To view the PDF file, sign up for a MySharenet subscription.

ILLOVO SUGAR LIMITED - Interim report for the six months ended 30 September 2014

Release Date: 01/12/2014 07:05
Code(s): ILV     PDF:  
Wrap Text
Interim report for the six months ended 30 September 2014

ILLOVO SUGAR LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1906/000622/06)
Share Code: ILV
ISIN: ZAE000083846

INTERIM REPORT FOR THE SIX MONTHS ENDED 30 SEPTEMBER 2014

Salient Features
- Group revenue down 5% to R5 932 million, impacted by 9% lower sugar production and
  reduced export market prices

- Operating profit down 14% to R1 393 million

- Downstream operating profit up R68 million to R130 million

- Headline earnings per share down 10% but distribution remains unchanged

- Record sugar production expected in Zambia and Mozambique

- Newly commissioned distillery in Tanzania operated consistently above design capacity

- Challenging trading conditions in EU, world and regional markets expected to continue

- Medium-term prospect of shift to global sugar production deficit.

Quote:

Gavin Dalgleish, Managing Director, commented:

"We have had a mixed season so far with lower sugar prices across our regional and export markets, 
variable weather conditions and the effects of industrial action. Notwithstanding these challenges, 
our operations in Zambia and Mozambique are expected to achieve record sugar and cane production for the year.
The company remains well placed for growth into the future with its significant operations in southern Africa, 
attractive and sustainable domestic markets, strong balance sheet and healthy cash generation."

Enquiries:
Illovo Sugar Limited                              031 508 4300
Gavin Dalgleish, Managing Director,
Mohammed Abdool-Samad, Financial Director,
Chris Fitz-Gerald, Group Communications Manager
Instinctif                                        011 447 3030
Nicholas Williams                                 082 600 2192

Review
The six months period ended 30 September 2014 presented both challenges and opportunities
for the Illovo group. Operating profit of R1 393 million (2013: R1 626 million) was impacted by a
fall in group cane and sugar production together with a decline in world, regional and European
(EU) market prices. This reduction was partially offset by a steady increase in domestic market
sales revenue, a weaker Rand benefitting export sales, meaningful cost-reduction
initiatives employed across the group and an increased profit contribution from Illovo's
downstream and co-generation businesses. The operating margin declined to 23.5% (2013:
26.1%) while profit after tax decreased to R944 million (2013: R1 116 million) resulting in a 10%
decline in headline earnings per share.

By country, Malawi's contribution to operating profit increased year-on-year to R560 million,
representing 41% (2013: 33%) of the group total for the period. The contributions from the other
countries were: Zambia 31% (2013: 30%), South Africa 12% (2013: 10%), Swaziland 9% (2013:
17%), Mozambique 8% (2013: 9%) and Tanzania -1% (2013: 1%).

Total cane harvested on the group's own estates amounted to 4.3 million tons 
compared to 4.7 million tons in the same period last year. This reduced harvest resulted in
operating profit from the group's cane growing operations declining to R570 million from
R718 million in 2013. Own cane supply for the full year is expected to be similar year on year.
Combined with cane supplied to the group's factories by private cane growers, total cane
throughput amounted to 10.7 million tons, reflecting an 11% decrease compared to the same
period last year.

The season to date has been impacted by variable conditions across the countries in which we
operate, most notably in South Africa where operations were negatively impacted by a
combination of late summer rainfall, very dry winter conditions, frost damage in the KwaZulu-
Natal midlands as well as the sugar industry strike. The resulting significant cane yield
reduction and the effect of poor cane quality on recoveries, were offset partially by increased
sucrose levels and concerted efforts by Illovo's South African outgrower partners and its own
agricultural operations to limit cane losses. Cane production in Swaziland was also affected by
a decline in climatic potential compared to the long-term mean and by the industry strike.

There were positive improvements in operating performance and efficiency levels at most sugar
factories across the group, particularly in Zambia, Mozambique, Tanzania and Dwangwa in
Malawi. Conversely, the performance at Nchalo in Malawi was disappointing. Total group sugar
production for the period reduced by 9% to 1.3 million tons with the contribution to operating
profit derived from sugar production declining from R847 million in 2013 to R692 million in the period under
review.

Despite challenging circumstances faced generally by the group across its markets, increased
domestic sales were achieved in Malawi and Zambia. While total sales amounted to 798 000
tons, representing a 12% reduction when compared to the same period last year, the sales
outlook for the full year to March 2015 continues to be positive.

The wider commercial environment for sugar in the medium term remains challenging,
influenced by low world sugar prices arising primarily out of a fourth year of global sugar
production surplus. In South Africa, domestic sugar revenues were eroded by prior season
sugar imports. However, since the increase in the government-instituted import tariff earlier this
year, imports have declined and their impact on Illovo for the full year is anticipated to be less
than in 2013. In Tanzania, sugar imports also negatively impacted sales volumes and
price, although a volume improvement on the previous year was achieved.

The sustained world sugar surplus has also put pressure indirectly on the prices the group is
able to achieve for its regional exports into neighbouring Southern African countries, as well as
directly on the group's bulk sugar export markets out of South Africa, undertaken by the
SA Sugar Association.

While the world sugar price traded at an average price of US16.5 cents/lb for the period, a level
well below the cost of production of most international sugar producers, there are increasing
indications that the global sugar balance is moving towards a production deficit. Supporting this
trend, is the continuous growth in international sugar consumption which is expected to increase
by 26 million tons by 2021 while in Africa, strong consumption growth is supported by growing
population and increasing GDP per capita, averaging between 3% and 6% per annum in Illovo's current and
potential new markets.

Similar to the world market, EU sugar prices have continued to trend downwards as industry
producers reposition themselves in the run up to the deregulation of its sugar industry in
September 2017. While these markets will remain outlets for the group, Illovo's Southern
African production and market footprint is ideally placed to take full advantage of increasing
domestic and regional demand from direct consumers and industrial customers.

Illovo's strategy to broaden revenue streams and strengthen the group business resulted in an
increased contribution from downstream activities to operating profit, which rose significantly
from R62 million in 2013 to R130 million in the current period despite lower furfural production
due to reduced cane supply. The manufacture of high quality potable and industrial-use
alcohols at both South African distilleries progressed well. In Tanzania, the newly-
commissioned distillery operated consistently above installed capacity and with strong demand
for potable alcohol in the East African region, operating profit from this business provided a
strong offset for the difficult trading conditions experienced by the sugar operation. These
positive circumstances provide the backdrop for an increase in alcohol volumes for the full year.

The electricity co-generation plant at the Ubombo mill in Swaziland continued to perform well
with increasing exports of surplus power into the national grid. Small amounts of power have
also been exported into the Mozambique grid from the Maragra mill.

On the commercial front, alcohol pricing and sales were in line with expectations while better
furfural and furfuryl alcohol prices were achieved for the period.

Outlook
Excellent agricultural performance in Zambia, with the Nakambala factory operating in excess of
design capacity, as well as an improvement in operations in Mozambique, should result in record
cane and sugar production in both countries of operation. However, declining sugar production
in South Africa, Swaziland and Nchalo in Malawi will result in total group sugar production
ending below that achieved to 31 March 2014.

Illovo's group-wide continuous improvement strategy continues to drive down controllable costs.
Ongoing productivity improvements geared towards unit cost reduction and a review of
structures across the business supply chain in an effort to unlock further value and other
initiatives are expected to bring meaningful cash benefits to the group in the short to medium
term.

Sugar market conditions across the group are expected to remain challenging but efforts to
improve the trading environments of the countries in which Illovo operates continue. Growth in
domestic sales and a better market mix in other parts of the group are expected to assist full
year earnings. Currency weaknesses, as were evident in the first six months, are likely to assist
export earnings for the full year. Good growth in downstream earnings is anticipated.

With significant cane, sugar and downstream assets in Southern Africa, attractive and
sustainable domestic markets, a strong balance sheet and healthy cash generation, the Illovo
Sugar Group remains well placed for growth into the future.

CHANGE OF DIRECTORS
In terms of paragraph 3.59 of the JSE Listings Requirements, shareholders are advised that:

- Mr DG MacLeod has given notice of his intention to retire as a non-executive director and
  chairman of the company with effect from the close of the annual general meeting to be held
  on 15 July 2015; and

- Mr GM Rhodes resigned as a non-executive director of the company with effect from
  31 October 2014.

CAPITAL DISTRIBUTION OUT OF SHARE PREMIUM IN LIEU OF DIVIDEND

Notice is hereby given that an interim capital distribution by way of a reduction of Contributed
Tax Capital of 37.0 cents per share has been declared, in lieu of a dividend, on the ordinary
shares of the company in respect of the six months ended 30 September 2014, to Illovo
shareholders recorded in the register on Friday 9 January 2015 ("the Distribution"). The
directors have determined that the capital distribution shall be paid out of qualifying contributed
tax capital as contemplated in the definition of "contributed tax capital" in section 1 of the Income
Tax Act, 1962.

In accordance with the settlement procedures of STRATE, the company has determined the
following salient dates for the payment of the Distribution:

Last day to trade cum the capital distribution                  Friday, 2 January 2015

Shares commence trading ex the capital distribution             Monday, 5 January 2015

Record date                                                     Friday, 9 January 2015

Payment of capital distribution                                 Monday, 12 January 2015

Share certificates may not be dematerialised/rematerialised between 5 January 2015 and
9 January 2015, both days inclusive.

Relative to this Distribution, the directors have confirmed that the company will satisfy the
solvency and liquidity test immediately after completing the Distribution.

For income tax purposes, shareholders are advised that the Distribution will be paid out of
qualifying contributed tax capital as contemplated in the definition of "contributed tax capital" in
section 1 of the Income Tax Act, 1962, and as it will be regarded as a return of capital,
consideration should be given to the potential capital gains tax consequences. Illovo
shareholders are, therefore, advised to consult their tax advisors with regard to how they may
be impacted by the Distribution.

On behalf of the Board

DG MacLeod             GB Dalgleish                    Mount Edgecombe

Chairman               Managing Director               1 December 2014

CORPORATE INFORMATION

Directors:
DG MacLeod (Chairman)*, GB Dalgleish (Managing Director), MH Abdool-Samad, MI Carr#*,
MJ Hankinson*, JP Hulley, D Konar*, PA Lister#*, PM Madi*, CW Molope*, AR Mpungwe (Tanzanian)*,
TS Munday*, LW Riddle.
# British * Non-executive

Registered office:
Illovo Sugar Park
1 Montgomery Drive, Mount Edgecombe
KwaZulu-Natal, South Africa
Postal address:
PO Box 194, Durban, 4000

Telephone:            +27 31 508 4300
Telefax:              +27 31 508 4535
Website:              www.illovosugar.co.za

Transfer Secretaries: Link Market Services South Africa Proprietary Limited
Rennie House, 13th Floor, 19 Ameshoff Street, Braamfontein, 2001
PO Box 4844, Johannesburg, 2000

Auditors:             Deloitte & Touche
Sponsor:              J.P. Morgan Equities South Africa Proprietary Limited

CONDENSED GROUP INCOME STATEMENT                                                                                       
                                                                                     Unaudited               Audited   
                                                                              Six months ended            Year ended   
                                                                                  30 September              31 March   
                                                                                2014      2013   Change         2014   
                                                                  Notes           Rm        Rm        %           Rm   
Revenue                                                                      5 932.1   6 238.5      (5)     13 190.1   
Operating profit                                                             1 392.5   1 626.4     (14)      1 886.9   
Dividend income                                                                    -       0.6                   5.1   
Net financing costs                                                   2        142.4     152.9                 336.4   
Profit before non-trading items                                              1 250.1   1 474.1               1 555.6   
Share of profit from associates and joint ventures                              12.3      15.1                  25.2   
Material items                                                        3          1.5       2.6                  24.5   
Profit before taxation                                                       1 263.9   1 491.8               1 605.3   
Taxation                                                                       319.6     376.1                 486.8   
Profit for the period                                                          944.3   1 115.7               1 118.5   
Attributable to:                                                                                                       
Shareholders of Illovo Sugar Limited                                           789.0     878.0     (10)        916.3   
Non-controlling interest                                                       155.3     237.7                 202.2   
                                                                               944.3   1 115.7               1 118.5   
Other comprehensive income                                                                                             
Items that will not be reclassified subsequently                                                                       
to profit or loss:                                                                                                     
Actuarial gains/(losses) on post-retirement obligations, net of                                                        
tax                                                                              0.4     (2.9)                 (0.4)   
Items that will be reclassified subsequently                                                                           
to profit or loss:                                                                                                     
Foreign currency translation differences                                       100.5     402.8                 209.7   
Adjustments in respect of cash flow hedges, net of tax                          86.4     (6.6)                (48.2)   
Hedge of net investment in foreign subsidiaries, net of tax                    130.2      30.2               (230.1)   
Total comprehensive income for the period                                    1 261.8   1 539.2               1 049.5   
Attributable to:                                                                                                       
Shareholders of Illovo Sugar Limited                                         1 037.4   1 211.4                 821.8   
Non-controlling interest                                                       224.4     327.8                 227.7   
                                                                             1 261.8   1 539.2               1 049.5   
Headline earnings per share (cents)                                   4        171.1     190.1     (10)        194.0   
Diluted headline earnings per share (cents)                                    171.0     190.1                 194.0   
Basic earnings per share (cents)                                               171.3     190.7                 199.0   
Diluted basic earnings per share (cents)                                       171.2     190.6                 198.9   
Distribution per share (cents)                                        5         37.0      37.0        -         97.0

CONDENSED GROUP STATEMENT OF FINANCIAL POSITION

                                                       Unaudited    Audited   
                                                    30 September   31 March   
                                                 2014       2013       2014   
                                                   Rm         Rm         Rm   
ASSETS                                                                        
Non-current assets                            9 350.5    8 685.6    8 895.0   
Property, plant and equipment                 7 023.3    6 641.8    6 783.3   
Cane roots                                    1 718.0    1 492.0    1 531.0   
Intangible assets                               305.0      281.5      288.0   
Investments and loans                           264.8      209.8      248.6   
Deferred taxation asset                          39.4       60.5       44.1   
Current assets                                7 858.3    7 351.5    4 924.8   
Inventories and factory overhaul              3 850.8    3 681.8    1 337.5   
Growing cane                                  1 709.4    1 573.8    1 662.5   
Trade and other receivables                   1 672.1    1 635.7    1 309.2   
Financial instruments                            62.4       14.5       18.5   
Cash and cash equivalents                       563.6      445.7      597.1   
Total assets                                 17 208.8   16 037.1   13 819.8   

EQUITY AND LIABILITIES                                                        
Total equity                                  8 560.3    8 175.4    7 468.6   
Equity holders' interest                      7 193.6    6 899.8    6 340.3   
Non-controlling interest                      1 366.7    1 275.6    1 128.3   
Non-current liabilities                       3 590.0    2 849.3    3 320.8   
Long-term borrowings                          1 960.3    1 407.8    1 824.8   
Deferred taxation liability                   1 312.7    1 138.3    1 189.9   
Other liabilities                               317.0      303.2      306.1   
Current liabilities                           5 058.5    5 012.4    3 030.4   
Short-term borrowings                         2 131.4    2 310.1      858.2   
Trade and other payables                      2 920.8    2 686.3    2 110.7   
Financial instruments                             6.3       16.0       61.5   
Total equity and liabilities                 17 208.8   16 037.1   13 819.8   

OTHER SALIENT FEATURES                                                        
                                    Note                                      
Operating margin (%)                             23.5       26.1       14.3   
Interest cover (times)                            9.8       10.6        5.6   
Effective tax rate (%)                           25.6       25.5       31.3   
Net debt: equity ratio                 6         41.2       40.0       27.9   
Net asset value per share (cents)             1 858.1    1 775.3    1 621.4   
Net borrowings                                3 528.1    3 272.2    2 085.9   
Depreciation                                    203.9      199.2      309.0   
Capital expenditure                             256.8      346.0      722.0   
- Expansion capital                             112.9      158.3      366.2   
- Replacement capital                           137.4      184.1      342.6   
                                                250.3      342.4      708.8   
- Expansion of area under cane                    0.7        1.5        7.9   
- Product registration costs                      5.8        2.1        5.3   
Capital commitments                             977.3      779.2    1 042.2   
- Contracted                                    439.7      162.2      255.1   
- Approved but not contracted                   537.6      617.0      787.1   
Lease commitments                               317.6      212.0      220.7   
Contingent liabilities                          119.0      123.1      116.5   

CONDENSED GROUP STATEMENT OF CHANGES IN EQUITY

                                                                           Unaudited      Audited   
                                                                    Six months ended   Year ended   
                                                                        30 September     31 March   
                                                                     2014       2013         2014   
                                                                       Rm         Rm           Rm   
Share capital and share premium                                                                     
Balance at beginning of the period                                1 609.9    2 055.4      2 055.4   
Issue of share capital                                                0.8        0.8          1.3   
Transfer to distribution reserve                                  (170.5)    (170.1)      (446.8)   
Balance at end of the period                                      1 440.2    1 886.1      1 609.9   
Share-based payments reserve                                                                        
Balance at beginning and end of the period                           13.1       13.1         13.1   
Non-distributable reserves                                                                          
Balance at beginning of the period                                    5.8       42.3         42.3   
Transfer of foreign currency translation reserve                  (176.4)    (343.1)         64.9   
Total comprehensive income:                                                                         
- Foreign currency translation                                       46.5      313.4        165.0   
- Cash flow hedges                                                   69.2      (5.9)       (36.5)   
- Hedge of net investment in foreign subsidiaries                   129.9       29.7      (229.9)   
Balance at end of the period                                         75.0       36.4          5.8   
Retained earnings                                                                                   
Balance at beginning of the period                                4 435.1    3 576.8      3 576.8   
Transfer of foreign currency translation reserve                    176.4      343.1       (64.9)   
Transactions with non-controlling shareholders                       91.5          -            -   
Total comprehensive income:                                                                         
- Profit for the period                                             789.0      878.0        916.3   
- Actuarial gains/(losses) on post-retirement obligations             2.8      (3.8)          6.9   
Balance at end of the period                                      5 494.8    4 794.1      4 435.1   
Distribution reserve                                                                                
Balance at beginning of the period                                  276.4      280.9        280.9   
Transfer from share premium                                         170.5      170.1        446.8   
Distributions paid                                                (276.4)    (280.9)      (451.3)   
Balance at end of the period                                        170.5      170.1        276.4   
Equity holders' interest                                          7 193.6    6 899.8      6 340.3   
Non-controlling interest                                                                            
Balance at beginning of the period                                1 128.3    1 006.2      1 006.2   
Distributions paid                                                 (83.5)     (58.4)      (105.6)   
Change in shareholding                                               97.5          -            -   
Total comprehensive income:                                                                         
- Foreign currency translation                                       54.0       89.4         44.7   
- Hedge of net investment in foreign subsidiary                       0.3        0.5        (0.2)   
- Cash flow hedges                                                   17.2      (0.7)       (11.7)   
- Actuarial (losses)/gains on post-retirement obligations           (2.4)        0.9        (7.3)   
- Profit for the period                                             155.3      237.7        202.2   
Balance at end of the period                                      1 366.7    1 275.6      1 128.3   
Total equity                                                      8 560.3    8 175.4      7 468.6   

CONDENSED GROUP STATEMENT OF CASH FLOWS

                                                                        Unaudited      Audited   
                                                                 Six months ended   Year ended   
                                                                     30 September     31 March   
                                                                 2014        2013         2014   
                                                                   Rm          Rm           Rm   
Cash flows from operating and investing activities                                               
Cash operating profit                                         1 528.9     1 846.8      1 922.4   
Working capital requirements                                (2 137.5)   (2 106.3)        105.2   
Cash (utilised by)/generated from operations                  (608.6)     (259.5)      2 027.6   
Replacement capital expenditure                               (137.4)     (184.1)      (342.6)   
Net financing costs and dividend income                       (142.4)     (152.3)      (331.3)   
Taxation paid                                                 (160.2)     (174.6)      (298.6)   
Distributions/dividends paid                                  (359.9)     (339.3)      (556.9)   
Net investment in future operations                           (119.4)     (161.9)      (379.4)   
Acquisition of business                                             -           -         15.6   
Proceeds on disposal of shareholding in joint ventures              -           -          9.5   
Proceeds on disposal of partial interest in a subsidiary        195.6           -            -   
Other movements                                                (24.3)        10.3        (8.4)   
Net cash (outflows)/inflows before financing activities     (1 356.6)   (1 261.4)        135.5   
Borrowings raised                                             1 306.5     1 230.3         51.6   
Other financing activities                                        0.8         0.8          1.3   
Net (decrease)/increase in cash and cash equivalents           (49.3)      (30.3)        188.4   
Cash and cash equivalents at the beginning of the year          597.1       453.5        453.5   
Exchange rate translation                                        15.8        22.5       (44.8)   
Cash and cash equivalents at the end of the year                563.6       445.7        597.1   

NOTES TO THE CONDENSED FINANCIAL STATEMENTS

1. Basis of preparation

   These unaudited condensed interim results for the six months ended 30 September 2014 have been prepared and
   presented in accordance with the framework concepts and the measurement and recognition requirements of
   International Financial Reporting Standards ("IFRS"), the SAICA Financial Reporting Guides as issued by the Accounting
   Practices Committee, and Financial Reporting Pronouncements as issued by the Financial Reporting Standards Council,
   the Listing Requirements of the JSE Limited, the information as required by IAS 34: Interim Financial Reporting, and the
   requirements of the South African Companies Act No 71 0f 2008. The accounting policies applied in preparation of these
   condensed interim results are in terms of IFRS and are consistent with those applied in the previous annual financial
   statements. The report was prepared under the supervision of the Group Financial Director, Mr M H Abdool-Samad,
   CA(SA) and has not been audited by the Group's external auditors.
   
                                                                  Unaudited      Audited   
                                                           Six months ended   Year ended   
                                                               30 September     31 March   
                                                             2014      2013         2014   
                                                               Rm        Rm           Rm   
2. Net financing costs 

   Interest paid                                            149.5     173.1        353.5   
   Less: capitalised                                        (1.2)    (19.4)       (20.8)   
                                                            148.3     153.7        332.7   
   Interest received                                        (4.5)     (2.9)       (13.4)   
   Foreign exchange (gains)/losses                          (1.4)       1.5         12.0   
                                                            142.4     152.3        331.3   
3. Material items

   Profit on disposal of property                             1.5       0.4          1.3   
   Profit on previously impaired assets                         -       0.5          0.1   
   Gain on bargain purchase                                     -       1.7          2.2   
   Proceeds received from insurance claim                       -         -         19.1   
   Disposal and deregistration of businesses                    -         -          1.8   
   Material profit before taxation                            1.5       2.6         24.5   
   Taxation                                                     -         -        (1.4)   
   Non-controlling interest                                 (0.6)     (0.2)        (0.4)   
   Material profit attributable to shareholders                                            
   of Illovo Sugar Limited                                    0.9       2.4         22.7   

4. Determination of headline earnings
    
   Profit attributable to shareholders                      789.0     878.0        916.3   
   Adjusted for:                                                                           
   - Profit on disposal of property                         (1.5)     (0.4)        (1.3)   
   - Profit on disposal of previously impaired assets           -     (0.5)        (0.1)   
   - Disposal and deregistration of businesses                  -         -        (1.8)   
   - Gain on bargain purchase                                   -     (1.7)        (2.2)   
   - Proceeds received from insurance claim                     -         -       (19.1)   
   Total tax effect of adjustments                              -         -          1.4   
   Total non-controlling interest effect                                                   
   of adjustments                                             0.6       0.2          0.4   
   Headline earnings                                        788.1     875.6        893.6   
   Number of shares in issue (millions)                     460.7     460.5        460.6   
   Weighted average number of shares on which                                              
   headline earnings per share are based (millions)         460.7     460.5        460.5   
   Headline earnings per share (cents)                      171.1     190.1        194.0   

5. Distribution per share

   The distribution per share of 37.0 cents represents an interim capital distribution declared out of share premium
   (2013: interim distribution of 37.0 cents).

6. Net debt:equity ratio

   The net debt:equity ratio is calculated as interest-bearing liabilities, net of cash and cash equivalents, divided by total
   equity.

7. Financial instruments

   The fair values of financial instruments are determined using inputs that are observable, either directly, (ie, as prices) or
   indirectly (ie, derived from prices), other than quoted prices in an active market and therefore fall into the level 2 fair
   value category. The fair values of non-financial assets are determined using inputs that are unobservable, using the best
   information available in the circumstances for using the assets and therefore fall into the level 3 fair value category.

8. Segmental analysis
           
                                                 Unaudited         Audited
                                          Six months ended      Year ended
                                              30 September        31 March
                                      2014            2013            2014
                                        Rm    %         Rm    %         Rm
              
   BUSINESS SEGMENTS                                                         
   Revenue                                                                   
   Sugar production                3 267.8   55    3 663.0   59    9 355.7   
   Cane growing                    2 109.1   36    2 178.6   35    2 856.2   
   Downstream and co-generation      555.2    9      396.9    6      978.2   
                                   5 932.1         6 238.5        13 190.1   
   Operating profit                                                          
   Sugar production                  691.9   50      846.5   52    1 320.3   
   Cane growing                      570.3   41      717.5   44      388.8   
   Downstream and co-generation      130.3    9       62.4    4      177.8   
                                   1 392.5         1 626.4         1 886.9   
   GEOGRAPHICAL SEGMENTS                                                     
   Revenue                                                                   
   Malawi                          1 175.0   20    1 024.3   16    2 341.5   
   Mozambique                        454.4    8      497.4    8      552.8   
   South Africa                    1 465.0   25    1 565.3   25    4 504.1   
   Swaziland                         897.9   15    1 111.4   18    1 601.1   
   Tanzania                          500.3    8      424.6    7      924.7   
   Zambia                          1 439.5   24    1 615.5   26    3 265.9   
                                   5 932.1         6 238.5        13 190.1   
   Operating profit                                                          
   Malawi                            559.5   41      544.2   33      762.0   
   Mozambique                        109.8    8      153.4    9       32.5   
   South Africa                      170.2   12      159.8   10      265.8   
   Swaziland                         123.8    9      273.7   17      257.5   
   Tanzania                          (8.5)  (1)       11.5    1       11.0   
   Zambia                            437.7   31      483.8   30      558.1   
                                   1 392.5         1 626.4         1 886.9   
   Total assets                                                              
   Malawi                          2 934.2   18    2 441.3   16    2 052.8   
   Mozambique                      1 005.0    6      872.9    6      918.9   
   South Africa                    4 290.9   26    3 919.1   25    2 658.7   
   Swaziland                       2 043.1   12    2 079.3   13    2 046.0   
   Tanzania                        1 675.5   10    1 575.3   10    1 690.3   
   Zambia                          4 594.7   28    4 628.5   30    3 793.4   
                                  16 543.4        15 516.4        13 160.1

Note: Total assets excludes cash and cash equivalents, deferred taxation and financial instruments.

Date: 01/12/2014 07:05:00 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.

Share This Story