Unaudited abridged group interim results for the half year ended 31 July 2022 | Chetty (Appointed 1 July 2022),S S Mantswe (Appointed 1 July 2022) ,S Manake (Appointed 1 | |
Directors: B D Phirie(Chaiperson), G H Abdoola (MD), S Puvimanasinghe,V T Tebele Amaresh | ||
September 2022) P K Balopi(Retired 05 July 2022),P Bezuidenhout ( Retired 30 June 2022) | ||
GROUP | 11.90 | Registered Office: Acumen Park, Plot 50370, Fairground Office Park, P O Box 1172 Gaborone |
REVENUE | Transfer secretaries: Grant Thornton Business Services (Proprietary) Limited, | |
EARNING PER | ||
11% | Auditors: Ernst & Young, 2nd Floor Plot 22, Khama Crescent PO Box 41015 Gaborone, | |
SHARE HALF YEAR | ||
Botswana |
CONSOLIDATED STATEMENT OF CHANGES IN EQUITY FOR THE HALF YEAR ENDED 31 JULY 2022
The Board of Directors of Turnstar Holdings Limited are pleased to present the unaudited Group Financial results, for the 6 month period ended 31 July 2022.
The Group consists of Turnstar Holdings Limited (Botswana), Island View (Proprietary) Limited (Botswana), Mlimani Holdings Limited (Tanzania), Turnstar Investments Limited (UAE) and Palazzo Venezia Holdings Limited (UAE). We hereby report on the performance of the group.
Basis of preparation and accounting policies
The summarised financial results have been prepared in accordance with International Financial Reporting Standards ("IFRS"), and contain the information required by IAS 34, Interim Financial Reporting. In preparing the underlying financial statements from which these summarised financial results were extracted, all IFRS and International Reporting Interpretations Committee interpretations issued
GROUP | COMPANY | |||||||
CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOME | Unaudited | Unaudited | Audited | Unaudited | Unaudited | Audited | ||
31-Jul-22 | 31-Jul-21 | 31-Jan-22 | 31-Jul-22 | 31-Jul-21 | 31-Jan-22 | |||
Continuing operations | Pula | Pula | Pula | Pula | Pula | Pula | ||
Rental income | 142,652,668 | 128,177,218 | 266,595,710 | 80,313,748 | 74,552,633 | 154,076,022 | ||
Other income | 1,438,703 | 1,011,415 | 2,352,161 | 2,314,486 | 1,811,864 | 4,108,434 | ||
Operating expenses | (70,974,131) | (56,971,638) | (119,738,107) | (40,721,701) | (35,517,596) | (75,812,628) | ||
Dividend income from subsidiary | - | - | - | 6,280,224 | 6,181,013 | 14,946,873 | ||
Operations profit | 73,117,240 | 72,216,995 | 149,209,764 | 48,186,757 | 47,027,914 | 97,318,701 | ||
Finance income | 14,339 | 104,343 | 243,593 | 7,020,596 | 6,401,204 | 12,760,195 | ||
Finance cost | (12,325,316) | (10,619,925) | (21,280,321) | (12,325,316) | (10,619,925) | (21,280,321) | ||
Profit before exchange difference and FV | 60,806,263 | 61,701,413 | 128,173,036 | 42,882,037 | 42,809,193 | 88,798,575 | ||
Exchange gain | 12,968,818 | 107,747 | 12,423,604 | 12,968,818 | 107,747 | 12,423,604 | ||
Exchange loss | (19,768,666) | (791,024) | (17,334,952) | (19,639,233) | (716,172) | (17,291,609) | ||
Profit before FV | 54,006,415 | 61,018,136 | 123,261,689 | 36,211,622 | 42,200,768 | 83,930,571 | ||
Impairment of investment in subsidiary | - | - | - | - | - | (65,083,782) | ||
Fair value adjustments | - | - | (8,900,110) | - | - | 59,443,996 | ||
Profit before tax | 54,006,415 | 61,018,136 | 114,361,579 | 36,211,622 | 42,200,768 | 78,290,785 | ||
Taxation | 14,621,549 | (2,257,822) | (13,425,106) | 23,836,699 | 7,329,819 | 4,090,362 | ||
Profit for 6 months | 68,627,964 | 58,760,314 | 100,936,473 | 60,048,321 | 49,530,587 | 82,381,147 | ||
Other comprehensive income | ||||||||
Exchange difference on translating foreign operations | 51,326,513 | 208,173 | 40,437,771 | - | - | - | ||
Total comprehensive income for the half year | 119,954,477 | 58,968,487 | 141,374,244 | 60,048,321 | 49,530,587 | 82,381,147 | ||
Basic earnings per linked unit (in thebe) | 11.99 | 10.27 | 14.21 | 10.50 | 8.66 | 27.34 | ||
Distribution per linked unit(in thebe) | 9.00 | 9.00 | 19.00 | 9.00 | 9.00 | 19.00 | ||
Debenture interest per linked unit(in thebe) | 7.9024 | 7.9197 | 11.9400 | 7.9024 | 7.9197 | 11.9400 | ||
Dividend per linked unit(in thebe) | 1.0976 | 1.0803 | 7.0600 | 1.0976 | 1.0803 | 7.0600 | ||
Number of linked units | 572,153,603 | 572,153,603 | 572,153,603 | 572,153,603 | 572,153,603 | 572,153,603 | ||
Group | |||||||
Stated capital | Linked unit | Fair value | Foreign | Distribution | Retained | Total equity | |
debentures | surplus | Currency | reserve | earnings | and reserves | ||
translation | |||||||
Figures in Pula | reserve | ||||||
Opening balance of group at 01 February 2022 | 346,420,555 | 286,076,802 | 688,625,100 | 177,161,668 | 51,493,824 | 184,965,721 | 1,734,743,670 |
Profit for the 6 month period | 68,627,964 | 68,627,964 | |||||
Other comprehensive income for the 6 month period | 51,326,513 | 51,326,513 | |||||
Total comprehensive income for the 6 month period | - | - | - | 51,326,513 | - | 68,627,964 | 119,954,477 |
Final debenture interest and dividends paid 31 January 2022 | - | - | - | - | (51,493,824) | - | - |
Debenture interest and dividends transferred to dividend and | |||||||
debenture interest reserve | 51,493,824 | (51,493,824) | |||||
Transactions with unit holders recognised in statement of | |||||||
changes in equity | - | - | - | - | - | (51,493,824) | (51,493,824) |
Balance as at 31 July 2022 | |||||||
346,420,555 | 286,076,802 | 688,625,100 | 228,488,181 | 51,493,824 | 202,099,861 | 1,803,204,323 |
CONDENSED CONSOLIDATED STATEMENT OF CASHFLOW | ||||||
FOR THE HALF YEAR ENDED 31 JULY 2022 | GROUP | COMPANY | ||||
Unaudited | Unaudited | Audited | Unaudited | Unaudited | Audited | |
31-Jul-22 | 31-Jul-21 | 31-Jan-22 | 31-Jul-22 | 31-Jul-21 | 31-Jan-22 | |
CASH FLOWS FROM OPERATING ACTIVITIES | Pula | Pula | Pula | Pula | Pula | Pula |
Cash generated from operations | 69,499,817 | 74,999,182 | 164,567,930 | 42,960,164 | 47,175,970 | 106,980,183 |
Taxation (paid) received | (708,734) | (1,045,605) | (1,660,764) | (1,925) | - | - |
Net cash from operating activities | 68,791,083 | 73,953,577 | 162,907,166 | 42,958,239 | 47,175,970 | 106,980,183 |
Net cash from investing activities | ||||||
(3,308,837) | (2,780,375) | (9,895,067) | 23,504,334 | 26,191,258 | 47,941,266 | |
Net cash from financing activities | ||||||
(85,244,380) | (80,658,999) | (163,042,300) | (85,244,380) | (80,658,999) | (163,042,300) |
and effective for annual periods beginning on or after 1st of January 2022 have been applied. The Group's underlying consolidated financial statements have been prepared in accordance with IFRS. The principal accounting policies are consistent in all material aspects with those adopted in the previous year.
OVERVIEW
The rental revenues of the Group for the half year period ended 31 July 2022 increased by approximately 11.3% compared to the corresponding half year period ended 31 July 2021 (P 128.2 million for the half year period ended 31 July 2021 compared to P 142.7 million for the half year period ended 31 July 2022). The increase in rental revenues resulted in a marginal increase in the Group's operational profit despite current inflationary cost increases, when compared to the corresponding half year period ended 31 July 2021.
Escalating borrowing rates resulted in an increase in the Group's finance costs compared to the comparative prior period. The US Dollar also appreciated substantially against the Botswana Pula, during the current half year period, resulting in foreign exchange losses recognised on the Group's borrowings denominated in US Dollar.
As a result of the inflationary cost pressures together with the increase in finance costs and foreign exchange losses referred to above, the Group's profit before taxation, for the half year period ended 31 July 2022, is expected to be 11.5% lower (or P7 million) from P 61 million for the half year period ended 31 July 2021 to approximately P 54 million for the half year period ended 31 July 2022.
After realisation of deferred tax and an exchange gain on translating of the Group's foreign operations, the Group's comprehensive income for the half year period ended 31 July 2022, is expected to increase by 103% (P61 million) from P59 million for the half year period ended 31 July 2021 to approximately P 120 million for the half year period ended 31 July 2022.
Stakeholders are reminded that foreign exchange translation gains are unrealized and are dependent on the US $ /BWP exchange rate at the reporting date.
Group
• | Group earnings per share (EPS) is 11.99 thebe per |
share, for the half year, up from 10.27 thebe per share | |
for the half year July 2021. |
CONSOLIDATED STATEMENT OF FINANCIAL POSITION
ASSETS
Non-Current Assets
Investment property
Plant and equipment
Goodwill
Investment in subsidiary
Loan to related compamy
Operating lease asset
Current Assets
Operating lease asset
Cash and cash equivalent
Trade and other receivables
GROUP | COMPANY | ||||
Unaudited | Unaudited | Audited | Unaudited | Unaudited | Audited |
31-Jul-22 | 31-Jul-21 | 31-Jan-22 | 31-Jul-22 | 31-Jul-2131-Jan-22 | |
Pula | Pula | Pula | Pula | Pula | Pula |
2,579,052,367 | 2,442,973,001 | 2,504,744,338 | 2,165,398,163 | 2,177,229,603 | 2,169,960,453 |
2,532,247,141 | 2,400,056,585 | 2,460,487,166 | 1,407,218,716 | 1,338,727,664 | 1,404,778,381 |
2,093,816 | 1,507,642 | 1,383,514 | 317,043 | 555,476 | 265,277 |
28,993,998 | 25,658,134 | 27,177,745 | - | - | - |
- | - | - | 541,529,229 | 606,613,011 | 541,529,229 |
- | - | - | 203,992,815 | 218,093,436 | 210,790,566 |
15,717,412 | 15,750,640 | 15,695,913 | 12,340,360 | 13,240,016 | 12,597,000 |
47,358,400 | 59,348,341 | 46,946,344 | 27,324,054 | 42,161,897 | 26,880,707 |
3,159,062 | 5,024,107 | 4,323,415 | 3,159,062 | 4,954,951 | 4,323,415 |
12,603,310 | 14,237,429 | 14,208,533 | 8,763,512 | 9,701,982 | 9,388,408 |
31,596,028 | 40,086,805 | 28,414,396 | 15,401,480 | 27,504,964 | 13,168,884 |
NET INCREASE/ (DECREASE) IN CASH AND CASH EQUIVALENTS | (19,762,134) | (9,485,797) | (10,030,201) | (18,781,807) | (7,291,771) | (8,120,851) | ||
Cash and cash equivalent at the beginning of the year | 14,058,183 | 23,978,151 | 23,978,151 | 9,238,058 | 17,248,678 | 17,248,678 | ||
Effects of exchange rate movement on cash balances | (88,442) | (379,095) | 110,232 | (88,442) | (379,095) | 110,232 | ||
Total cash and cash equivalents at the end of the year | (5,792,393) | 14,113,259 | 14,058,182 | (9,632,191) | 9,577,812 | 9,238,059 | ||
SEGMENT REPORT | Figures in Pula | Figures in Pula | ||||||
Primary segment - Geographical segment | 31-Jul-22 | 31-Jul-21 | 31-Jul-22 | 31-Jul-21 | 31-Jul-22 | 31-Jul-21 | 31-Jul-22 | 31-Jul-21 |
Botswana | Botswana | Tanzania | Tanzania | Dubai | Dubai | Consolidated | Consolidated | |
Revenues from external customers | 80,313,749 | 74,552,633 | 61,518,009 | 53,388,204 | 820,910 | 236,381 | 142,652,668 | 128,177,218 |
Inter segment revenues | - | - | - | - | ||||
Total segment revenues | 80,313,749 | 65,050,635 | 61,518,009 | 51,817,849 | 820,910 | 4,943,292 | 142,652,668 | 128,177,218 |
Segment property direct and indirect expenses 28,942,441 | 23,836,482 | 21,595,509 | 13,556,846 | 5,251,529 | 3,149,056 | 55,789,478 | 40,542,384 | |
Segment operating profit | 51,371,309 | 40,401,562 | 39,922,501 | 29,154,932 | -4,430,620 | 3,318,247 | 86,863,190 | 87,634,834 |
Segment Assets | 1,447,200,173 | 1,394,685,053 | 1,157,534,901 | 1,018,707,330 | 21,675,693 | 88,928,959 | 2,626,410,767 | 2,502,321,342 |
Segment Liabilities | 645,221,843 | 669,855,422 | 169,873,008 | 128,571,088 | 48,528 | 63,097 | 815,143,379 | 798,489,607 |
• | Group Tax recovery of P14.6 million comprises wholly |
of a deferred tax relization, calculated in accordance | |
with IAS 12. |
INTERIM DISTRIBUTION
The dividend of 9t per linked unit will comprise of Debenture interest of 7.9024t and dividend of 1.0976t per linked unit, to all registered unit holders as at the close of business on 2nd December 2022.
Ex distribution date | 30th November 2022 |
Record date for participation | 2nd December 2022 |
Date of payment of dividend | 13th December 2022 |
In accordance with requirements of the Income Tax Act, withholding tax shall be deducted by the company on the payment of interest and dividends paid to residents and non
- residents' holders of link units who are not exempt from the withholdings tax provisions of the Act.
Total Assets | 2,626,410,767 | 2,502,321,342 | 2,551,690,682 | 2,192,722,217 | 2,219,391,500 | 2,196,841,160 | |
EQUITY AND LIABILITIES | |||||||
Stated Capital and Reserves | 1,803,204,323 | 1,703,831,735 | 1,734,743,670 | 1,539,447,309 | 1,549,536,078 | 1,530,892,813 | |
Stated capital | 346,420,555 | 346,420,555 | 346,420,555 | 346,420,555 | 346,420,555 | 346,420,555 | |
Linked unit debentures | 286,076,802 | 286,076,802 | 286,076,802 | 286,076,802 | 286,076,802 | 286,076,802 | |
Fair value surplus | 688,625,100 | 624,651,188 | 688,625,100 | 753,265,947 | 693,821,951 | 753,265,947 | |
Retained earnings | 202,099,861 | 258,257,296 | 184,965,721 | 102,190,181 | 171,722,946 | 93,635,685 | |
Debenture interest and dividend reserves | 51,493,824 | 51,493,824 | 51,493,824 | 51,493,824 | 51,493,824 | 51,493,824 | |
Foreign currency translation reserve | 228,488,181 | 136,932,070 | 177,161,668 | - | - | - |
Figures in Pula | Figures in Pula | |||||||||||
Secondary segment- Operating segment | 31-Jul-22 | 31-Jul-21 | 31-Jul-22 | 31-Jul-21 | 31-Jul-22 | 31-Jul-21 | 31-Jul-22 | 31-Jul-21 | 31-Jul-22 | 31-Jul-21 | 31-Jul-22 | 31-Jul-21 |
Revenues | Retail | Commercial | ||||||||||
Botswana | Botswana | Tanzania | Tanzania | Botswana | Botswana | Tanzania | Tanzania | Dubai | Dubai | Consolidated | Consolidated | |
Rental income from external customers | 74,902,034 | 69,451,744 | 49,831,166 | 43,678,180 | 5,411,715 | 5,100,889 | 11,686,843 | 9,710,024 | 820,910 | 236,381 | 142,652,668 | 128,177,218 |
Inter segmental revenues | ||||||||||||
Total segment revenues | 74,902,034 | 69,451,744 | 49,831,166 | 43,678,180 | 5,411,715 | 5,100,889 | 11,686,843 | 9,710,024 | 820,910 | 236,381 | 142,652,668 | 128,177,218 |
Segment expenses | 27,639,902 | 22,611,768 | 18,893,715 | 11,294,502 | 1,302,539 | 1,224,715 | 2,701,794 | 2,262,343 | 5,251,529 | 3,149,056 | 55,789,478 | 40,542,384 |
Segment operating profit | 47,262,133 | 46,839,976 | 30,937,451 | 32,383,678 | 4,109,176 | 3,876,174 | 8,985,049 | 7,447,680 | -4,430,620 | -2,912,675 | 86,863,190 | 87,634,834 |
Non- Current Liabilities | 686,016,759 | 711,454,286 | 698,928,151 | 554,293,445 | 609,645,426 | 583,795,418 | |
Borrowings | 492,901,210 | 527,655,949 | 498,566,484 | 492,901,210 | 527,655,949 | 498,566,484 | |
Deferred taxation | 193,115,549 | 183,798,337 | 200,361,667 | 61,392,235 | 81,989,477 | 85,228,934 | |
Current Liabilities | 137,189,685 | 87,035,321 | 118,018,861 | 98,981,463 | 60,209,996 | 82,152,929 | |
Trade and other payables | 44,347,163 | 42,797,327 | 47,334,089 | 6,138,941 | 15,972,002 | 11,468,157 | |
Borrowings | 70,909,337 | 40,858,771 | 67,118,511 | 70,909,337 | 40,858,771 | 67,118,511 | |
Current tax | 1,573,372 | 1,575,294 | 1,575,294 | 1,573,372 | 1,575,294 | 1,575,294 | |
Unclaimed debenture interest and dividend | 1,964,110 | 1,679,759 | 1,840,616 | 1,964,110 | 1,679,759 | 1,840,616 | |
Bank overdraft | 18,395,703 | 124,170 | 150,351 | 18,395,703 | 124,170 | 150,351 | |
Total Equity and Liabilities | |||||||
2,626,410,767 | 2,502,321,342 | 2,551,690,682 | 2,192,722,217 | 2,219,391,500 | 2,196,841,160 | ||
Figures in Pula | Figures in Pula | ||
Reconciliation of group net profit before tax | 31-Jul-22 | 31-Jul-21 | |
Total reporting segment operating profit | 86,863,189 | 87,634,834 | |
Salaries and wages | (7,605,670) | (7,130,046) | |
Loss on exchange difference | (19,768,666) | (791,024) | |
Profit on exchange differences | 12,968,818 | 107,747 | |
Finance income | 14,339 | 104,343 | |
Sundry income | 1,438,703 | 1,011,415 | |
Corporate expenses | (7,578,982) | (9,299,207) | |
Operating profit | 66,331,731 | 71,638,061 | |
Finance costs | (12,325,316) | (10,619,925) | |
Group profit before tax | 54,006,415 | 61,018,136 | |
Segment information is organised into two, geographical and into operating segments which comprises retail and commercial. The segments are the basis on which the company reports its primary segment information. Retail segment comprises Game City, Nzano, Supa Save and Mlimani shopping centres. The commercial segment incorporates office, residential, industrial properties in Botswana,Tanzania and Dubai
Attachments
- Original Link
- Original Document
- Permalink
Disclaimer
Turnstar Holdings Limited published this content on 27 October 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 27 October 2022 13:06:02 UTC.