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Annual Results For The Year Ended 30 September 2020
Steinhoff Investment Holdings Limited
(Incorporated in the Republic of South Africa)
(Registration number: 1954/001893/06)
JSE Code: SHFF
ISIN: ZAE000068367
("Steinhoff Investments", "Company" or the "Group")
ANNUAL RESULTS FOR THE YEAR ENDED 30 SEPTEMBER 2020
1. SALIENT FEATURES
• Revenue from continuing operations increased by 3.5% to R63.7 billion for the year ending 30
September 2020 (“FY 2020”, “Reporting Period”) from R61.5 billion in the previous year (“FY
2019”).
• During the Reporting Period total impairments of R5.1 billion were recorded, a prior year
impairment of R3.9 billion was reversed, a provision of R9.4 billion was recognised in respect
of Litigation Settlement Proposal and a foreign exchange loss of R5.0 billion was recognised
on the SIHPL CPU liability.
• Operating profit from continuing operations, before other material expenses, increased from
a profit of R6.0 billion for FY 2019 to a profit of R6.4 billion for FY 2020.
• An operating loss, from continuing operations after other material expenses, of R9.5 billion
was recorded for FY 2020, compared to an operating profit of R7.6 billion in FY 2019.
• Headline earnings per share reduced from a profit of 7 971.6 cents for FY 2019 to a loss of
12 483.1 cents in FY 2020.
• Basic earnings per share deteriorated from a profit of 5 749.1 cents for FY 2019 to a loss of
23 116.4 cents in FY 2020.
• The Group adopted IFRS 16: Leases during the current Reporting Period, using a modified
retrospective approach with no restatement of prior period reported results. This had a
material impact on the Group’s statutory results for the Reporting Period.
• Two preference share dividends were declared, as set out in the terms of the preference
shares: a dividend of 416.90753 cents per share was declared in February 2020, a decrease of
0.3% compared to the prior corresponding period (2019: 418.09818 cents per share) and in
August 2020 a dividend of 356.78425 cents per share was declared, a decrease of 15%
compared to the prior corresponding period (2019: 419.33733 cents per share).
2. OVERVIEW
Steinhoff Investments is a wholly-owned subsidiary of Steinhoff International Holdings N.V.
(“Steinhoff N.V.”) and is the issuer of variable rate, cumulative, non-redeemable, non-
participating preference shares with a capital value of R1.5 billion. The preference shares are listed
on the JSE. Following the events of December 2017, the publication of the Consolidated Financial
Statements was not completed within the prescribed timeframe and the listing of the preference
shares was suspended by the JSE, effective 1 March 2018, and it has remained suspended since
that date.
The audited 2019 Annual Financial Statements were issued on 29 May 2020, the unaudited and
unreviewed 2020 Interim Results were issued on 3 September 2020, the audited 2016 and 2017
Annual Financial Statements were issued on 2 October 2020 and the 2018 audited Annual
Financial Statements issued on 30 October 2020, bringing the financial reporting back up to date.
The release of the audited 2020 Annual Consolidated and Separate Financial Statements (“2020
Annual Financial Statements”) today maintains that status.
3. DIVIDEND DECLARATION – ORDINARY SHARES
No dividend has been declared on the ordinary shares.
4. AUDIT
These 2020 Annual Financial Statements have been audited by the Company’s auditors, Mazars,
who expressed two modified audit opinions thereon. The modified audit opinions included:
a) a qualification of opinion on the Consolidated 2020 Annual Financial Statements;
b) the Basis for Qualified Opinion on the Consolidated 2020 Annual Financial Statements
included the comparability of the Consolidated Statement of Financial Performance and the
Consolidated Statement of Cash Flows due to the prior year disclaimer of opinion, and the
provision for the Litigation Settlement Proposal;
c) a qualification on the Separate 2020 Annual Financial Statements;
d) the Basis for Qualified Opinion on the Separate 2020 Annual Financial Statements included
the comparability of the Consolidated Statement of Financial Performance and the
consolidated Statement of Cash Flows due to the prior year disclaimer of opinion; and
e) reference to two reportable irregularities reported to IRBA:
(i) Non-compliance of JSE Listing Requirements due to Steinhoff Investments
publication of the unreviewed Interim Results for the six months ended 31 March
2020, and
(ii) Non-compliance of the Income Tax Act as the Group has not filed annual income tax
returns as a result of the annual financial statements not being finalised for past
years.
The full auditor’s report forms part of the 2020 Annual Financial Statements and includes details
of the key audit matters and the reasoning for the modifications set out above. The 2020 Annual
Financial Statements are available through the links provided below.
5. SHORT-FORM ANNOUNCEMENT
This short-form announcement is the responsibility of the directors of the Company. It is only a
summary of the information in the 2020 Annual Financial Statements and does not contain full or
complete details. This announcement has not been audited but has been extracted from the 2020
Annual Financial Statements. The 2020 Annual Financial Statements includes the auditor’s report
and can be found at:
https://senspdf.jse.co.za/documents/2020/JSE/ISSH/SHFFH/SHFF_FY20.pdf
or on Steinhoff N.V.’s website http://www.steinhoffinternational.com or may be requested in
person, at the Company's registered office or the office of the sponsor, at no charge, during office
hours.
Any investment decisions by investors and/or preference shareholders should be based on all
financial information released, including the 2020 Annual Consolidated and Separate Financial
Statements as a whole.
These 2020 Annual Financial Statements have been prepared under the supervision of TLR de
Klerk (director); BCom (Hons), CTA, HDip (Tax), CFM.
JSE Sponsor: PSG Capital
Stellenbosch, 18 December 2020
Date: 18-12-2020 10:30:00
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