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Unaudited condensed interim results for the six months ended 31 August 2013
Gooderson Leisure Corporation Limited
(Incorporated in the Republic of South Africa)
(Registration Number: 1972/004241/06)
(Share Code: GDN ISIN Code: ZAE000084984)
(“Gooderson”, “the company” or “the group”)
UNAUDITED CONDENSED INTERIM RESULTS FOR THE SIX MONTHS ENDED 31 AUGUST 2013
HIGHLIGHTS
- REVENUE UP 14%
- OPERATING PROFIT UP 21%
- HEADLINE EARNINGS (HEPS) UP 55%
CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION
Unaudited Unaudited Audited
31 Aug 2013 31 Aug 2012 28 Feb 2013
R’000 R’000 R’000
ASSETS
Non-current assets 238 739 198 062 232 151
Property, plant and equipment 213 843 178 845 207 703
Goodwill 999 999 999
Investment in associate 824 402 818
Timeshare development 15 406 10 539 15 863
Long term debtors 7 667 7 277 6 768
Current assets 19 400 23 601 27 708
Inventories 1 944 1 855 1 745
Other financial assets 175 175 175
Current tax receivables 333 — 196
Trade and other receivables 13 651 14 915 16 125
Cash and cash equivalents 3 297 6 656 9 467
Total Assets 258 139 221 663 259 859
EQUITY AND LIABILITIES
Equity capital and reserves 181 159 155 861 181 533
Stated capital 16 276 15 916 15 916
Reserves 76 317 54 731 76 297
Retained income 88 566 85 214 89 320
Non current liabilities 54 366 50 398 55 956
Other financial liabilities 28 014 32 348 29 359
Deferred income 3 430 4 002 3 716
Deferred tax 22 922 14 048 22 881
Current liabilities 22 614 15 404 22 370
Other financial liabilities 4 195 3 594 4 367
Current tax payable — 234 —
Trade and other payables 17 847 10 076 17 431
Deferred income 572 572 572
Bank overdraft — 928 —
Total liabilities 76 980 65 802 78 326
Total Equity and Liabilities 258 139 221 663 259 859
Shares in issue 120 032 787 120 000 000 120 000 000
Net asset value per share (cents) 150.92 129.88 151.28
Net tangible asset value per share (cents) 150.09 129.05 150.44
CONDENSED CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME
Unaudited Unaudited Audited
31 Aug 2013 31 Aug 2012 28 Feb 2013
R’000 R’000 R’000
Revenue 55 977 49 034 110 562
Cost of Sales (8 171) (7 446) (16 451)
Gross Profit 47 806 41 588 94 111
Net operating expenses (41 553) (36 409) (80 529)
Operating profit 6 253 5 179 13 582
Investments revenue 188 273 460
Finance costs (1 398) (1 657) (3 141)
Profit on Sale of Business — 15 793 15 793
Income from equity accounted investments 5 16 432
Depreciation and impairment (2 956) (3 377) (5 644)
Profit before tax 2 092 16 227 21 482
Taxation (646) (504) (1 926)
Normal taxation (646) (304) (1 726)
Secondary tax — (200) (200)
Profit for the period / year 1 446 15 723 19 556
Revaluation surplus on property valuation — — 29 150
Taxation related to components of other comprehensive income — — (7 352)
Other comprehensive income for the period / year net of taxation — — 21 798
Total comprehensive income 1 446 15 723 41 354
Reconciliation of headline earnings:
Profit attributable to ordinary shareholders 1 446 15 723 19 556
Profit on sale of Business / Assets (28) (14 810) (14 791)
Headline earnings 1 418 913 4 765
Weighted average shares in issue 120 032 787 120 000 000 120 000 000
BASIC, HEADLINE EARNINGS PER SHARE
Basic earnings per share (cents) 1.20 13.10 16.30
Diluted earnings per share (cents) 1.16 12.58 15.64
Headline earnings per share (cents) 1.18 0.76 3.97
Diluted headline earnings per share (cents) 1.13 0.73 3.81
Dividend per share (cents) — — 1.60
CONDENSDED CONSOLIDATED STATEMENT OF CASH FLOWS
Unaudited Unaudited Audited
31 Aug 2013 31 Aug 2012 28 Feb 2013
R’000 R’000 R’000
Cash flows from operating activities 6 693 (4 830) 5 856
Cash flows from investing activities (9 505) 5 089 358
Cash flows from financing activities (3 358) (4 303) (6 519)
Net movement in cash and cash equivalents (6 170) (4 044) (305)
Cash and cash equivalents at beginning of the period 9 467 9 772 9 772
Cash and cash equivalents at end of the period 3 297 5 728 9 467
SEGMENTAL REPORT
31 AUGUST 2013 – UNAUDITED
Revenue EBITDA Assets Liabilities
R’000 R’000 R’000 R’000
Hotels and lodges 46 513 4 428 221 832 47 644
Timeshare 9 464 1 825 34 974 6 414
Total segments 55 977 6 253 256 806 54 058
Unallocated corporate assets and liabilities ? ? 1 333 22 922
Total 55 977 6 253 258 139 76 980
SEGMENTAL REPORT
31 AUGUST 2012 – UNAUDITED
Revenue EBITDA Assets Liabilities
R’000 R’000 R’000 R’000
Hotels and lodges 43 844 1 887 185 622 9 722
Timeshare 5 190 3 292 35 042 42 032
Total segments 49 034 5 179 220 664 51 754
Unallocated corporate assets and liabilities — — 999 14 048
Total 49 034 5 179 221 663 65 802
CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
Total stated Share based Revaluation Total Retained Total
capital payment reserve reserves income Equity
reserve
Group R’000 R’000 R’000 R’000 R’000 R’000
Balance at 01 March 2012 15 916 400 54 332 54 732 71 491 142 139
Changes in equity
Total comprehensive income for the year — — — — 19 556 19 556
Transfer of share based payment reserve — (273) — (273) 273 —
Share based payments reserves movement — 40 — 40 — 40
Revaluation surplus — — 21 798 21 798 — 21 798
Dividends — — — — (2 000) (2 000)
Total changes — (233) 21 798 21 565 17 829 39 394
Balance at 1 March 2013 15 916 167 76 130 76 297 89 320 181 533
Changes in equity
Total comprehensive income for the year — — — — 1 446 1 446
Share based payment reserve movement — 20 — 20 — 20
Dividends — — — — (2 200) (2 200)
Options exercised during the year 360 — — — — 360
Total changes 360 20 — 20 (754) (374)
Balance at 31 August 2013 16 276 187 76 130 76 317 88 566 181 159
COMMENTARY
OVERVIEW AND FINANCIAL RESULTS
Gooderson Leisure revenue and profits from continuing operations for the six months to August 2013 showed continued sustainable
growth in all of its core businesses compared to the previous corresponding period if the sale of the Beach Hotel in June 2012 of
R15.79 million was excluded. The group has continued to pursue its growth strategy and expansion projects.
Group revenue from continued operations increased to R55.97 million, up by 14% compared to the period ending August 2012.
Operating profit also showed positive growth to R6.25 million an increase of 21%. Headline earnings per share (HEPS) increased by
55% to 1.18 cents per share.
The Net Asset Value (NAV) per share increased by 16% from 129.88 cents per share to 150.92 cents per share primarily due to the
revaluation of all properties which was done by an independent valuer and capex spend to ensure that our assets remain best in class.
PROSPECTS AND DEVELOPMENT ACTIVITY
The group is actively pursuing new growth and business strategies across its brand portfolio to maintain and increase the current sales
momentum and to grow market share. We are well positioned to accelerate growth once the economy begins to show positive signs.
The group has proceeded with a R20 million expansion at Monks Cowl Golf Resort in Central Drakensberg which included the
construction of 18 new rooms, a new reception and upgrading the existing six rooms this year. Other improvements include the
construction of a large bird park at Dumazulu Game Lodge near Hluhluwe and the upgrading of the existing conference room.
The group has also added new revenue producing facilities at some of its other resorts.
In addition, the group has engaged an outside marketer to sell timeshare weeks (ten units) at Kloppenheim Country Estate near
Machadadorp. Further feasibility has been completed with a view to introduce timeshare units at Bushlands Game Lodge.
DIVIDEND
The Gooderson Leisure board deems it prudent not to declare an interim dividend at this stage in the light of the group’s cashflow and
capital requirements needed for growth and development.
SUBSEQUENT EVENTS
The board is pleased to announce that it has settled in full the tax dispute with the South African Revenue Service on
6 September 2013 for one of its subsidiary companies.
A subsidiary Bushlands Game Lodge (Pty) Ltd has purchased an extension to the Bushlands Game Lodge Property for R2.2 million and
the property will be transferred in December 2013.
APPRECIATION
The board would like to take this opportunity to thank the various management teams for their sterling efforts during this reporting
period, as well as all the business partners, customers, suppliers and shareholders for their ongoing support.
CONDENSED NOTES TO THE UNAUDITED INTERIM FINANCIAL RESULTS FOR THE SIX MONTHS ENDED 31 AUGUST 2013
1) BASIS OF PREPARATION
These condensed, unaudited interim financial statements have been prepared in accordance with International Financial Reporting
Standards (IFRS), in accordance with IAS 34 – Interim financial reporting, the listings requirements of the JSE Limited and the
Companies Act, 2008 (Act 71 of 2008) of South Africa as amended. The accounting policies applied in preparing these interim
financial statements are consistent with those presented in the annual financial statements for the year ended 28 February 2013
and have not been audited or reviewed by Gooderson’s auditors.
2) SEGMENT INFORMATION
The group operates two main business segments – Hotels and Lodges and develops and manages timeshare resorts.
The executive directors assess the performance of the operating segments as each of these operating segments is managed
separately.
On behalf of the board.
Alan Gooderson Rajen Nannoolal
Executive Chairman Financial Director
16 October 2013
Corporate Information
Executive Directors AW Gooderson, G M Castleman, C M De Klerk, R Nannoolal,
Non Executive Directors B R Warmback, M A Pottier, S Q Moloko
Company Secretary and R Nannoolal - 85 O.R. Tambo Parade, Durban, 4001
Registered Office: (PO Box 10305, Marine Parade, 4056)
Tel: +27 31 337 2672 Fax: +27 31 337 2621
Transfer Secretaries: Computershare Investor Services (Pty) Ltd - 70 Marshall Street, Johannesburg, 2001
(PO Box 61051, Marshall Street, Johannesburg, 2001)
Tel: +27 11 370 5000 Fax: +27 11 688 5210
Attorneys: Berkowitz Cohen Wartski - 17th Floor, Southern Life House, Durban, 4001
(PO Box 3704, Durban, 4001)
Tel: +27 31 314 9300 Fax: +27 31 314 9302
Designated Adviser: Exchange Sponsors (2008) (Pty) Ltd - 44A Boundary Road, Inanda, 2196
(PO Box 411216, Craighall, 2024)
Tel: +27 11 880 2113 Fax: 086 556 5720
Auditors: Grant Thornton - 2nd Floor, 4 Pencarrow Crescent, La Lucia Ridge Office Estate, La Lucia, 4019
(PO Box 950, Umhlanga Rocks, 4320)
Tel: +27 31 576 5500 Fax: +27 31 576 5555
Commercial Bankers: First National Bank Limited - Acacia House, 8 Rydall Vale Park, Douglas Saunders Drive, La Lucia Ridge, 4320
(PO Box 4130, The Square, Umhlanga Rocks, 4320)
Tel: +27 31 580 6000 Fax: +27 31 580 6045
Company’s Website: www.goodersonleisure.co.za
Date: 16/10/2013 08:45:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
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