Wrap Text
Summarised Consolidated Preliminary Results for the year ended 31 March 2014
CADIZ HOLDINGS LIMITED
(Incorporated in the Republic of South Africa)
("Cadiz", "the group" or "the company")
Registration number: 1997/007258/06
JSE share code: CDZ
ISIN: ZAE000017661
KEY FEATURES
Diluted HEPS up 23% to 2.7 cents
Operating costs down 3%
Dividend per share 4.4 cents
Assets under management R28.5 billion
Maintained level 3 BBBEE status
SUMMARISED CONSOLIDATED PRELIMINARY RESULTS
FOR THE YEAR ENDED 31 MARCH 2014
The integrated report and annual financial statements of Cadiz Holdings Limited,
which are summarised by this report, will be published on the group website
www.cadiz.co.za on 30 June 2014.
The summarised consolidated financial statements have been prepared under the
supervision of the finance director, Mr F C Shaw (CA) SA.
SUMMARISED CONSOLIDATED PRELIMINARY STATEMENT OF COMPREHENSIVE INCOME
Restated
Audited Audited
% 12 months 12 months
(R thousands) Change 31 Mar 14 31 Mar 13
Continuing operations
Gross operating revenue (6) 138 593 147 504
Interest income 24 27 138 21 954
Net investment income (14) 47 223 55 124
Net income from investments 47 171 55 010
Foreign exchange gain 52 114
Income attributable to linked assets (2) 4 486 4 560
Net fair value gains on linked financial instruments 532 108 510 794
Linked liability adjustment (527 622) (506 234)
Fair value adjustment on third-party mutual funds 1 (37 955) (37 694)
Operating expenses (3) (165 386) (171 037)
Operating profit (31) 14 099 20 411
Finance costs (124) (154)
Share of loss of associate (66) (3 843) (11 345)
Profit before taxation 14 10 132 8 912
Taxation (2 332) (3 803)
Total comprehensive income from continuing operations 53 7 800 5 109
Discontinued operation
Loss from discontinued operation (1 904) -
Total comprehensive income 15 5 896 5 109
Earnings/(Loss) per share (cents)
Basic - from continuing operations 50 3.3 2.2
Basic - from discontinued operation (0.8) -
14 2.5 2.2
Diluted - from continuing operations 50 3.3 2.2
Diluted - from discontinued operation (0.8) -
14 2.5 2.2
NOTES TO THE SUMMARISED CONSOLIDATED PRELIMINARY
STATEMENT OF COMPREHENSIVE INCOME
Reconciliation of headline earnings:
Profit attributable to equity holders of the company 5 896 5 109
Remeasurements included in equity-accounted earnings 102 -
Taxation impact (28) -
Loss/(Profit) on disposal of plant and equipment 284 (70)
Taxation impact (80) 20
Headline earnings 22 6 174 5 059
Headline earnings per share (cents)
Basic 23 2.7 2.2
Diluted 23 2.7 2.2
Share information:
Issued number of shares ('000) 245 823 253 276
Consolidated number of shares ('000) 225 505 232 957
Weighted average number of shares ('000) 231 409 232 878
Diluted weighted average number of shares ('000) 231 479 233 238
SUMMARISED CONSOLIDATED PRELIMINARY STATEMENT OF FINANCIAL POSITION
Restated
Audited Audited
(R thousands) 31 Mar 14 31 Mar 13
ASSETS
Intangible assets 239 285 238 423
Plant and equipment 5 086 5 161
Interests in associates - equity accounted 60 474 64 317
Deferred taxation 22 843 24 575
Investments backing linked funds 5 616 688 4 915 417
Financial assets - at fair value 3 856 625 3 510 265
Interests in associates - at fair value 471 813 371 487
Loans and receivables 94 720 98 465
Investment property 336 689 153 372
Cash and cash equivalents 856 841 781 828
Financial assets - at amortised cost 97 745 87 752
Financial assets - at fair value 416 232 366 930
Interests in associates - at fair value 14 795 45 074
Receivables and prepayments 61 180 66 649
Taxation 2 679 1 888
Cash and cash equivalents 126 906 179 675
Total assets 6 663 913 5 995 861
EQUITY
Capital and reserves
Ordinary share capital and premium 16 991 25 644
Treasury shares (52 880) (52 893)
Share-based payment reserve 37 610 36 173
Retained earnings 653 656 663 985
Total equity 655 377 672 909
LIABILITIES
Deferred taxation 6 590 7 694
Linked investment contract liabilities 5 410 476 4 846 601
Third-party financial liabilities arising on
consolidation of mutual funds 555 287 383 727
Provisions 5 288 4 759
Trade and other payables 30 874 73 166
Taxation 21 7 005
Total liabilities 6 008 536 5 322 952
Total equity and liabilities 6 663 913 5 995 861
Net asset value (cents per share) 291 289
Net tangible asset value (cents per share) 177 179
SUMMARISED CONSOLIDATED PRELIMINARY STATEMENT OF CASH FLOW
Restated
Audited Audited
12 months 12 months
(R thousands) 31 Mar 14 31 Mar 13
Cash flow from operating activities 1 115 620 708
Cash generated from operations 26 405 734 990
Taxation (paid)/received (8 983) 2 094
Dividends paid (16 307) (116 376)
Cash flow from investing activities 29 687 45 763
Cash flow from financing activities (8 558) 164
Net change in cash and cash equivalents 22 244 666 635
Cash and cash equivalents at beginning of year 961 503 294 868
Cash and cash equivalents at end of year 983 747 961 503
Attributable to the group 126 906 179 675
Attributable to policyholders 856 841 781 828
The cash flow includes a cash outflow from the discontinued operation of R1.9 million
in cash flow from operating activities for 31 March 2014.
SUMMARISED CONSOLIDATED PRELIMINARY STATEMENT OF CHANGES IN EQUITY
Audited Audited
12 months 12 months
(R thousands) 31 Mar 14 31 Mar 13
Share capital, share premium and treasury shares
Opening balance (27 249) (27 592)
(Cancellation)/Issue of shares (8 653) 355
Issues/(Repurchases) of A ordinary shares 13 (12)
(35 889) (27 249)
Reserves
Opening balance 700 158 811 755
Premium on issue/(cancellation) of equity-settled
share appreciation rights 82 (73)
Employee scheme - value of services provided 1 437 (257)
Total comprehensive income 5 896 5 109
Dividends paid (16 307) (116 376)
691 266 700 158
Total equity 655 377 672 909
SUMMARISED CONSOLIDATED PRELIMINARY SEGMENT REPORT
Asset
(R thousands) Management Advisory Investments Total
Audited 12 months to
31 March 2014
Segment revenue 137 222 18 209 20 107 175 538
Segment costs 143 812 13 808 - 157 620
Segment profit/(loss) (6 590) 4 401 20 107 17 918
Corporate costs (6 284)
Loss before taxation on
discontinued operation 2 341
Share of loss of associate (3 843)
Profit before taxation 10 132
Gross operating revenue (external) 112 887 17 411 8 295 138 593
Restated audited 12 months
to 31 March 2013
Segment revenue 140 219 10 319 27 735 178 273
Segment costs 134 823 10 802 3 784 149 409
Segment profit/(loss) 5 396 (483) 23 951 28 864
Corporate costs (8 607)
Share of loss of associate (11 345)
Profit before taxation 8 912
Gross operating revenue (external) 120 602 8 695 18 207 147 504
Year-on-year percentage movement
Segment revenue (2%) 76% (28%) (2%)
Segment costs 7% 28% (100%) 5%
Segment profit N/A N/A (16%) (38%)
Investments and Advisory have been shown as separate segments as the chief operating
decision-maker of the group, the executive committee, has started reviewing the
segments' results separately during the current year. The prior year Investment and
Advisory segment has been split out into the two segments. This has had no effect on
the previously reported segment totals.
NOTES TO THE SUMMARISED CONSOLIDATED PRELIMINARY FINANCIAL STATEMENTS
Basis of presentation
The summarised consolidated financial statements are prepared in accordance with the
requirements of the JSE Limited Listings Requirements for preliminary reports and the
requirements of the Companies Act applicable to summarised financial statements. The
Listings Requirements require preliminary reports to be prepared in accordance with
the framework concepts and the measurement and recognition requirements of
International Financial Reporting Standards (IFRS) and the SAICA Financial Reporting
Guides as issued by the Accounting Practices Committee and Financial Pronouncements
as issued by the Financial Reporting Standards Council and to also, as a minimum,
contain the information required by IAS 34: Interim Financial Reporting. The accounting
policies applied in the preparation of the consolidated financial statements from which
the summarised consolidated financial statements were derived are in terms of
International Financial Reporting Standards and are consistent with those accounting
policies applied in the preparation of the previous consolidated annual financial
statements, except as described below.
Accounting policies
The accounting policies applied are in terms of IFRS and consistent with those applied
in the annual financial statements for 31 March 2013, except as described below:
- IFRS 10 - Consolidated Financial Statements: Under IFRS 10, subsidiaries are all
entities (including structured entities) over which the group has control. The group
controls an entity when the group has power over an entity, is exposed to, or has
rights to, variable returns from its involvement with the entity and has the ability
to affect these returns through its power over the entity. Subsidiaries are fully
consolidated from the date on which control is transferred to the group. They are
deconsolidated from the date that control ceases.
The financial effects of the change in accounting policy are shown in the "Adoption
of IFRS 10" note.
- IFRS 12 - Disclosure of Interests in Other Entities: Additional disclosures are
required to enable users of the financial statements to evaluate the nature of, and
risks associated with, the group's interest in other entities; and the effects of
those interests on its financial position, financial performance and cash flows.
- IFRS 13 - Fair Value Measurement: IFRS 13 measurement and disclosure requirements
are applicable for the March 2014 year-end. The group has included the disclosures
required by IAS 34. Refer to the "Financial risk management" note.
Reclassification of comparative figures
Adoption of IFRS 10
The adoption of IFRS 10 has resulted in the consolidation of the Cadiz Stable Fund,
the Cadiz Protected Income Fund, the Cadiz Inflation Plus Fund and the Cadiz Property
Investment Trust. The funds over which Cadiz does not have control have been recognised
as interests in associates at fair value, as the group has the irrevocable management
agreement over the funds' asset manager. The group has applied IFRS 10 retrospectively
in accordance with the transition provisions of IFRS 10.
The tables below show the effect on the Statement of comprehensive income, Statement
of financial position, Statement of cash flow and segment report. There was no effect on
the Statement of changes in equity, earnings per share or diluted earnings per share.
31 March 2013
As IFRS 10
previously adjust-
(R thousands) reported ments Restated
Statement of comprehensive income
Gross operating revenue 156 130 (8 626) 147 504
Interest income 14 746 7 208 21 954
Net income from investments 26 275 28 735 55 010
Net fair value gains on linked
financial instruments 506 234 4 560 510 794
Fair value adjustment on third-party
mutual fund interests (6 776) (30 918) (37 694)
Operating expenses (170 078) (959) (171 037)
Statement of financial position
Assets
Investments backing linked funds 4 846 601 68 816 4 915 417
Financial assets - at fair value 4 846 601 (1 336 336) 3 510 265
Interests in associates - at fair value - 371 487 371 487
Loans and receivables - 98 465 98 465
Investment property - 153 372 153 372
Cash and cash equivalents - 781 828 781 828
Financial assets - at fair value 251 158 115 772 366 930
Interests in associates - at fair value - 45 074 45 074
Receivables and prepayments 54 943 11 706 66 649
Cash and cash equivalents 66 081 113 594 179 675
Liabilities
Third-party financial liabilities arising
on consolidation of mutual funds 50 839 332 888 383 727
Trade and other payables 51 092 22 074 73 166
Statement of cash flows
Cash flow from operating activities 491 654 129 054 620 708
Cash flow from investing activities (78 509) 124 272 45 763
Cash and cash equivalents at end of year 1 164 966 (203 463) 961 503
Attributable to the group 66 081 113 594 179 675
Attributable to policyholders 1 098 885 (317 057) 781 828
Segment report
Gross operating revenue (external)
- Asset Management 129 228 (8 626) 120 602
Financial risk management
The group is exposed to a variety of financial risks which include credit risk, market
risk (including currency, price and interest rate risk) and liquidity risk. The group's
risk management programme focuses on the unpredictability of financial markets and seeks
to limit potential adverse effects on the group, while operating within a framework
that ensures alignment with the group's overall strategy and risk appetite.
The summarised consolidated financial statements do not include all financial risk
management information and disclosures required in the annual financial statements;
they should be read in conjunction with the group's annual financial statements as at
31 March 2014.
Fair values
The carrying amounts and the fair values of the group's financial assets and liabilities
are the same. Where assets are held at amortised cost, the fair values approximate the
carrying values as these have floating rates.
Fair value measurements recognised in the statements of financial position
The following table provides an analysis of the financial instruments that are measured
subsequent to initial recognition at fair value, grouped into levels 1 to 3 based on
the degree to which the fair value is observable:
- level 1 fair value measurements are those derived from quoted prices (unadjusted)
in active markets for identifiable assets or liabilities;
- level 2 fair value measurements are those derived from inputs other than quoted
prices included within level 1 that are observable for the asset or liability,
either directly or indirectly; and
- level 3 fair value measurements are those derived from valuation techniques that
include inputs for the asset or liability that are not based on observable market data.
Valuation techniques and assumptions applied for the purposes of measuring fair value
The fair values of financial assets and financial liabilities are determined as follows:
For level 1:
- the fair values of financial assets and financial liabilities with standard terms and
conditions and traded on active liquid markets are determined with reference to
quoted market prices.
For level 2:
- the fair values of other financial assets and financial liabilities (excluding
derivative instruments) are determined in accordance with generally accepted
pricing models based on discounted cash flow analysis using prices from observable
current market transactions and dealer quotes for similar instruments;
- observable inputs generally used to measure the fair value of securities classified
as level 2 include benchmark yields, reported secondary trades, broker-dealer
quotes, issuer spreads, benchmark securities, bids, offers and reference data;
- the fair values of derivative instruments are calculated using quoted prices. Where
such prices are not available, discounted cash flow analysis is performed using the
applicable yield curve for the duration of the instruments for non-optional
derivatives, and option pricing models for optional derivatives. Foreign currency
forward contracts are measured using quoted forward exchange rates and yield curves
derived from quoted interest rates matching maturities of the contracts. Interest
rate swaps are measured at the present value of future cash flows estimated and
discounted based on the applicable yield curves derived from quoted interest rates;
and
- the fair value of financial guarantee contracts is determined using option pricing
models where the main assumptions are the probability of default by the specified
counterparty extrapolated from the market-based credit information and the amount
of loss, given the default.
For level 3:
- determinations to classify fair value measures within level 3 of the valuation
hierarchy are generally based on the significance of the unobservable factors when
compared to the overall fair value measurement. The group applies various due
diligence procedures, as considered appropriate, to validate the underlying
information used in the valuations.
Group
(R thousands) Level 1 Level 2 Level 3 Total
2014
Investments backing linked funds
Financial assets - designated at
fair value through profit or loss
- Collective investment schemes - 12 914 - 12 914
- Debentures - listed 170 186 - - 170 186
- Debentures - unlisted - 1 795 269 - 1 795 269
- Domestic equities - listed 613 558 - - 613 558
- Domestic equities - unlisted - 17 541 - 17 541
- Fixed interest securities - listed 330 908 - - 330 908
- International equities - listed 47 149 - - 47 149
- International equities - unlisted - 869 099 - 869 099
Investment property - - 336 689 336 689
Financial assets - designated at
fair value through profit or loss
Private equity investments - - 7 963 7 963
Fixed interest securities - 54 373 - 54 373
Investment-linked policies - 4 078 - 4 078
Collective investment schemes - 175 855 - 175 855
Other investments - 608 - 608
Financial assets - at fair value
through profit or loss
Conversion option - related conversion
option at fair value - - 4 025 4 025
Listed investments 169 330 - - 169 330
Interests in associates
- at fair value
Collective investment schemes - 486 608 - 486 608
1 331 131 3 416 345 348 677 5 096 153
Financial
Investment assets - at
Level 3 reconciliations property fair value Total
Balance at beginning of year - restated 153 372 15 953 169 325
Additions 184 944 - 184 944
Losses recognised in profit or loss (1 627) (965) (2 592)
Capital repayment - (3 000) (3 000)
Balance at end of year 336 689 11 988 348 677
There were no transfers between the various levels during this reporting period.
All investment properties are valued by an independent valuator on a three-year rolling
cycle and are sensitive to the property market. The key inputs to the model that
derived the fair value of properties were an average discount rate of 14.75%, exit
capitalisation rates of between 10% and 10.25% and rental escalation rates of between
6% and 8.5%. A 1% increase to the capitalisation rate would decrease the total fair
value of investment property by R13.7 million. An equivalent decrease in the
capitalisation rate would result in an increase in fair value of R16.7 million. A 1%
increase in the discount rate would decrease the total value of investment property
by R20.4 million and an equivalent decrease in the discount rate would increase the
fair value by R22.2 million.
The financial assets at fair value consist of the investment in Makana of R4.0 million,
the investment in Rotimode of R0.9 million and the investment in Kayagas of R7.1 million.
In determining the fair value of the option included in the financial assets at fair value
the Vandermark valuation model was used. Significant inputs into the model were the
exercise price, current market price of Makana based on a valuation of the underlying
investments, standard deviation of expected returns of 16.8%, risk-free rate of 7.1%
and a dividend yield of 0%. If the current market price of Makana was 10% less than
management's estimate, the fair value would have been reduced by R1 178 061.
The investment in Rotimode represents the consideration settled. The investment in
KayaGas is secured and therefore no sensitivities were deemed necessary.
The fair value liabilities in the group are the linked investment contract liabilities
and third-party liabilities arising on consolidation of mutual funds which are all
grouped into level 2.
Post-balance sheet events
The directors are not aware of any post-balance sheet events that materially affect
the financial results or the financial position of the group as presented in the
summarised consolidated financial statements.
COMMENTARY
Financial performance - Cadiz Holdings is nearing the completion of its turnaround
programme as the business focuses increasingly on its core business, Cadiz Asset
Management.
However, the group encountered a difficult trading period, with performance being
impacted by lower-than-expected fee income from asset management and increased costs
of the asset management staff equity and retention scheme.
Gross operating revenue was 6% lower at R138.6 million. Investment income, net of
third-party mutual interests, declined by 7% to R40.9 million.
Expenses continued to be tightly managed. Group operating costs were 3% lower at
R165.4 million despite the inclusion of the asset management staff equity and
retention scheme expense for the first time. Costs excluding the impact of this scheme
would have been down 7%. The staff head count was 16% lower at 97 (March 2013: 115).
The integration of BNP Paribas Cadiz Securities, in which the group has a 40% interest,
into BNP Paribas has been completed and the business is now gaining traction in the
market. This is reflected in the share of associate loss declining to R3.8 million from
R11.3 million in the previous financial year.
Operating profit from continuing operations of R14.1 million (2013: R20.4 million) is
31% lower than the prior year.
Total comprehensive income for the period, after taking into account the loss of
R1.9 million from the discontinued operation, increased 15% from R5.1 million to
R5.9 million.
Earnings per share from continuing operations increased by 50% to 3.3 cents per share,
and earnings per share were 14% higher at 2.5 cents per share.
Headline earnings totalled R6.2 million, with diluted headline earnings per share
23% higher at 2.7 cents.
Cadiz declared a dividend for the 2014 financial year of 4.4 cents per share.
These results are in line with the trading statements released on SENS on 20 May 2014
and 28 May 2014.
Asset management - Cadiz has continued to focus on building an independent asset
management company which aims to deliver strong long-term investment performance and
exceptional client service on a focused range of high-conviction investment solutions
to institutional and high net worth individuals in South Africa.
Revenue decreased by 2% to R137.2 million while expenses of R143.8 million were 7%
higher. This includes the cost of the staff alignment and retention scheme introduced
in late 2013. The business incurred a loss of R6.6 million compared to a profit of
R5.4 million last year.
Total assets under management declined by R6.1 billion from March 2013 to R28.5 billion
at year-end, with the reduction happening mainly in the first six months of the year
(September 2013: R28.8 billion). The net change in the asset base reflects a gain from
market movement of R1.4 billion off-set by net outflows of R7.5 billion, mainly as a
result of a single client withdrawal of R5.5 billion in July 2013. While net asset flows
have been negative, Cadiz Asset Management has benefited from improving margins resulting
from the acquisition of higher yielding mandates during the period. Despite assets under
management declining by 18%, it is pleasing that revenue has only declined by 2% off
this reduced asset base.
At 31 March 2014 assets under management within Cadiz Collective Investments were
R8.8 billion (31% of total assets under management) and Cadiz Life were R5.4 billion
(19% of total assets under management).
Investment performance remains competitive across most funds with particularly strong
performance in unit trust funds. Highlights include:
- The Cadiz Money Market Fund is either the best or second-best performing fund over
all measurement periods
- The Cadiz Absolute Yield Fund is in the top quartile of all South African - Multi
Asset Income funds over all periods one year and longer
- The Cadiz Managed Flexible Fund ranked in the top quartile of 64 South African -
Multi Asset Class High Equity funds over five years.
- The Cadiz Inflation Plus Fund is comfortably ahead of its rolling three-year CPI+5%
benchmark.
Advisory - Cadiz Corporate Solutions, the group's advisory business, advised on several
local and an increasing number of cross-border M&A transactions. The business continues
to be recognised for its independence and relationships in the domestic corporate market,
as well as in China and India where it has strategic partnerships with two advisory firms.
Revenue increased by 76% to R18.2 million, while costs were 28% higher at R13.8 million
as no incentives were paid in 2013. The business made a profit of R4.4 million compared
to a loss of R0.5 million in 2013.
Investments - At year-end the group's investment portfolio totalled R306.2 million.
Revenue from investments decreased by 28% to R20.1 million. Costs were RNil compared
to R3.8 million and net returns of R20.0 million were 16% lower than last year.
At the end of the period the capital was invested as follows:
- R50.7 million invested in liquid assets for regulatory capital adequacy;
- R21.2 million invested in liquid assets for short-term commitments;
- R50.0 million committed as seed capital and set aside for working capital
requirements for the asset management business;
- R8.1 million loan to BNP Paribas Cadiz Securities for capital adequacy purposes;
- R63.6 million funding to Makana, the group's strategic empowerment partner, secured
by the Cadiz shares and various unlisted investments held by Makana;
- R22.6 million option to acquire 24.8% of Makana who hold a majority stake in
Sebenza Forwarding and Shipping, and empowerment stakes in Hulamin, Foskor, Tellumat
and various mining rights;
- R16.6 million invested in strategic unlisted investments; and
- R73.6 million held as a prudent operational buffer.
Net asset value of R655.4 million (290.6 cents per share) comprises R223.3 million
(99.0 cents per share) liquid assets, R25.0 million (11.1 cents per share) unlisted
investments, R60.5 million (26.8 cents per share) investment in BNP Paribas Cadiz
Securities, R91.1 million (40.4 cents per share) other assets being Makana and fixed
assets, and R255.5 million (113.3 cents per share) in intangible assets.
Corporate costs - Corporate costs declined by 27% to R6.3 million as a result of tight
cost management and are expected to normalise at these levels.
BNP Paribas Cadiz Securities - Cadiz' share of associate losses from BNP Paribas
Cadiz Securities was R3.8 million, which is 66% lower than last year. The business
provides South African equity markets access to domestic and international institutional
investors. The cash equities, flow derivatives and structured product offerings continue
to gain market traction with both local and international clients. The integration of
the BNP Paribas Cadiz Securities business is now complete. The research team comprises
16 analysts, including 11 fundamental analysts covering 72% of the JSE. The non-
fundamental analysts provide economic, political and quantitative research.
Share capital and treasury shares - During the period 7.5 million (2013: nil) ordinary
shares were acquired at an average price of 116 cents per share and cancelled. The
company issued 25 324 (2013: 206 020) ordinary shares to staff on vesting of awards
under the Black Staff Share Ownership Scheme.
Prospects - Following the turnaround programme the group's focus is primarily on asset
management and the business now aims to grow revenue while continuing to contain costs.
Cadiz Asset Management is committed to delivering strong long-term investment
performance to institutional and high net worth clients, driven by its valuation-based
investment philosophy. The business has invested in its investment team, operating
platform and IT systems to deliver the required performance across its multi-asset,
equity, fixed income and structured product mandates and to attract higher yielding
mandates to improve margins and grow the asset base in the medium term. While the
turnaround is proceeding more slowly than anticipated, the strategy will ultimately
lead to improved financial performance.
Cadiz Corporate Solutions has a healthy deal pipeline and will continue to focus on
the resources, infrastructure and renewable energy sectors. In line with the previously
communicated plan to implement an equity participation scheme, the board has agreed to
sell 30% of the corporate advisory business to the staff effective from 1 April 2013
and is in the process of finalising the transaction.
The group continues to retain a prudent capital base and intends to distribute annual
profits, adjusted for the non-cash impact of the associates, to shareholders.
BNP Paribas Cadiz Securities will continue to focus on increasing its penetration with
both domestic and international investors.
Audit report - These summarised consolidated financial statements for the year ended
31 March 2014 have been audited by PricewaterhouseCoopers Inc., who expressed an
unmodified opinion thereon. The auditor also expressed an unmodified opinion on the
annual financial statements from which these summarised consolidated financial statements
were derived.
A copy of the auditor's report on the summarised consolidated financial statements and
of the auditor's report on the annual consolidated financial statements are available
for inspection at the company's registered office, together with the financial statements
identified in the respective auditor's report.
The auditor's report does not necessarily report on all of the information contained
in this announcement of financial results. Shareholders are therefore advised that in
order to obtain a full understanding of the nature of the auditor's engagement they
should obtain a copy of the auditor's report together with the accompanying financial
information from the issuer's registered office. Any reference to future financial
performance included in this announcement, has not been reviewed or reported on by
the company's auditors.
Dividend - Notice is hereby given of a declaration of a gross final dividend of 4.4 cents
per ordinary share from income reserves for the year ended 31 March 2014.
The dividend will be subject to a local dividend tax at a rate of 15% which will result
in a net dividend to those shareholders who are not exempt from paying dividend tax of
3.74 cents per share. The company has 245 823 118 ordinary shares in issue on the date
of this declaration.
Cadiz Holdings Limited's income tax reference number is 9398/002/71/8.
In compliance with the Listings Requirements of the JSE Limited, the following dates
are applicable:
Last date to trade cum the dividend: Friday, 27 June 2014
Trading commences ex dividend: Monday, 30 June 2014
Record date: Friday, 4 July 2014
Payment date: Monday, 7 July 2014
Share certificates may not be dematerialised or rematerialised between Monday,
30 June 2014 and Friday, 4 July 2014, both dates inclusive.
On behalf of the board of directors
Peter-Paul Ngwenya Fraser Shaw
Chairman Chief executive officer
Cape Town
2 June 2014
Registered office: The Terraces, 4th Floor, 25 Protea Road, Claremont, 7700
PO Box 44547, Claremont, 7735
Company secretary: C Schmahl
Directors: S P Ngwenya (Chairman)*, R F G Cadiz*, G W Fury*#, B H Kent*#,
A N Matyumza*#, B J Memela-Khambula*#, S J Saunders*#, F C Shaw (Chief executive officer)
(*Non-executive directors #Independent)
Transfer secretaries: Computershare Investor Services (Pty) Limited
70 Marshall Street, Johannesburg, 2001; PO Box 61051, Marshalltown, 2107
Sponsor: Investec Bank Limited
www.cadiz.co.za
Date: 02/06/2014 08:00:00 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.
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