. The
Company’s attorneys are currently being consulted in this regard and the matter is currently
regarded as being frivolous. Due to the quantum of, and uncertainty surrounding this dispute,
the Company would like to advise shareholders to continue to exercise caution when dealing in
their shares until a further announcement is made.
In the interim, the lease at the Tarlton factory was temporarily extended and lease negotiations
for alternate premises in Eikenhof are underway.
ISSUE AND REPURCHASE OF SHARES
There were no share issues or share repurchases during the 12 months under review.
DIVIDENDS
No dividends were declared during the period. (2012: Nil).
CHANGE IN YEAR END
The Company changed its year end from 31 March to 30 June each year, in line with that of its
new holding company.
CHANGE IN DIRECTORS
During the period under review, the following board changes occurred:
Director Appointed Resigned
Nobuhle Gloria Mthethwa 1 November 2010 24 October 2012
Sanjay Paramanand Soni 29 February 2012 22 October 2012
Suresh Naidoo 2 February 2012 23 October 2012
Melville Aubrey Hill 02 September 2008 04 June 2013
Ismail Ebrahim Darsot 17 August 2012
Muhammed Naasif Ismail Darsot 17 August 2012
Bilaal Ismail Darsot 17 August 2012
Shuaib Ismail Darsot 17 August 2012
Raees Darsot 17 August 2012
Riyaaz Yousuf Noorbhai 15 January 2013
Haroon Takolia 10 December 2012
Marthinus Stephanus Appelgryn 12 December 2012
FUTURE PROSPECTS
Following the change in control of the Company and due to the unavailability of the Clayville
factory development and the current Tarlton factory lease coming to an end, the factory
premises will be moved to the 200-acre estate in Eikenhof, Johannesburg, from which all of the
other businesses owned by Eastern Trading Company are operated.
We have continued to operate our current Tarlton factory, to defend our shelf space at a higher
cost.
The new production lines are expected to be commissioned in the second half of the 2013
calendar year. Production trials are expected to commence in the same period.
The board of directors are confident that any losses incurred as a result of the current factory not
producing the required volumes will be made up in the summer 2013/14 with increased volumes
expected out of the new “state of the art” plant
RENEWAL OF CAUTIONARY ANNOUNCEMENT
As previously announced, due to the issues surrounding the cancellation of the factory lease as
detailed above, shareholders are advised to continue to exercise caution when dealing in their
securities until a further announcement is made.
I Darsot
Johannesburg
28 June 2013
Directors:
Executive Directors: I Darsot (Chairman/CEO); MN Darsot; B. Darsot; S. Darsot; R. Darsot;
MT Pather
Non-Executive Directors: H Takolia*; MS Appelgryn*; R Noorbhai (*independent)
Registered address:
Arcay House, Number 3 Anerley Road, Parktown, 2193
Designated Advisors Transfer secretaries
Arcay Moela Sponsors (Pty) Ltd Computershare Investor Services (Pty) Ltd
Auditors Company Secretary
Nexia SAB&T Arcay Client Support (Pty) Ltd
Date: 28/06/2013 05:24:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of
the information published on SENS. The JSE, their officers, employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature, howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
Sharenet Sites 
