30 JUNE 2000 FINANCIAL RESULTS

 - report for the year ended 30 June 2000

 

Highlights Income Statement
Balance Sheet Cash Flow Statement
Segmental Analysis Notes
Previous results

 

HIGHLIGHTS

  • Earnings up by 25%


 

INCOME STATEMENT
Rm


2000


1999

Turnover

5 683,9

5 126,0

Costs of sales

4 682,4

4 224,1


Gross profit

1 001,5

901,9

Selling and administrative expenses

670,3

604,8


Operating income

331,2

297,1

Income from investments

101,9

138,1

Income from associates

12,5

13,8


Income before interest paid

445,6

449,0

Interest paid

42,6

78,7


Income before exceptional items

403,0

370,3

Exceptional items

(21,4)

(77,4)


Income before taxation

381,6

292,9

Taxation

100,8

48,2

Income after taxation

280,8

244,7

Minority interests

17,1

34,0


Earnings

263,7

210,7

Adjustment for exceptional items, net of attributable taxation credit and minority interests


13,9


59,6


Headline earnings

277,6

270,3


     

Earnings per share (cents)

   

Headline earnings

79,3

80,2

Fully diluted headline earnings

73,0

74,0

Earnings

75,4

62,3

Fully diluted earnings

69,4

58,2


 

BALANCE SHEET
Rm


2000


1999

ASSETS

   

Non-current assets

   

Property, plant and equipment

898,2

903,0

Investments

193,4

142,5


 

1 091,6

1 045,5

CURRENT ASSETS

   

Inventories and contracts in progress

1 065,0

997,8

Trade, receivables and prepayments

761,4

692,9

Cash and cash equivalents

762,0

701,0


 

2 588,4

2 391,7

TOTAL ASSETS

3 680,0

3 437,2


     

EQUITY AND LIABILITIES

   

CAPITAL AND RESERVES

   

Total shareholders’ funds

1 787,5

1 645,9

Minority interests

111,6

251,1

NON-CURRENT LIABILITIES

   

Interest bearing borrowings

83,0

96,7

Deferred taxation

134,3

149,5


 

217,3

246,2

Current liabilities

   

Trade, other payables and provisions

1 288,4

1 074,2

Short term borrowings

222,6

210,1

Taxation

52,6

9,7


 

1 563,6

1 294,0

TOTAL EQUITY AND LIABILITIES

3 680,0

3 437,2



 

CASH FLOW STATEMENT
Rm


2000


1999

Cash retained from operating activities

497,4

267,1

Investing activities

(247,1)

(395,8)

Financing activities

(65,9)

(64,0)

Net increase/(decrease) in cash and cash equivalents


184,4


(192,7)

Cash and cash equivalents at the beginning of year

407,6

683,6


Cash and cash equivalents at end of year

592,0

490,9


Note:
The comparatives for the group for the previous year have been prepared by aggregating the information of the four operating entities – Alpha, Bearing Man, Grinaker and Tristel.


 

Segmental analysis
Rm


2000


1999

     

REVENUE

   

Construction

3 253,7

2 830,8

Construction materials

1 869,7

1 799,3

Bearings

560,5

495,9


TOTAL

5 683,9

5 126,0


     

HEADLINE EARNINGS

   

Construction

63,6

32,9

Construction materials

197,0

224,7

Bearings

17,3

12,7


TOTAL 277,6 270,3



 

Please note:

Aveng Limited is a South African based construction group. It was listed in July 1999 as a group focused on construction-related activities. It is aiming to be a globally competitive construction-related company focused principally on the developing world.

Its major businesses are

  • Alpha Limited – South Africa’s second largest cement manufacturer. Aveng holds 46% of Alpha and the Swiss group Holderbank, the world’s largest cement manufacturer, holds 54%.
  • Grinaker-LTA Limited – South Africa’s second largest construction company involved in three main areas: Grinaker-LTA Construction and Development; McConnell Dowell which is listed on the Australian and New Zealand stock exchanges and in which Aveng holds 64%, and Grinaker-LTA Engineering and Mining Services. Aveng holds 100% of Grinaker-LTA.
  • Trident Steel (Pty) Limited – South Africa’s second largest steel merchant. Aveng holds 100% of Trident.

Aveng’s objectives are to

  • Achieve a PE rating in the top three of the BCE sector
  • Long-term real ROE of 10%
  • 25% of earnings offshore by 2003