We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Register to chat with like-minded investors on our interactive forums.
| Share Name | Share Symbol | Market | Type | Share ISIN | Share Description |
|---|---|---|---|---|---|
| Inqo Investments Limited | AQSE:INQO | Aquis Stock Exchange | Ordinary Share | ZAU000014391 | Ordinary shares |
| Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
|---|---|---|---|---|---|---|---|---|---|---|
| 0.00 | 0.00% | 66.00 | 65.00 | 67.00 | 66.00 | 64.50 | 64.50 | 0.00 | 08:01:46 |
| Industry Sector | Turnover | Profit | EPS - Basic | PE Ratio | Market Cap |
|---|---|---|---|---|---|
| 0 | 0 | N/A | 0 |
From May 2019 to May 2024
TIDMINQO
RNS Number : 4472F
Inqo Investments Limited
27 July 2016
Inqo Investments Limited
("Inqo" or the "Company")
Preliminary results for the year ended 29 February 2016
CHAIRMAN AND CHIEF EXECUTIVE STATEMENT
Inqo Investments Limited (ISDX: INQO) is a South African based social impact company that acquires and invests in businesses that tackle poverty and the social needs of low income earners at the base of the economic pyramid in Sub-Saharan Africa.
COMMENTARY
The period since October 2014 to date has been one of consolidation for Inqo. Between October 2014 and April 2016, we renegotiated loans with institutions which will result in a total saving of R30 million in interest repayments and during this period we listed Inqo on the ISDX Growth Market in London.
The results for this year reflect a loss before tax for the year of R4,718,271 (2015: Profit of R8,974,270) equating to 0.62 cents per share with revenues of R10,650,195 (2015: R11,249,300). The company incurred listing expenses amounting to R1.5 million during the year and these are viewed as once-off costs that will not recur each year. Finance costs during the year amounted to R1.1 million mainly related to the convertible loans which were converted to equity before year end and this is also a non-recurring expense. The loan negotiations and the convertible loan restructuring has resulted in the company being free of any borrowings and loans.
Investee companies
Kuzuko Lodge
The trading losses at Inqo group level are mainly attributable to losses at Kuzuko Lodge, Inqo's main trading subsidiary of R950,638 (2014: R1,992,798). Whilst the lodge operation has essentially been profitable, conservation and habitat rehabilitation work on the reserve continues to require funding, resulting in losses. Kuzuko Lodge continues to see improvements in its trading position reflecting a reduced loss in comparison to the previous year. Our main thrust with Kuzuko Lodge in the 2015/6 year was to increase the average rate achieved per room to provide a platform to get the operation to profitability. We are pleased to report that while the annual occupancy decreased by 8% due to changes in visitor visa requirements affecting the whole industry, the average room rate achieved increased by 30%. We are pleased to report that this trend has continued in the first quarter of 2016/7. Kuzuko Lodge is now in its 8(th) season and we expect to see further improvements as we continue to build its reputation.
Spekboom Trading
We continue our interaction with the Department of Environmental Affairs (DEA) to obtain a further reforestation grant to extend the planting of spekboom on the Kuzuko Game Reserve. When agreement is reached with the DEA we will create some 100 new jobs in the local community. To date, the company has re-planted 500 acres of spekboom on degraded land.
Bee Sweet Honey
We concluded negotiations in the first quarter with Bee Sweet Honey Limited a Zambian commercial producer of honey with 60,000 beehives and 12,000 farmers in its programme. Output for 2016 is expected to be 200 tons of honey for export. Inqo invested an initial tranche of US$60 000 in this venture that will allow Bee Sweet to acquire and supply an additional 5,000 hives and recruit 500 new farmers to the honey production programme. The bee hives are harvested twice a year and Inqo expects to earn its first revenues in the next financial year.
Medical Diagnostech
The company manufactures rapid point-of-care (POC) tests for HIV/AIDS, malaria, drugs of abuse and pregnancy.
The company produced 800,000 test kits in 2015/6.
OUTLOOK
In the current year Inqo expects to benefit from the improved trading at Kuzuko Lodge and first revenues from its Bee Sweet Honey investment.
The improved room rates that have been achieved and the increased occupancies experienced at Kuzuko Lodge in the latter part of the 2015/6 year and the first quarter of 2016/7 are expected to continue on the back of the fact that the Rand remains weak against other currencies, making South Africa an attractive destination for tourists.
A factor that must be borne in mind in the current 2016/7 year is that the DBSA long term loan was settled in April 2016, being the final part of the restructuring exercise that the group entered into in 2015. The settlement of R15 million made and the resulting write back of interest historically charged of a further R14 million that will arise as a result of the loan settlement will strengthen the financial position of the company and reflect positively on the groups trading results for the 2016/7 year.
SUMMARY OF SOCIAL & ENVIRONMENTAL METRICS SINCE PROJECT COMMENCEMENT
-- 39,000 acres of former farmland restored as a game reserve in a region of endemic poverty in the poorest province in South Africa.
-- Increased income tax paid year on year, currently 55 fulltime and 12 part-time and contracted staff employed.
-- All staff living at Kuzuko in standard housing with flush toilets, power, water and solar panels.
-- Conservation of 3 endangered species.
-- Reforestation of 500 acres of degraded land with spekboom providing work for 81 part time staff.
-- 800,000 low cost medical diagnostic tests for infectious diseases manufactured and supplied.
-- 60,000 beehives in the field providing 12,000 farmers with increased income.
STAFF
The directors would like to take this opportunity to thank all the operating staff in the group for their contribution and commitment to the group's objectives.
FINANCIAL INFORMATION
During the year the group and company identified that the revaluation reserve has always excluded deferred tax relating to the land revaluation, whereas the revaluation reserve should have been reflected net of deferred tax. In prior years, the company and group had been in an overall deferred tax asset position which was not recognised due to the uncertainty of the timing of future taxable income. However, due to the change in the capital gains tax rate notified in the South African February 2016 budget speech, the company and group moved into a deferred tax liability position at 29 February 2016.
The financial information set out in this announcement does not constitute statutory financial statements. This financial information has been extracted from Inqo's audited group financial statements for the year ended 29 February 2016. A copy of these audited financial statements will be available on the company website by 31 July 2016.
DIVID
The company has not declared a dividend for the year ended 29 February 2016.
K.S Tan C.J Bertie Chairman Chief Financial Officer
For further information please contact:
Hot Features
Premium
Inqo Investments Limited
Chris Bertie, Chief Financial Officer Tel: +27 (0)83
6254069
and Chief Operating Officer
Shard Capital Partners LLP
ISDX Corporate Adviser and Broker Tel: +44 (0)20
7186 9948
Dr Wang Chong
Statement of comprehensive income
for the year ended 29 February 2016
Restated
Audited Audited
Year ended Year ended
29 February 28 February
2016 2015
R'000 R'000
Revenue 10 650 11 249
Cost of Sales (1 650) (1 799)
Gross profit 9 000 9 450
Other income 1 134 14 977
Selling and administrative
expenses (14 795) (15 809)
------------- -------------
Operating (loss)/profit (4 661) 8 618
Net financing (costs)/income (57) 356
------------- -------------
(Loss)/profit before
taxation (4 718) 8 974
Taxation 259 905
------------- -------------
(Loss)/profit for
the year (4 459) 9 879
Other comprehensive
income (2 896) 3 946
------------- -------------
Revaluation of
land - 4 851
Deferred tax on
revaluation (2 896) (905)
------------- -------------
Total comprehensive
income for the year (7 355) 13 825
============= =============
(Loss)/earnings
per share (cents) (0.62) 0.48
Diluted (loss)/earnings
per share (cents) (0.59) 0.41
Statement of financial position
at 29 February 2016
Restated
Audited Audited
29 February 28 February
2016 2015
Assets R'000 R'000
Non-current assets 119 110 118 714
-------------- -------------
Property, plant
and equipment 119 082 118 687
Intangible assets 28 27
Current assets 31 803 23 078
-------------- -------------
Inventories 389 742
Trade and other
receivables 4 806 2 828
Biological assets 2 950 2 683
Cash and cash
equivalents 23 658 16 825
-------------- -------------
Total assets 150 913 141 792
============== =============
Equity and liabilities
Capital and reserves
Ordinary share
capital 58 198 28 813
Share premium 58 228 13 266
Revaluation reserve 60 200 63 096
Accumulated loss (65 871) (61 546)
-------------- -------------
Equity attributable
to equity holders
of Inqo Investments
Limited 110 755 43 629
Non-controlling
interest (133) 1
-------------- -------------
Total equity 110 622 43 630
Non-current liabilities 17 759 82 950
-------------- -------------
Loans from related
parties 414 28 153
Other long term
loans 538 34 617
External loans
and borrowings 13 977 19 987
Deferred tax 2 637 -
liability
Debentures 193 193
Current liabilities 22 532 15 212
-------------- -------------
Trade and other
payables 6 277 3 849
Provision 252 353
External loans and
borrowings - current
portion 16 003 11 010
-------------- -------------
Total liabilities 40 291 98 162
Total equity
and liabilities 150 913 141 792
============== =============
Statement of changes in equity
for the year ended 29 February 2016
Share capital Share premium Revaluation Accumulated Non-controlling Total
reserve loss interest
R'000 R'000 R'000 R'000 R'000 R'000
Restated balance
at
28 February 2015 28 813 13 266 63 096 (61 546) 1 43 630
Shares issued 29 385 44 962 - - - 74 347
Loss for the year - - (2 896) (4 325) (134) (7 355)
Balance at 29
February
2016 58 198 58 228 60 200 (65 871) (133) 110 622
============== ============== ============ ============ ================ ==================
Restated balance
at
28 February 2014 28 813 13 266 59 150 (71 425) 1 29 805
------------ ------------ ------------------
Opening balance
as
previously
reported 72 726 (85 001) 29 805
Prior year error (13 576) 13 576 -
------------ ------------ ------------------
Loss for the year - - - 9 879 9 879
------------ ------------------
Loss as
previously
reported 8 974 8 974
Prior year error 905 905
------------ ------------------
Other
comprehensive
income 3 946 - 3 946
------------ ------------------
Other
comprehensive
income as
previously
reported 4 851 - - 4 851
Prior year error - - (905) - - (905)
------------ ------------------
Restated balance
at
28 February 2015 28 813 13 266 63 096 (61 546) 1 43 630
============== ============== ============ ============ ================ ==================
Statement of cash flows
for the year ended 29 February 2016
Audited
for Audited
the for
year the year
ended ended
29 February 28 February
2016 2015
R'000 R'000
Cash (utilised) /generated
by operations (3 938) 9 744
Net cash (outflow)/inflow
from operating activities (3 938) 9 744
------------- --------------
Cash flows from investing
activities
Acquisition of biological
assets - (107)
Acquisition of property,
plant and equipment
and intangible assets (1 758) (1 424)
Net cash outflow from
investing activities (1 758) (1 531)
------------- --------------
Cash flows from financing
activities
Loans and borrowings
received/(repaid) 29 (19 916)
Shares issued to new
shareholder for cash 12 500 -
Loans from related
parties repaid - (2 738)
-------------
Net cash inflow/(outflow)
from financing activities 12 529 (22 654)
------------- --------------
Net movement in cash
and cash equivalents 6 833 (14 441)
Cash and cash equivalents
at beginning of year 16 825 31 266
Cash and cash equivalents
at end of year 23 658 16 825
============= ==============
This information is provided by RNS
The company news service from the London Stock Exchange
END
FR SEDFMWFMSELW
(END) Dow Jones Newswires
July 27, 2016 12:44 ET (16:44 GMT)
1 Year Inqo Investments Chart |
1 Month Inqo Investments Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions
