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DISTELL GROUP HOLDINGS LIMITED - Reviewed Group results for the year ended 30 June 2021

Release Date: 26/08/2021 07:06
Code(s): DGH     PDF:  
Wrap Text
Reviewed Group results for the year ended 30 June 2021

Distell Group Holdings Limited
(Incorporated in the Republic of South Africa)
Registration number: 2016/394974/06
JSE share code: DGH     ISIN: ZAE000248811
("Distell" or "the Group" or "the Company")

Reviewed Group results for the year ended 30 June 2021 


- Group revenue and volumes up 26,3% recovering to pre-COVID-19 levels 
  - Domestic revenue up 29,4% alongside market share gains across all categories
  - Africa revenue (including BLNE) up by 22,9% as route-to-market expands
  - Strong and profitable international premium spirits performance continues 

- Excise duty contribution up by 31,8% to R8,3 billion

  - Reported up 99,8%
  - Normalised and adjusted for forex up 87,3% (1)(2)

- Headline earnings
  - Reported up 227,3%
  - Normalised and adjusted for forex up 302,4% (2)

- Return on invested capital improves 10bps on pre-COVID-19 levels

- Dividend payments remain suspended due to ongoing discussions with Heineken

1 Normalised earnings before interest, tax, depreciation and amortisation (EBITDA) refers to EBITDA adjusted for the: (a) profit or loss on 
  disposal and impairment of property, plant and equipment (PPE) and intangible assets; (b) retrenchment, legal disputes and merger and acquisition 
  related costs, and (c) the expected credit loss on Zimbabwe savings bonds in the prior year.
2 Foreign currencies and abnormal transactions affect the Group's performance. Where relevant in this report, adjusted non-IFRS measures are presented. 
  These adjusted measures represent pro forma financial information. A reconciliation of the pro forma financial information to the equivalent IFRS metrics 
  is provided in note 13 to the condensed consolidated financial statements.

Group revenue increased by 26,3% to R28,3 billion (2020: R22,4 billion). Headline earnings per share increased by 227,1% to 769,6 cents (2020: 235,3 cents), 
and earnings per share by 519,3% to 880,6 cents (2020: 142,2 cents), in line with previous guidance given on 16 August 2021.


The Group released a further cautionary announcement today with regards to an update on discussions between Heineken and Distell (the Potential Transaction). 
While the discussions are progressing, several aspects still need to be considered and ultimately agreed upon. The Potential Transaction, should it proceed, 
will be subject to several conditions, one of which relates to Distell not making any distributions, including dividend declarations to its shareholders in 
respect of the financial year ended 30 June 2021.

In light of this, the board has taken a decision not to declare a dividend for the financial year ended 30 June 2021. In the event that discussions regarding 
the Potential Transaction are terminated, the board intends to declare a dividend in respect of the financial year ended 30 June 2021.

Shareholders should take note, that although discussions have progressed, there is no certainty that the remaining aspects will be successfully resolved 
and agreed. The board believes that it will be able to provide more detailed information to shareholders on the Potential Transaction before the end of Q3 2021.

For the financial year ended 30 June 2020, no final dividend was declared due to uncertainty caused by alcohol bans, and to improve the liquidity of the Group 
following the impact of COVID-19. 

This short-form announcement is the responsibility of the directors of the Company. It contains only a summary of the information in the full announcement 
and does not contain full or complete details. The full announcement can be found at:  
The full announcement is also available for viewing on the Company's Investor Relations (IR) section of its website at:

In addition, electronic copies of the full announcement may be requested and obtained, at no charge, from the Company at 
or from the Company's sponsor and broker, Rand Merchant Bank. 
Any investment decisions should be based on consideration of the full announcement.  
The Company has based this short-form announcement on the financial results for the year ended 30 June 2021, which have been reviewed by the 
Company's auditor, PricewaterhouseCoopers Inc., who expressed an unmodified review conclusion thereon. 
Shareholders and other interested parties are invited to join management in discussing Distell's year-end results via webcast and 
conference call at 11:00 am SAST on Thursday, 26 August 2021. 
Presentation details: 
- Webcast link: 

- Conference call:
  - South Africa (Toll Free): 0 800 200 648
  - Johannesburg:             011 535 3600
  - Other Countries:          +27 11 535 3600
  - UK:                       0 333 300 1418
  - USA  & Canada             1 508 924 4326

- Presentation slides will be made available on the webcast and on the Group's website ( shortly 
  after the live broadcast of the webcast. 

- A Q&A facility will be available during the presentation via webcast or telephone. 
IR Contact:
Frank Ford

Approved by the board: 25 August 2021
SENS release date: 26 August 2021

Sponsor and Corporate Broker
RAND MERCHANT BANK (A division of FirstRand Bank Limited)

Date: 26-08-2021 07:06:00
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