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

FAMOUS BRANDS LIMITED - Trading Statement

Release Date: 15/10/2018 08:30
Code(s): FBR     PDF:  
Wrap Text
Trading Statement

FAMOUS BRANDS LIMITED
(Incorporated in the Republic of South Africa)
(Registration number 1969/004875/06)
Share code: FBR
ISIN code: ZAE000053328
(“Famous Brands” or “the Company” or “the Group”)


TRADING STATEMENT FOR THE SIX MONTHS ENDED 31 AUGUST 2018

Famous Brands is satisfied that a reasonable degree of certainty exists that
the financial results of the Group for the six months ended 31 August 2018
(“the review period”) will differ by at least 20% from those reported for
the six months ended 31 August 2017 (“the prior comparable period”), and
thus is in a position to issue this trading statement in terms of Section
3.4(b)(i) of the Listings Requirements of the JSE Limited.

BACKGROUND

On 16 August 2018, the Group published a voluntary performance update (“the
update”) for its South African (SA) and Rest of Africa and Middle East (AME)
regions for the five-month period ended 31 July 2018, as well as for the
Group’s GBK Restaurants Limited (“GBK”) business, for the 22-week period
ended 29 July 2018.

The update advised that the Group’s results for the six months ended 31
August 2018 were expected to be stronger than those reported in the prior
comparable period, primarily due to an improved performance by the SA and
AME operations which would record a solid increase in operating profit;
however, GBK would report a larger operating loss than in the prior comparable
period.

RESULTS

There has been no change to the information provided in the voluntary
performance update, and accordingly, an improved performance will be reported
at Group operating profit level, while GBK has recorded an operating loss of
GBP2.6 million (2017: GBP872 000) for the review period.

In light of the continued adverse trading conditions and sustained
underperformance of GBK, shareholders are advised that the decision has been
taken by the board of directors (“the Board”) to recognise an impairment of
R874 million (pre-tax) at Group level. The post-tax amount is R760 million.
The Board is of the opinion that this impairment value is prudent in the
current situation.

For the six months ended 31 August 2018, the Group’s basic headline earnings
per share (“HEPS”) compared to the prior comparable period are expected to
be within the range of 175 cents per share to 194 cents per share (2017: 170
cents per share), being an approximate increase of 3% to 14%.

The Basic loss per share is expected to be within the range of 566 cents per
share to 623 cents per share; this is an approximate decrease of 431% to
465%, compared to the prior comparable period’s Basic earnings of 171 cents
per share.

The Group’s results for the review period will be released on SENS on or
about Monday, 29 October 2018.
A live audio webcast of the results will be held at 10h00 (SAST) on 29
October 2018.

To pre-register link to:
https://ccwebcast.eu/links/famousbrands181029/list.php


The financial information on which this trading statement is based has not
been reviewed or reported on by the Group’s external auditors.

Shareholders are reminded that the Company is trading under a cautionary
announcement as released on 17 August 2018 and on 28 September 2018.

15 October 2018
Midrand

Sponsor
The Standard Bank of South Africa Limited

Date: 15/10/2018 08:30:00 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