Rand Mines Ld. - Interim Results
01 July 1997 - 1:13PM
UK Regulatory
RNS No 7169w
RAND MINES LIMITED
1st July 1997
INTERIM REPORT FOR THE SIX MONTHS ENDED 31 MARCH 1997
Interim report for the six months ended 31 March 1997
Consolidated income statement
Six Six
Months Months Year
ended ended ended
31-03-97 31-03-96 30-09-96
(R000) Unaudited Reviewed Audited
Turnover - - -
Operating profit/(loss) (2,093) (1,554) (3,023)
Dividends from investments - 6,008 18,883
Interest received 5,033 6,058 8,232
Surplus on realisation of Investments - 4,057 4,057
Profit before exceptional charge 2,940 14,569 28,149
Exceptional charge (Note 1) 116,001 51,940 51,940
Profit/(deficit) before taxation (113,147) (37,371) (23,791)
Taxation in subsidiary 86 - -
Profit/(deficit) after taxation (113,147) (37,371) (23,791)
Retained surplus at beginning of year 124,410 170,442 170,442
11,263 133,071 146,651
Preference dividends - 4,349 4,349
Available for appropriation 11,263 128,722 142,302
Dividends - 5,964 17,892
Retained surplus 11,263 122,758 124,410
Dividends per share (cents)
- Interim - 10 -
- Final - - 20
Shares in issue (000's) 59,641 59,641 59,641
Earnings per share (cents) (189,7) (70,0) (39,9)
Earnings per share before exceptional
charge (cents) 4,8 17.1 47.2
CONSOLIDATED BALANCE SHEET
31.3.97 31.3.96 30.9.96
(R000) UNAUDITED REVIEWED AUDITED
CAPITAL EMPLOYED
Share capital and premium
(Note 1.1) 11 928 14 910 14 910
Retained surplus 11 263 122 758 124 410
Interest of ordinary shareholders 23 191 137 668 139 320
EMPLOYMENT OF CAPITAL
Fixed assets 23 34 29
Listed investments - 119 964 119 964
Current assets 67 359 35 930 48 878
Debtors - 2 538 1 720
Cash and short-term investments 67 359 33 392 47 158
Total assets 67 382 155 928 168 871
Current liabilities - creditors,
provisions and shareholders
for dividends 44 191 18 260 29 551
23 191 137 668 139 320
Market value of listed investments - 446 333 587 100
RATIOS
Net asset value per share
- Net cash assets (cents) 38,9 - -
- Listed investments at book
value (cents) - 231 234
- Listed investments at market
value (cents) - 778 1 017
NOTES
Unbundling of the Company
In terms of a special resolution passed on 11 October 1996, the authorised share
capital was reduced to R16 000 100 dividend into 80,000,000 shares of 20 cents
each and 10,000 variable rate cumulative preference shares of 1 cent each. The
issued and paid up share capital was reduced to R11 928 244 dividend into
59,641 220 ordinary shares of 20 cents each owned by the company in Ingwe Coal
Corporation Limited in the ratio of 27 Ingwe shares for every 100 shares held in
the company. This resolution was approved by the Supreme Court of South
Africa and registered by the Registrar of Companies.
1. Exceptional charge (R000)
1.1 Cost of 16,103,129 ingwe shares distributed 114,723
to shareholders
Less reduction in share capital 2,982
-------
111,741
1.2 Less surplus on disposal of
1,063,538 Ingwe shares 28,432
------
83,309
1.3 Provisions, including the amount of
R35 million referred to in note 4, less
reversal of provisions no longer required 32,692
------
116,001
-------
2, Taxation
The tax loss of the company is estimated at R40 million.
3. Dividends
No dividend was declared during the six months to 31 March 1997
4. Litigation
The company was unsuccessful in its application for leave to appeal against
the decision of the High Court in the application for a declaratory order
in respect of litigation relating to pensioners' medical aid contributions.
The directors are considering whether to petition the Chief Justice for an
order allowing them to proceed with an appeal to the Surpreme Court of
Appeal. Accordingly a provision of R35 million has been made.
COMMENT
Review of results
The operating loss was the result of costs incurred in administering the
company, largely in local and overseas secretarial fees and legal expenses. The
increased interest received results from higher cash resources held during the
period under review.
Prospects for the year
Should the company not acquire viable assets, in the near future, the process to
wind up the company will be initiated.
For and on behalf of the Board
J.C. HALL (Chairman and Managing Director) )
D.T. WATT ) Directors
Johannesburg
27 June 1997
Registered office Transfer secretaries United Kingdom
secretaries
5 Handel Road Rand Registrars Limited Viaduct Corporate
Ormonde, 2091 Block C, Crownwood Services Limited
(P.O. Box 78861) 100 Northern Parkway 19 Charterhouse Street
Sandton, 2146) Ormonde, 2091 London EC1N 6QP
Republic of South Africa (P.O. Box 82549) England
Telephone:(011) 496 1777 Southdale, 2135) Telefax: (0171) 430 3547
Telefax: (011) 496 1260 Republic of South Africa Telephone (0171) 404 1944
Telephone: (011) 496 2222
Telefax: (011) 496 1244
United Kingdom registrars, transfer and paying agents
Registration office: Bearer reception office:
The Royal Bank of Scotland plc The Royal Bank of Scotland plc
Registrars Department Registrars Department
P O Box 82 First Floor
Caxton House 5-10 Great Tower Street
Redcliffe Way London, EC3R 5ER
Bristol BS99 7NH, England England
Telephone: (0117) 930 6600 Telephone: (0171) 615 5750
Telefax: (0117) 930 6509 Telefax: (0171) 283 6364
END