CAXTON AND CTP PUBLISHERS AND PRINTERS LIMITED - Reviewed Provisional Group Results for the year ended 30 June 2019

Reviewed Provisional Group Results for the year ended 30 June 2019

CAXTON & CTP PUBLISHERS & PRINTERS LIMITED
Incorporated in the Republic of South Africa
Registration number: 1947/026616/06
Share code: CAT ISIN: ZAE000043345
Preference share code: CATP ISIN: ZAE000043352


REVIEWED PROVISIONAL
GROUP RESULTS
FOR THE YEAR ENDED 30 JUNE 2019

                                                                                           Reviewed         Audited
                                                                                       for the year    for the year
                                                                                              ended           ended
                                                                                            30 June         30 June
                                                                                               2019            2018
Reviewed group results                                                     % Change           R’000           R’000
Revenue                                                                      (0.2%)       6 320 895       6 333 921
Pro t from operating activities before depreciation and amortisation        (13.9%)         653 660         759 475
Pro t for the year                                                          (12.4%)         355 330         405 750
Cash, cash equivalents and listed preference shares                            9.9%       1 758 104       1 599 194
Earnings per share (cents)                                                  (12.0%)            86.7            98.5
Headline earnings per share (cents)                                          (6.8%)           101.6           109.0
Net asset value per share (cents)                                              1.4%           1 484           1 464
Declared dividend per share (cents)                                            0.0%            60.0            60.0

Commentary
The Caxton group has shown some resilience by posting a relatively small decline in headline earnings (6.8%)
against the backdrop of a stagnant economy, a declining retail sector and continued changes in the highly competitive
media landscape.

Revenues ended marginally down and with raw material input prices continuing to rise with limited opportunity to
recover those from customers, we experienced a reduction in margins that was somewhat offset through the continued
focus on staff and operating expenses.

The previously reported upon transaction in which our shares in Private Property South Africa were sold to our
associate, Cognition Holdings, resulted in an accounting loss of R37.2 million .

A decision was made to impair a printing press as there is no certain prospect that this capacity can be utilised in the
short to medium term. This resulted in a net impairment of R26.1 million.

Net finance income increased from R114.7 million to R133.3 million, as a result of a dividend being received for
the rst time from our Novus investment and increased interest income due to higher cash balances over the reporting
period.

Profit before tax declined by 16.5% and pro t after tax by 12.4% resulting in earnings per share of 86.7 cents
(2018: 98.5 cents), a decline of 12.0%, and headline earnings per share of 101.6 cents (2018: 109.0 cents), a
decline of 6.8%.

Cash and cash equivalents including listed preference shares increased by R158.9 million ending on R1 758.1 million
and remains an important asset on our balance sheet to fund new growth opportunities.

The group will continue to manage its business in as tight a manner as possible in a trading environment that is
unlikely to change in the medium term.

Having said this, we are most fortunate to have a strong balance sheet that can be effectively used to acquire
businesses that can drive growth and diversification.

Statement

This short-form announcement is the responsibility of the directors and is only a summary of the information in
the full announcement and does not contain full or complete details. The full announcement will be released on
19 September 2019 and can be found on the company’s website at https://caxton.co.za/about/announcements/
and also on the following link: https://senspdf.jse.co.za/documents/2019/JSE/ISSE/CAT/CATAR2019.pdf The full
announcement is available at the Company’s registered office and the offices of the sponsor during office hours. Any
investment decision should be based on the full announcement published on the Company’s website.

By order of the board
19 September 2019

Executive Directors:
TD Moolman, PG Greyling, TJW Holden

Non-Executive Directors:
PM Jenkins, ACG Molusi, NA Nemukula, T Slabbert, J Phalane

Transfer Secretaries: Computershare Investor Services Proprietary Limited
Registered Office: 28 Wright Street, Industria West, Johannesburg

Sponsor: Arbor Capital Sponsors Proprietary Limited

Company website: www.caxton.co.za

Date: 19/09/2019 01:45:00
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