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Summary of the audited consolidated financial results for the year ended 31 May 2015
OneLogix Group Limited
Incorporated in the Republic of South Africa
(Registration number 1998/004519/06)
JSE share code: OLG ISIN: ZAE000026399
('OneLogix' or 'the company' or 'the group')
PROVISIONAL REPORT
Summary of the audited consolidated financial results
for the year ended 31 May 2015
Our people, our strength
Highlights
Revenue up 8%
Trading profit up 15%
EPS and diluted EPS up 78%
Core HEPS from continuing operations up 16%
Cash generated from operations by continuing operations up 9%
Final dividend of 6 cents per share (total dividend 14 cents per share)
R135 million Phase 1 of OneLogix Logistics Hub (KZN) complete
PostNet disposal completed
B-BBEE transaction successfully concluded
Commentary
In one of the most eventful periods in the history of the group, we maintained a credible
trading performance for the year to 31 May 2015 ('the year') amidst still tough conditions
while successfully concluding a number of corporate initiatives to further strengthen the
group's value proposition. Our performance is reflected in ongoing growth in all key
financial indicators. A key competitive differentiator for OneLogix remains our strong
decentralised and entrepreneurial management teams who effectively combine business
acumen and experience with market insight and innovation.
Group profile
Subsequent to the disposal of the group's 100% shareholding in PostNet Holdings (Pty) Ltd
('PostNet') in early December 2014, we reviewed the segmentation of the group's businesses
and now categorise them as follows (the prior year segmental amounts have been restated
accordingly):
1. Abnormal Logistics
- OneLogix Vehicle Delivery Services ('VDS') is the entrenched market leader in local
and cross-border auto logistics
- OneLogix Commercial Vehicle Delivery Services ('CVDS') specialises in auto logistics
for commercial vehicles
- OneLogix Projex ('Projex') has become a key player in the Durban harbour freight
logistics market, project managing the movement of large shipments of abnormal/general
freight within tight deadlines
- Madison specialises in the movement of heavy and abnormal equipment, especially heavy
duty crane loads
2. Primary Products Logistics
- OneLogix United Bulk ('United Bulk') has a strong customer base in the local and
regional liquid bulk delivery market
- OneLogix Linehaul, the third successful group start-up, specialises in the cross-border
movement of general freight and commodities
- Jackson and Buffelshoek* are leading logistics operators in the refrigerated fresh
produce, industrial food and related markets locally and in the greater southern African
region
* Acquired during the year
3. Other Logistics Services
The remaining businesses do not meet the recognition criteria of a separately reportable
segment and include:
- Atlas360, expanding beyond commercial panelbeating
- OneLogix Cargo Solutions, active in warehouse handling and storage with facilities in
the Durban harbour and Cape Town areas
- DriveRisk (a 49% owned associate) is the undisputed leader in the driver behaviour
management market
Review of operations
OneLogix's existing businesses performed satisfactorily. Recent acquisitions have been
successfully integrated. In addition significant preparatory work has been completed in
readiness for future growth opportunities, for instance the OneLogix Logistics Hub (see
VDS below) and the VDS vanguard expansion into East Africa.
Abnormal Logistics
VDS traded as expected in a contracting and increasingly competitive market. Despite VDS
being a mature business operating in a mature market, it successfully retained its market
leadership due mainly to the motivated team that has mastered the complex business model.
It continues to focus on customer service, business opportunities and improving operational
efficiencies. Importantly, VDS completed the first phase of a storage and general utility
facility in KwaZulu-Natal, known as the OneLogix Logistics Hub, at a cost of R135 million.
This hub is intended to be utilised by all group companies, but particularly by VDS, and
will continue to enhance VDS' competitive advantage. The second phase of development will
be completed by mid-2016 financial year at a cost of R85 million.
CVDS traded ahead of expectations in a relatively quiet market. The group's new logistics
hub (see VDS above) will also strengthen the service offering of CVDS. A well-conceived
and executed business model guided by a good management team has maintained the extraordinary
eight-year record of near 100% on-time deliveries.
Projex faced challenging market conditions, recovering slightly in the second half of the
year albeit behind budget overall. Madison recovered well from earlier strikes in the
platinum belt to deliver a satisfactory performance.
Primary Products and Raw Materials
United Bulk too performed well for the year notwithstanding the impact of the platinum belt
strikes. Subsequent to year-end the business successfully expanded into the regional
cryogenics market and the competitive solvent and acids market by way of acquisitions
(see post year-end events). OneLogix Linehaul outstripped expectations for the year and
is strongly positioned in a competitive market.
See Acquisition below for the new businesses Jackson and Buffelshoek in this segment.
Other - Logistics Services
Atlas360 successfully extended its services beyond traditional panelbeating into adjacent
heavy vehicle accessory markets. It performed well and will be relocating to expanded premises
in the near future. OneLogix Cargo Solutions, acquired end May 2014, maintained its strategic
contribution to the group with facilities support. DriveRisk (results have been equity- accounted)
maintained its leading position in the driver behaviour management market despite the impact
of a weakening rand, by leveraging its robust blue chip customer base.
Financial results
Revenue from continuing operations increased by 8% to R1,37 billion on the back of the maiden
contribution of OneLogix Linehaul for a full financial year and newly acquired Jackson and
Buffelshoek's contribution to results for the last two months of the year. Organic growth
was restrained due to tough trading conditions in the group's well-established markets.
Trading margins from continuing operations improved to 9,1% (May 2014: 8,6%). This resulted
in growth in trading profit of 15% to R125,1 million compared to the 8% growth in revenue,
which reflects the group's effective initiatives to mitigate cost creep. The prior year
extension of the estimated useful lives of a portion of the fleet resulted in an once-off
reduction in the depreciation charge in the year of approximately R4 million.
Operating profit was adversely impacted by two once-off items, firstly the non-cash flow,
IFRS 2 share-based payment charge of R72 million relating to the implementation of the
Kagiso Capital (Pty) Ltd specific issue of shares for cash (see Transformation for
further detail) ('the Kagiso share-based payment charge'); and secondly the R9,2 million
profit realised on disposal in May 2014 of two properties in the greater Durban area.
Operating profit decreased from R118,6 million to R48,7 million year-on-year.
Net finance costs increased by 18% to R23,6 million as a result of the group's increased
investment in infrastructure and fleet. This was partially offset by the dual cash
injections arising from the PostNet disposal and Kagiso Capital share subscription
transaction in the second half of the year (see Disposal and Transformation below
for further detail). Interest cover on trading profit of 5,3 times (2014: 5,4 times)
allows the group scope to access further borrowings should opportunities arise.
Earnings include R144,2 million of net disposal gains pursuant to the disposal of
PostNet, which has been excluded from the headline earnings and core headline earnings
calculations, and offset by the Kagiso share-based payment charge. Earnings per share
('EPS') grew 78% from 35 cents to 62,4 cents. Headline earnings per share ('HEPS')
and diluted HEPS decreased from 31,2 cents to (1,7) cents on the inclusion of the
Kagiso share-based payment charge and the exclusion of the realised profit on the
disposal of PostNet.
We aim to present stakeholders with the same information that management utilises to
evaluate the performance of the group's operations. Accordingly, we present core
headline earnings ('Core HEPS'), which are headline earnings (as calculated based
on SAICA Circular 2/2013) adjusted for the amortisation charge of intangibles
recognised on business combinations and charges relating to share-based payments.
Core HEPS increased by 2% to 33,9 cents and diluted core HEPS decreased by 2% to
32,5 cents. A reconciliation of headline earnings to core headline earnings is
provided in the financial results.
Cash flows from operations by continuing operations increased 9% to R129,8 million
given the proven ability of the group to convert trading profits into cash and ongoing
focus on working capital management. Dividend number 4, totalling R19,4 million, was
paid in the second half of the year.
The group invested R299,5 million in operational infrastructure as follows: R141,6 million
in fleet (of which R126,4 million relates to expansion), R145,8 million in property
(of which R135,2 million relates to the first phase of the OneLogix Logistics Hub),
R6,3 million for other assets (mainly at Atlas360) and R5,8 million in IT-related
assets. Net proceeds of R9,9 million were received on the disposal of fixed assets.
Additional investments of R23,3 million in subsidiaries and DriveRisk were settled
in cash during the year (see Corporate transactions for further detail).
New interest-bearing borrowings of R256,6 million were raised to fund asset-based
financing, offset by the repayment of interest-bearing borrowings of R122,9 million.
Net cash resources at the reporting date were R159,4 million.
Corporate transactions
During the year OneLogix concluded five related-party transactions which saw the group
increase its stake in a number of group companies. OneLogix acquired a further:
- 10% shareholding in Projex for a purchase consideration of R7,9 million. The purchase
price was settled by way of R3,8 million cash and the issue of 1 071 428 fully paid up
OneLogix shares. OneLogix now owns 90% of Projex with Projex management holding the
balance;
- 25% shareholding in CVDS for a purchase consideration of R15,41 million, settled by
way of R5,25 million cash and the issue of 2 571 428 fully paid up OneLogix shares.
OneLogix now owns 100% of CVDS;
- 14% shareholding in United Bulk for a purchase consideration of R14,7 million, settled
by the issue of 3 714 285 fully paid up OneLogix shares. OneLogix now owns 74% of
United Bulk;
- 30% shareholding in Quasar Software Developments (Pty) Ltd ('QSA') for a purchase
consideration of R2,5 million paid in cash. OneLogix now owns 85% of QSA; and
- 2,7% in Atlas360 for a purchase consideration of R0,8 million paid in cash.
OneLogix now owns 71,3% of Atlas360.
In all instances synergies between OneLogix and the companies concerned will be maximised
and management interests will be more closely aligned with those of shareholders. The excess
consideration paid over and above the carrying value of the non-controlling interest acquired
is recognised in equity.
On 4 September 2014, the group fulfilled a contingent payment condition of the original
purchase agreement with DriveRisk (then Drive Report) and acquired an additional 9% equity
to own 49% of the business, for the aggregate consideration of R11 million. R4,5 million
of the consideration relates to the additional shareholding and the balance to the contingent
consideration.
Transformation
As announced on 28 November 2014, OneLogix shareholders approved the implementation of two
share participation schemes. The Employee Share Participation transaction will see eligible
employees of OneLogix (other than directors and prescribed officers of the group) obtain a
10% indirect shareholding interest in OneLogix, while the Management Share Participation
transaction will result in management and executive directors of OneLogix obtaining a 5%
indirect shareholding in OneLogix. These participation schemes were implemented during
January and February 2015, with rights vesting in 2020.
As announced on 2 December 2014 and ratified by shareholders on 20 January 2015, OneLogix
issued to Kagiso Capital, a wholly owned subsidiary of the well-respected Kagiso Charitable
Trust, 28 086 585 OneLogix ordinary shares at R3,60 per share for an aggregate amount of
R101,1 million. This transaction will significantly improve the ownership element of the
OneLogix BEE scorecard given former B-BEEE partner - Izingwe's - divestment in late 2013.
Acquisition
As announced on 9 February 2015, the group acquired a 74% interest in four specialised
logistics companies (known as 'Jackson and Buffelshoek') for a purchase consideration of
R106 million, to be settled through the issue of 3 257 328 OneLogix shares at R4,92 per
share, amounting to R16 million, and a cash payment of R90 million funded from internal
cash resources. The fair value of the purchase consideration - R106,3 million - relates
to acquired shareholder loans of R41,6 million and the investment of R64,5 million in
the companies.
The final purchase price allocation has resulted in the following assets and liabilities
being recognised: property, plant and equipment R134,4 million; intangible assets
R32,4 million; trade and other receivables R46,7 million; inventories R8,4 million;
cash and cash equivalents R10,5 million; taxation R5,2 million; borrowings R72 million;
trade and other payables of R30,6 million; deferred tax liability of R30,3 million; and
the balance to goodwill. A non-controlling interest of R13,6 million was recognised at
the acquisition date, measured using the proportionate share of the identifiable net assets.
Jackson and Buffelshoek complement the group's operations and the transactions represent
the continued and systematic progression of the group's acquisition strategy aimed at
further reducing dependence on the auto-logistics component of the business. Jacques du Randt,
a respected entrepreneur involved in the businesses, will remain invested with interests
of 26% in Jackson and 16% in Buffelshoek, respectively.
The primary factor contributing to the goodwill recognised in these acquisitions is their
specialised service offerings in their respective markets. This goodwill is not expected
to be deductible for income tax purposes.
Had the businesses been acquired effective 1 June 2014, the effect on the statement of
comprehensive income would have been an increase in revenue of R302,1 million and an
increase in profits attributable to the group of R13,5 million. The businesses contributed
R41 million in revenue and R2,7 million in profits attributable to the group for the year.
Disposal
In the year we disposed of our full shareholding in PostNet to Aramex (UK) Ltd for a
consideration of R190,6 million. Proceeds net of cash balances disposed of and capital
gains tax amounted to R148,6 million. Profit after tax on the disposal amounted to
R144,2 million.
The sale was deemed to be in the best interests of both the group and PostNet in light
of the skills required to further optimise the franchise organisation, which fall outside
of our now more evolved core competencies.
Financial information relating to the discontinued operation for the year to the date of
disposal (with comparatives) is set out below.
Year Year
ended ended
31 May 31 May
2015 2014
R'000 R'000
Revenue 19 743 31 869
Operating and administration costs (16 893) (17 036)
Depreciation and amortisation (303) (553)
Profit/(loss) on sale of assets - 8
Operating profit 2 547 14 288
Finance income 170 305
Finance costs (193) (398)
Profit before taxation 2 524 14 195
Taxation (707) (3 977)
Profit from discontinuing operations 1 817 10 218
Profit from disposal of discontinued operations 144 178 -
Profit for the period 145 995 10 218
Changes to the board
The following changes were effected:
- Effective 21 January 2015, Anuradha Sing was appointed as a non-executive director as
previously announced on SENS. Further, effective 18 August 2015, Anuradha Singh resigned
as a non-executive director and Kgotso Schoeman, the present CEO of Kagiso Capital (Pty)
Ltd, was appointed in her stead.
- Post year-end effective 18 August 2015, Debrah Hirschowitz resigned as an independent
non-executive director and member of the audit and risk committee. Bridgitte Mathews,
BCom (Hons), CA(SA), H Dip Tax has been appointed in her stead. Bridgitte has extensive
board level experience.
The board of directors thanks Debrah and Anu for their beneficial input into the company
and welcomes Bridgitte and Kgotso to the board.
Post year-end events
Effective 21 June 2015, United Bulk acquired 74,2% of Cryogas Express (Pty) Ltd for
R5,5 million in a move to expedite the company's entry into the highly specialised cryogenics
market. Certain conditions precedent remain outstanding at the date of this report.
On 22 July 2015 OneLogix announced a further purchase by United Bulk of Vision Transport
(Pty) Ltd ('Vision') for an amount of R110 million, subject to approval by the Competition
Authorities. Vision, a well-respected Gauteng-based logistics company, is a significant
player in the competitive solvent and acid markets of South Africa and neighbouring countries.
Simultaneous with this transaction OneLogix acquired the remaining 26% minority shareholding
in United Bulk by way of the issue of 5,8 million OneLogix shares at a price of R5 per share.
OneLogix now owns 100% of United Bulk.
Dividend
Shareholders are advised that a final dividend in respect of the year ended 31 May 2015,
dividend No 5 of 6 cents per share, was declared on Tuesday, 18 August 2015. This takes the
total dividend for the year ended 31 May 2015 to 14 cents per share.
This is a dividend as defined in the Income Tax Act, 1962, and is payable from income reserves.
The South African dividends tax ('DT') rate is 15%. The net dividend payable to shareholders
who are subject to DT is 5,1 cents per share, while it is 6,0 cents per share for those shareholders
who are exempt from dividends tax. The income tax reference number of the company is 9361229710.
At the declaration date, the issued share capital, excluding treasury shares held in relation
to the Employee and Management Share Participation schemes, was 246,146,289 ordinary shares
of no par value.
The salient dates in respect of the interim dividend are as follows:
Last day to trade cum dividend - Friday, 25 September 2015
Shares will trade ex dividend - Monday, 28 September 2015
Record date - Friday, 2 October 2015
Payment of dividend - Monday, 5 October 2015
Shareholders may not dematerialise or rematerialise their shares between Monday, 28 September
2015 and Friday, 2 October 2015, both dates inclusive.
The final dividend, amounting to R14,8 million, has not been recognised as a liability in the
consolidated financial statements. It will be recognised in shareholders' equity for the year
ending 31 May 2016.
OneLogix will continue to assess the payment of interim and final dividends in light of the
board's ongoing review of earnings, after providing for long-term growth and cash/debt resources,
the amount of reserves available using a going concern assessment and the covenants of facility
providers.
People
We continue expending much effort in building high-quality teams within an enabling culture
that will help drive OneLogix towards our strategic objectives. Our commitment and success
in this regard was affirmed by the award of the international honour 'Top Employer' on our
first attempt. We remain highly appreciative of our management team and staff, who continue
to perform at the highest levels of excellence.
We further thank all our business partners, customers, suppliers, business advisors and
shareholders for their ongoing invaluable support.
Prospects
The group's proven strategy will continue unchanged. We will continue to grow existing businesses,
establish in-house start-ups where appropriate and seek out suitable acquisitions. Acquisitions
will continue to follow the successful model of targeting smaller entrepreneurial businesses to
which the group can offer a strong and experienced management platform that allows them to expand
and realise their potential.
The established businesses within the group are well positioned within their respective niche
markets and will expand as their management envisages, leveraging their reputations and with a
prudent allocation of capital.
The proceeds of both the Kagiso Capital and PostNet transactions (see Transformation and
Disposal above) will be used to pay down short-term debt and the balance to fund the group's
acquisitive and organic growth, as well as further investment in revenue-generating property
investments.
Basis of presentation
The summary consolidated financial statements for the year ended 31 May 2015 have been
prepared in accordance with the requirements of the JSE Limited Listings Requirements
for provisional reports, and the requirements of the Companies Act applicable to summary
financial statements. The JSE Listings Requirements require provisional 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 summary
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 financial statements. These results have been
compiled under the supervision of the Financial Director, GM Glass CA(SA).
We aim to present stakeholders with the same information that management utilises to
evaluate the performance of the group's operations. Accordingly we present core headline
earnings, which are headline earnings (as calculated based on SAICA Circular 2/2013)
adjusted for the amortisation charge of intangibles recognised on business combinations
and charges relating to share-based payments. Please note that core headline earnings
is not an IFRS defined measure.
The group adopted all new and amended accounting pronouncements that were effective for
the group during the current year. None of these had a material impact on the group.
These summary consolidated financial statements for the year ended 31 May 2015 have been
audited by PricewaterhouseCoopers Inc., who expressed an unmodified opinion thereon.
The auditor also expressed an unmodified opinion on the consolidated financial statements
from which these summary consolidated financial statements were derived. A copy of the
auditor's report on the summary consolidated financial statements and the auditor's report
on the consolidated financial statements are available for inspection at the company's
registered office, together with the financial statements identified in the respective
auditor's reports.
The auditor's report does not necessarily report on all of the information contained
in this provisional report. 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 office.
These summary consolidated financial statements were approved by the board of
directors on 20 August 2015. The audited summary consolidated financial statements
are available on the company's website www.onelogix.com.
By order of the board
20 August 2015
Summarised consolidated statement of comprehensive income
Audited Audited
year ended year ended
31 May 31 May
2015 2014
% R'000 R'000
Continuing operations
Revenue 8 1 367 980 1 272 071
Operating and administration costs 6 (1 168 074) (1 101 240)
Depreciation and amortisation 28 (79 265) (61 792)
Share-based payment - specific share issue for cash (71 621) -
(Loss)/profit on sale of assets (366) 9 572
Operating profit (59) 48 654 118 611
Share of profits from associate (9) 3 811 4 190
Finance income >100 6 023 1 330
Finance costs 38 (29 661) (21 442)
Profit before taxation (72) 28 827 102 689
Taxation (26 772) (26 451)
Profit from continuing operations (97) 2 055 76 238
Profit from discontinued operations 1 817 10 218
Profit from disposal of discontinued operations 144 178 -
Profit for the year 71 148 050 86 456
Other comprehensive income
Movement in foreign currency translation reserve* 179 41
Revaluation of owner occupied properties - 16 270
Total comprehensive income for the year 44 148 229 102 767
Profit attributable to:
- Non-controlling interest 7 934 10 367
- Owners of the parent 140 116 76 089
71 148 050 86 456
Other comprehensive income attributable to:
- Non-controlling interest - -
- Owners of the parent 179 16 311
179 16 311
Total comprehensive income attributable to:
- Non-controlling interest 7 934 10 367
- Owners of the parent 140 295 92 400
44 148 229 102 767
Total comprehensive income attributable to owners
of the parent arises from:
- Continuing operations (5 700) 82 182
- Discontinued operations 145 995 10 218
52 140 295 92 400
Number of shares in issue ('000):
- Total issued less treasury shares 246 146 207 402
- Weighted 224 540 217 411
- Diluted 224 540 217 411
- Diluted measure for core earnings purposes 233 825 217 411
Basic and headline earnings per share (cents)
Basic earnings per share (cents) 78 62,4 35,0
Continuing operations (2,6) 30,3
Discontinued operations 65,0 4,7
Diluted basic earnings per share (cents) 78 62,4 35,0
Continuing operations (2,6) 30,3
Discontinued operations 65,0 4,7
Headline earnings per share (cents) (105) (1,7) 31,2
Continuing operations (2,5) 26,5
Discontinued operations 0,8 4,7
Diluted headline earnings per share (cents) (105) (1,7) 31,2
Continuing operations (2,5) 26,5
Discontinued operations 0,8 4,7
Core headline earnings per share (cents) 2 33,9 33,3
Continuing operations 16 33,1 28,6
Discontinued operations 0,8 4,7
Diluted core headline earnings per share (cents) (2) 32,5 33,3
Continuing operations 11 31,7 28,6
Discontinued operations 0,8 4,7
Calculation of headline earnings and core
headline earnings
Profit attributable to owners of the parent 84 140 116 76 089
Loss/(profit) on disposal of property, plant and
equipment less taxation and non-controlling interests 188 (8 163)
Profit on disposal of discontinued operation
less taxation (144 178) -
Headline earnings (106) (3 874) 67 926
Share-based payments 76 095 -
Amortisation of intangible assets acquired as part
of a business combination less taxation and
non-controlling interests 3 852 4 443
Core headline earnings 5 76 073 72 369
Segmental split of amortisation of intangible
assets acquired in a business combination
less taxation and non-controlling
interests
Abnormal logistics 131 798
Primary products logistics 1 536 1 012
Other 537 161
Share in associate 1 648 2 472
(13) 3 852 4 443
* The component of other comprehensive income may subsequently be reclassified to
profit and loss during future reporting periods.
The summarised consolidated statement of comprehensive income distinguishes
discontinued operations from continuing operations.
Comparative figures have been restated.
Summarised consolidated statement of financial position
Audited Audited
at 31 May at 31 May
2015 2014
% R'000 R'000
ASSETS
Non-current assets 56 1 035 775 665 288
Property, plant and equipment 849 947 532 672
Intangible assets 132 184 77 257
Investment in associate 43 964 38 125
Loans and receivables 8 148 15 033
Deferred taxation 1 532 2 201
Current assets 51 393 061 260 935
Inventories 22 222 10 376
Trade and other receivables 210 422 179 455
Taxation - 781
Cash resources 160 417 70 323
Non-current assets held-for-sale 20 082 -
Total assets 56 1 448 918 926 223
EQUITY AND LIABILITIES
Equity 85 688 418 371 577
Ordinary shareholders' funds 643 988 334 978
Non-controlling interests 44 430 36 599
Liabilities
Non-current liabilities 79 419 476 234 812
Interest-bearing borrowings 313 592 168 165
Deferred tax 105 884 66 647
Current liabilities 7 341 024 319 834
Trade and other payables 187 116 182 939
Interest-bearing borrowings 146 369 90 134
Vendor liability - 9 000
Taxation 6 592 1 371
Bank overdraft 947 36 390
Total equity and liabilities 56 1 448 918 926 223
Net asset value per share (cents) 62 261,6 161,5
Net tangible asset value per share (cents) 67 207,9 124,3
Summarised consolidated statement of cash flows
Audited Audited
year ended year ended
31 May 31 May
2015 2014
% R'000 R'000
Net cash generated from operations 104 933 133 434
Continuing operations 9 129 839 119 072
Discontinued operations (24 906) 14 362
Net cash flows from investing activities 8 254 1 265
Continuing operations (172 982) 1 252
Discontinued operations 181 236 13
Net cash flows from financing activities 12 200 (148 680)
Continuing operations 12 424 (148 304)
Discontinued operations (224) (376)
Net movement in cash resources 125 387 (13 981)
Cash resources at beginning of the year 33 933 47 899
Exchange gain on cash resources 150 15
Cash resources at end of the year 159 470 33 933
The summarised consolidated statement of cash flows distinguish discontinued operations
from continuing operations.
Comparative figures have been restated.
Summarised consolidated statement of changes in equity
Stated Treasury Retained Revaluation
capital shares income reserve
R'000 R'000 R'000 R'000
At 1 June 2013 - audited 37 691 (8 431) 271 779 13 258
Dividends declared to non-controlling
interests - - - -
Dividend paid to OneLogix shareholders - - (11 580) -
Non-controlling interest acquired as a
result of a business combination - - - -
Share-based payment reserve movement - - - -
Transactions with non-controlling interests - - - -
Treasury shares becoming unrestricted on
vesting to BEE share scheme participants - 7 802 - -
Share-based payment scheme completed - - 8 075 -
Specific share repurchase - - (60 168) -
Transfer to retained income on disposal - - 1 488 (1 488)
Profit for the year - - 76 089 -
Other comprehensive income - - - 16 270
At 31 May 2014 - audited 37 691 (629) 285 683 28 040
Dividends declared to non-controlling
interests - - - -
Dividend paid to OneLogix shareholders - - (19 431) -
Transactions with non-controlling interests 29 018 - - -
Share-based payment reserve movement - - - -
Specific share issues 315 534 (142 801) - -
Share issue expenses (2 844) - - -
Non-controlling interest acquired as a
result of a business combination 16 026 - - -
Profit for the year - - 140 116 -
Other comprehensive income - - - -
At 31 May 2015 - audited 395 425 (143 430) 406 368 28 040
Summarised consolidated statement of changes in equity
Share- Foreign
based currency
Other payment translation
reserves reserve reserve
R'000 R'000 R'000
At 1 June 2013 - audited 153 7 286 288
Dividends declared to non-controlling interests - - -
Dividend paid to OneLogix shareholders - - -
Non-controlling interest acquired as a result
of a business combination - - -
Share-based payment reserve movement - 789 -
Transactions with non-controlling interests - - -
Treasury shares becoming unrestricted on
vesting to BEE share scheme participants - - -
Share-based payment scheme completed - (8 075) -
Specific share repurchase - - -
Transfer to retained income on disposal - - -
Profit for the year - - -
Other comprehensive income - - 41
At 31 May 2014 - audited 153 - 329
Dividends declared to non-controlling interests - - -
Dividend paid to OneLogix shareholders - - -
Transactions with non-controlling interests - - -
Share-based payment reserve movement - 4 474 -
Specific share issues - - -
Share issue expenses - - -
Non-controlling interest acquired as a result
of a business combination - - -
Profit for the year - - -
Other comprehensive income - - 179
At 31 May 2015 - audited 153 4 474 508
Summarised consolidated statement of changes in equity
Transactions
with non- Non-
controlling controlling
interests interests Total
R'000 R'000 R'000
At 1 June 2013 - audited (29 752) 17 184 309 456
Dividends declared to non-controlling interests - (1 941) (1 941)
Dividend paid to OneLogix shareholders - - (11 580)
Non-controlling interest acquired as a result
of a business combination - 8 359 8 359
Share-based payment reserve movement - - 789
Transactions with non-controlling interests 21 265 2 630 23 895
Treasury shares becoming unrestricted on
vesting to BEE share scheme participants (7 802) - -
Share-based payment scheme completed - - -
Specific share repurchase - - (60 168)
Transfer to retained income on disposal - - -
Profit for the year - 10 367 86 456
Other comprehensive income - - 16 311
At 31 May 2014 - audited (16 289) 36 599 371 577
Dividends declared to non-controlling interests - (3 659) (3 659)
Dividend paid to OneLogix shareholders - - (19 431)
Transactions with non-controlling interests (31 261) (10 067) (12 310)
Share-based payment reserve movement - - 4 474
Specific share issues - - 172 733
Share issue expenses - - (2 844)
Non-controlling interest acquired as a result
of a business combination - 13 623 29 649
Profit for the year - 7 934 148 050
Other comprehensive income - - 179
At 31 May 2015 - audited (47 550) 44 430 688 418
Segmental analysis
Audited Audited
at 31 May at 31 May
2015 2014
% R'000 R'000
Revenue
Abnormal logistics (4) 904 022 937 795
Primary products logistics 44 352 162 245 358
Reportable segments 6 1 256 184 1 183 153
Other 26 111 796 88 918
8 1 367 980 1 272 071
Segment results
Abnormal logistics 2 110 097 108 101
Primary products logistics 66 40 083 24 110
Reportable segments 14 150 180 132 211
Other (9) 6 657 7 277
Corporate items 4 (31 722) (30 449)
Trading profit 15 125 115 109 039
Unallocated:
Share-based payments - employees >100 (4 474) -
Share-based payments - Kagiso transaction >100 (71 621) -
(Loss)/profit on sale of assets >100 (366) 9 572
Operating profit 48 654 118 611
Share of profits from associate (9) 3 811 4 190
Finance income >100 6 023 1 330
Finance costs 38 (29 661) (21 442)
Profit before tax (72) 28 827 102 689
Total assets
Abnormal logistics 16 678 064 583 888
Primary products logistics 168 565 890 210 795
Discontinued operations - retail (100) - 25 291
Reportable segments 52 1 243 954 819 974
Other 20 43 736 36 501
Corporate items 304 115 732 28 641
Investment in associate 15 43 964 38 125
Unallocated: taxation and deferred taxation (49) 1 532 2 982
56 1 448 918 926 223
Total liabilities
Abnormal logistics 24 324 300 261 085
Primary products logistics 109 268 296 128 497
Discontinued operations - retail (100) - 18 888
Reportable segments 45 592 596 408 470
Other 57 23 913 15 195
Corporate items (50) 31 515 62 963
Unallocated: taxation and deferred taxation 65 112 476 68 018
37 760 500 554 646
The group has authorised capital expenditure over the next
12 months of R334,3 million.
Commitments
Operating lease commitments (not exceeding five years) 63 187 71 964
Comparative figures have been restated.
Corporate information
Directors
SM Pityana (Chairman)*#
NJ Bester
GM Glass (FD)
AJ Grant*#
IK Lourens (CEO)
B Mathews*#
CV McCulloch (COO)
K Schoeman*
LJ Sennelo*#
* Non-executive
# Independent
Registered office
46 Tulbagh Road
Pomona
Kempton Park
PostNet Suite 10
Private Bag X27
Kempton Park
1620
Company secretary
CIS Company Secretaries (Pty) Ltd
70 Marshall Street
Johannesburg
2001
PO Box 61673
Marshalltown
2107
Transfer secretaries
Computershare Investor Services (Pty) Ltd
Ground Floor
70 Marshall Street
Johannesburg
2001
PO Box 61051
Marshalltown
2107
Sponsor
Java Capital
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