THE DON GROUP LIMITED - Unaudited condensed consolidated interim results for the period ended 31 December 2013

Release Date: 31/03/2014 10:36
Code(s): DON
 
Wrap Text
Unaudited condensed consolidated interim results for the period ended 31 December 2013

THE DON GROUP LIMITED
Incorporated in the Republic of South Africa
(Registration number 1946/023123/06)
Share code: DON     
ISIN: ZAE000008462
(“The Don” or “the Company” or “the Group”) 

Unaudited condensed consolidated interim results for the period ended 31 December 2013

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
for the period ended 31 December 2013
                              Six months   Six months         Year
                                   ended        ended        ended
                                Dec 2013     Dec 2012    June 2013
                               Unaudited    Unaudited      Audited
                                   R 000        R 000        R 000
CONTINUING OPERATIONS
Revenue                                -            -            -
Loss for the period from 
continuing operations
and total comprehensive 
loss for the period                (605)        (550)      (2,740)
Attributable to:
- Equity holders of parent         (605)        (550)      (2,740)
- Non-controlling interests            -            -           -
                                   (605)        (550)      (2,740)
DISCONTINUED OPERATIONS
Revenue                              569       8,059        13,926
Operating loss before 
impairment, fair value 
adjustments and disposalof 
discontinued operations          (3,331)      (1,789)        (351)
Impairment losses                      -            -        (309)
Fair value adjustment on 
investment property 
classified as held for sale            -            -      (8,002)
Profit/(Loss) on 
disposal of asset                  4,071       14,224      (8,368)
Interest received                    544           12           21
Interest paid                          -      (4,207)      (6,332)
Profit/(Loss) before tax           1,284        8,240     (23,341)
Taxation                         (1,978)      (2,050)        8,839
Taxation - Current                 (518)      (2,050)      (1,324)
Taxation - Deferred              (1,460)            -       10,163
(Loss)/Profit for the period from
discontinued operations            (694)        6,190     (14,502)

Attributable to:
- Equity holders of parent         (694)        6,190     (14,502)
- Non-controlling interests            -            -            -
                                   (694)        6,190     (14,502)
Other comprehensive income 
for the period                         -            -       12,604
- Gross revaluation surplus            -            -            -
- Deferred taxation                    -            -       12,604
Total comprehensive 
(loss)/income for 
the period from discontinued 
operations                         (694)        6,190      (1,898)
Attributable to:
- Equity holders of parent         (694)        6,190      (1,898)
- Non-controlling interests           -            -             -
                                   (694)        6,190      (1,898)
Total comprehensive 
(loss)/income for the 
period from continuing and 
discontinued operations
Attributable to:
- Equity holders of parent       (1,299)        5,640      (4,638)
- Non-controlling interests            -            -            -
                                 (1,299)        5,640      (4,638)
Headline loss                    (4,618)      (6,534)      (3,705)
Number of ordinary shares
in issue (000’s)                 294,485      294,485      294,485
Weighted average number of
ordinary shares in 
issue (000’s)                    294,485      294,485      294,485
(Loss)/Earnings 
per share (cents)                 (0,44)         1,92       (5,85)
Headline loss per 
share (cents)                     (1,57)       (2,22)       (1,26)
Loss per share from
continuing operations (cents)     (0,21)       (0,19)       (0,93)
Headline loss per share
from continuing 
operations (cents)                (0,21)       (0,19)       (0,93)
Reconciliation of headline loss
(Loss)/Profit for period
attributable to ordinary 
shareholders                     (1,299)        5,640     (17,242)
Impairment of assets                   -            -          309

Fair value adjustment on
investment property classified
as held for sale                       -            -        8,002
(Profit)/Loss on 
disposal of assets               (4,071)     (14,224)        8,368
Tax effect of above                   752        2,050      (3,142)
Headline loss                    (4,618)      (6,534)      (3,705)


CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
at 31 December 2013

                                Dec 2013     Dec 2012    June 2013
                               Unaudited    Unaudited      Audited
                                   R 000        R 000        R 000
ASSETS
Non-current assets                   115            -            -
Property, plant and equipment        115            -            -
Current assets                    69,585        3,409       20,406
Other financial assets                  -          165            -
Trade and other receivables          733        1,023          389
Current tax receivable             5,695            -            -
Cash and cash equivalents         63,157        2,221       20,017
Non-current assets held for sale      -       209,312       70,929
Total assets                      69,700      212,721       91,335
EQUITY AND LIABILITIES
EQUITY
Share capital and reserves        67,644       79,771       68,943
                                  67,644       79,771       68,943
LIABILITIES
Non-current laibilities                -       28,353        5,396
Deferred tax liability                 -       28,353        5,396
Current liabilities                2,056       30,241       16,996
Trade and other payables           2,056       23,650       13,816
Short-term portion of 
interest-bearing liabilities          -        1,879             -
Non-interest bearing liabilities      -          747             -
Current tax payable                   -        3,882         3,180
Bank overdraft                        -           83             -
Liabilities associated 
with non-current 
assets held for sale                   -       74,356            -
Total equity and liabilities      69,700      212,721       91,335
Net asset value per 
share (cents)                      22.97        27.09        23.41

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
for the period ended 31 December 2013

                                Dec 2013     Dec 2012    June 2013
                               Unaudited    Unaudited      Audited
                                   R 000        R 000        R 000
Attributable to equity 
holders of parent:
Balance at beginning 
of period                        68,943        73,581       73,581
Total comprehensive 
(loss)/income
for the period                   (1,299)        6,190      (4,638)
Balance at end of period          67,644       79,771       68,943
Total equity                      67,644       79,771       68,943

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
for the period ended 31 December 2013

                               Dec 2013     Dec 2012    June 2013
                               Unaudited    Unaudited      Audited
                                   R 000        R 000        R 000
Operating activities            (31,744)      (4,391)     (24,184)
Investing activities              74,884       23,000      134,800
Financing activities                  -      (15,000)     (89,128)
Net cash inflow                   43,140        3,609       21,488
Cash and cash equivalents
at beginning of period           20,017       (1,471)      (1,471)
Cash and cash equivalents 
at end of period                  63,157       2,138        20,017

CONDENSED SEGMENTAL ANALYSIS
for the period ended 31 December 2013

                               Dec 2013     Dec 2012    June 2013
                               Unaudited    Unaudited      Audited
                                   R 000        R 000        R 000
Segmental revenue
Residential letting                  569        8,059       13,926
Net revenue                          569        8,059       13,926
Segmental loss before 
interest and tax
Residential letting                (126)      (1,789)      (3,091)
Loss before interest and tax       (126)      (1,789)      (3,091)

COMMENTARY
The disposal of The Don properties were approved by shareholders in General Meetings held on 24 October 2012 and 20 February 2013. Following these disposals, substantially all the liabilities of The Don were settled.

Subsequently, all properties were transferred between November 2012 and August 2013. Accordingly, with effect from 15 August 2013, The Don was classified as a “cash shell” in terms of the Listings Requirements of the JSE Limited (“JSE”). 

The Listings Requirements required The Don to enter into an agreement relating to the acquisition of viable assets (“Acquisition”) that satisfy the conditions for listing within a period of six months failing which its listing would be suspended. 

The Don had until 15 February 2014 to enter into an agreement relating to an Acquisition. As The Don has been unable to enter into the aforementioned agreement within the requisite period of time, shareholders were advised on 19 February 2014 that caution was no longer required to be exercised when dealing in The Don’s securities, and that the JSE had advised The Don that its listing would be suspended with immediate effect.

Furthermore, on 19 February 2014 shareholders were advised that the board of directors of The Don (“the Board”) had taken the decision to make an offer to shareholders to buy back the shares in The Don at a price equal to the net asset value of The Don and thereafter to delist The Don from the JSE. The Board wishes to conclude the aforementioned offer as soon as practically possible and accordingly, shareholders will be advised of further details in this regard in due course.

BOARD COMPOSITION
As announced on SENS on 26 July 2013, the JSE granted approval on 5 July 2013 to the company employing its Financial Director, Ms Uviwe Vuyokazi Mzilikazi, on a part time basis.

BASIS OF PREPERATION
The unaudited condensed consolidated results for the six months ended 31 December 2013 have been prepared by the Financial Director, Uviwe Mzilikazi, CA(SA), in accordance with International Financial Reporting Standards (“IFRS”), IAS 34 – Interim Financial Reporting, the SAICA Financial Reporting Guides as issued by the Accounting Practices Committee, the Financial Reporting Pronouncements as issued by the Financial Reporting Standards Council; the Companies Act, 2008 (Act 71 of 2008), as amended, and the Listings Requirements of JSE. The interim results have not been audited or reviewed by the Group’s auditors.

ACCOUNTING POLICIES
The accounting policies and methods of computation applied in the preparation of these unaudited condensed consolidated financial results for the six months ended 31 December 2013, which are based on reasonable judgments and estimates, are in accordance with IFRS and are consistent with those applied in the preparation of the Group’s annual financial statements for the year ended 30 June 2013.

CAPITAL REDUCTION
A capital reduction payment  of 16 cents per share was declared on 8 January 2014 as a capital repayment  from contributed tax capital.

SUBSEQUENT EVENTS
Subsequent to The Don not entering into an agreement relating to an acquisition within six months of the transfer of the last of its remaining buildings, The Don’s listing was suspended effective 19 February 2014. 

Following the suspension, and as announced on SENS on 19 February 2014, the Board has taken the decision to make an offer to shareholders to buy back the shares in The Don and thereafter to delist The Don from the JSE.

By order of the Board.
Salukazi Dakile-Hlongwane               Thabiso Tlelai
Chairperson                             Chief Executive Officer

31 March 2014 


Directors:
Thabiso Tlelai (Chief Executive Officer), 
Uviwe Mzilikazi (Financial Director), 
Salukazi Dakile-Hlongwane (Chairperson)*, 
Thandi Khumalo*, Hatla Ntene*  

* Independent Non-Executive

Registered office: 
65 Kyalami Boulevard, Kyalami Business Park, Kyalami, 1684

Company Secretary:
Whitney Green

Transfer secretaries:
Link Market Services South Africa Proprietary Limited

Date: 31/03/2014 10:36:00 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.

Email this JSE Sens Item to a Friend.

Share This Story