11th Aug 2005 08:41
Appendix 4E PRELIMINARY FINAL REPORT 12 MONTHS ENDED 30 JUNE 2005 Details of the reporting period and the previous corresponding periodName of entity Aquarius Platinum Limited ARBN Reporting period Previous corresponding period 087 577 893 Year ended 30/06/05 Year ended 30/06/04 Results for announcement to the market $US'000 Revenues from ordinary activities up 14 % to 222,327 Profit from ordinary activities down 27 % to 20,950 * after tax attributable to members Dividends Amount per Franked amount per security security Interim dividend 3 ‚¢ - ‚¢ Final Dividend 5 ‚¢ - ‚¢ Record date for determining entitlements to 16 September 2005 the dividend Refer to the results announcement released in conjunction with this appendix 4E to the market on 11th August 2005. * Consists of Net profit before non cash charges up 4 % to 47,454 Amortisation and depreciation of (19,759) mining assets Amortisation of fair value uplift of (6,745) mineral properties Net profit after non cash charges down 27 % to 20,950 Consolidated income statement(Year ended 30 June 2005) 30/06/05 30/06/04 $US'000 $US'000 Revenue 222,327 194,850 Foreign exchange gain/(loss) 2,797 (2,975) Net revenue after foreign exchange loss 225,124 191,875 Cost of sales (174,936) (125,420) Gross profit 50,188 66,455 Amortisation of fair value uplift of mineral (6,745) (4,951) properties Gross profit after amortisation of fair 43,443 61,504 value uplift of mineral properties Administrative and other costs (5,976) (8,619) Other foreign exchange gain/(loss) 484 (3,094) Profit from operating activities 37,951 49,791 Finance costs (9,889) (10,661) Profit before income tax 28,062 39,130 Income tax on ordinary activities (3,446) (5,674) Net profit from ordinary activities 24,616 33,456 Net profit attributable to outside equity (3,666) (4,752) interests Net profit for the period attributable to 20,950 28,704 members of Aquarius Platinum Limited Earnings per security (EPS) Basic EPS 25.32 cents 35.08 cents Diluted EPS 25.17 cents 35.08 cents Consolidated statement of recognised gains and losses(Year ended 30 June 2005) 30/06/05 30/06/04 $US'000 $US'000 Foreign currency translation adjustments (5,608) 12,116 Net gain not recognised in the income (5,608) 12,116 statement Net profit for the year 20,950 28,704 Total recognised gains and losses 15,342 40,820 Consolidated balance sheetPrepared in accordance with International Financial Reporting Standards (IFRS) As at As at 30/06/05 30/06/04 $US'000 $US'000 Non-current assets Receivables 2,928 4,627 Investments 437 18 Property, plant and equipment 104 132 Mining assets 408,765 356,509 Total non-current assets 412,234 361,286 Current assets Cash and cash equivalents 75,251 77,942 Trade and other receivables 44,695 23,262 Investments 3 4 Inventories 16,308 10,688 Other 1 44 Total current assets 136,258 111,940 Total assets 548,492 473,226 Non-current liabilities Payables 150,735 59,600 Interest bearing liabilities 16,037 62,716 Deferred tax liabilities 53,789 56,917 Provisions 24,526 18,030 Total non-current liabilities 245,087 197,263 Current liabilities Trade and other payables 25,538 19,081 Interest bearing liabilities - 15,555 Current tax liabilities 9,612 6,843 Provisions 330 287 Total current liabilities 35,480 41,766 Total liabilities 280,567 239,029 NET ASSETS 267,925 234,197 Shareholders equity Issued capital 12,413 12,413 Share premium reserve 136,669 136,669 Foreign currency translation reserve 7,469 13,077 Retained earnings 78,801 62,816 Equity attributable to members of AquariusPlatinum Limited 235,352 224,975 Minority interests 32,573 9,222 TOTAL EQUITY & MINORITY INTEREST 267,925 234,197 Consolidated statement of cash flows 30/06/05 30/06/04 $US'000 $US'000 Cash flows related to operating activities Receipts from customers 197,521 183,578 Payments to suppliers and employees (164,546) (118,860) Interest and other items of similar nature 6,655 2,299 received Interest and other costs of finance paid (7,657) (9,103) Other income 1,087 188 Income taxes paid (1,602) (3,737) Net operating cash flows 31,458 54,365 Cash flows related to investing activities Payments for mineral exploration - (1,208) Payments for acquisition of mineral tenements - - Payments for mining assets and development (90,279) (27,308)costs Payment for purchases of property, plant and - (33)equipment Payments for mine closure/rehabilitation costs (2,138) - Proceeds from sale of property, plant and 296 17,671equipment Payment for purchases of equity investments (476) (2) Redemption of short-term deposits 500 Proceeds from disposal of investments 4,445 - Net investing cash flows (88,152) (10,380) Cash flows related to financing activities Proceeds from issues of shares 38,193 16,471 Payments for share issue and listing expenses (6,461) (494) Proceeds from borrowings 97,439 1,627 Repayment of share-plan loans 1,713 2,999 Repayment of borrowings (71,032) - Payment of principal portion of hire purchase (7) (8)liability Dividends paid (4,924) (4,809) Net financing cash flows 54,921 15,786 Net increase (decrease) in cash held (1,773) 59,771 Cash at beginning of period 77,942 16,996 Exchange rate adjustments to opening cash (918) 1,175 Cash at end of period 75,251 77,942 Notes to the consolidated income statement 30/06/05 30/06/04 $US'000 $US'000 Revenue from ordinary activitiesSales revenue 210,125 175,062 Interest revenue 6,655 2,299 Profit on sale of mine properties and 4,460 14,921 investments Other revenue 1,087 2,568 Total revenue 222,327 194,850 Cost of salesAmortisation and depreciation 19,759 12,174 Cost of production 153,753 112,640 Royalties 1,424 606 Total cost of sales 174,936 125,420 Finance costsInterest on borrowings 7,978 10,506 Net present value discount adjustment to 1,911 155 mine site rehabilitation liability Total finance costs 9,889 10,661 Statement of retained earnings showing movementsConsolidated retained profitsRetained profits at the beginning of the 62,816 38,987 financial period Net profit attributable to members 20,950 28,704 Dividends paid (4,965) (4,875) Retained profits at the end of the 78,801 62,816 financial period Details of individual and total dividends and dividend payments Date the final dividend is payable 7 October 2005 Record date to determine entitlements to the 16 September 2005 dividend Has the dividend been declared? Yes Total amount Amount per Franked amount paid or payable share per share US$'000 US$ Final dividend: Current period 4,138 5 ‚¢ - ‚¢ Previous period 2,482 3 ‚¢ - ‚¢ Interim dividend: Current 2,483 3 ‚¢ - ‚¢period Previous period 2,482 2 ‚¢ - ‚¢Other disclosures in relation to dividends The final dividend for the current period of US$0.05 per share has not been provided for in the Balance Sheet in accordance with International Accounting Standards. The company does not have a dividend reinvestment plan. Earnings per security (EPS)Details of basic and diluted EPS reported separately in accordance with IAS33: Earnings Per Share are as follows. 30/06/05 30/06/04 $US'000 $US'000 Net Profit: 24,616 33,456 Adjustments: Net profit attributable to outside (3,666) (4,752) equity interest Earnings used in calculating basic and 20,950 28,704 diluted earnings per share Current period Previous corresponding Number of Shares period Number of Shares Weighted average number of ordinary 82,753,892 81,833,344 shares used in calculating basic earnings per share Effect of dilutive securities: Share options 485,892 - Adjusted weighted average number of 83,239,784 81,833,344 ordinary shares used in calculating diluted earnings per share Details of entities over which control has been gained or lost during theperiodName of entity (or Contribution to net profit Profit (loss) for the group of entities) (loss) previous corresponding periodand date of the gain or loss of control Current Previous Current period Previous period corresponding corresponding period - $US'000 period - $US'000 $US'000 $US'000 - - - - Total - - - - Details of associates and joint venture entitiesThe economic entity has an interest (that is material to it) in the followingentities: Name of entity Percentage of ownership Contribution to net profit interest held at end of (loss) period or date of disposal 30/06/05 30/06/04 30/06/05 30/06/04 $US'000 $US'000 Mimosa Investments 50% 50% 14,808 14,230 Limited Total 14,808 14,230 Group's share of associates' and joint 30/06/05 30/06/04 venture entities': $US'000 $US'000 Profit from ordinary activities before 15,751 15,810 tax Income tax on ordinary activities (943) (1,580) Profit from ordinary activities after 14,808 14,230 tax Adjustments - Share of net profit of associates and 14,808 14,230 joint venture entities Subsequent EventsOn the 13th July 2005 Aquarius and Anglo Platinum Ltd agreed to create a secondpooled operation around the Company's Marikana Mine and Anglo Platinum'sadjacent mineral rights. Both companies would contribute certain assets andshare 50:50 in the venture, which is targeted to come into effect in September2005. Following commencement of the venture it is expected that Marikana willincrease production to 250,000 PGM ounces (of which half will be owned byAquarius Platinum (South Africa) (Pty) Ltd), and the mine life will be extendedby 10 years to 2024Contingent LiabilityA dispute arose between the company and the mining contractor at the MarikanaMine, regarding interpretation of the mining cost escalation formula,especially as it relates to the foreign exchange component of the formula. Thematter was referred to arbitration, however, during the last quarter of thefinancial year, Grinaker-LTA Limited trading as Moolman Mining (South Africa)requested a postponement of the arbitration on the dispute, so that an audit ofthe cost elements that relate to the "Rise and Fall" clause and formula of thecontract may be undertaken. The audit is currently being conducted and theresults are expected in the first quarter of the 2006 financial year.Thereafter, the parties will determine the way forward.In the meantime, the contractual formula continues to be applied on the basiswhich the company believes was agreed by the contractor. Due to the nature ofthe dispute, namely the application of the formula and the foreign component,it is not possible to quantify the dispute in Rand terms. The directors of thecompany in consultation with Counsel, are of the opinion that the ruling willfavour Aquarius.Segment reportingThe economic entity operates predominantly in the mining industry through the ownership and operation of platinum group metals mining projects. The group operates in four predominant geographical segments - South Africa, Zimbabwe, Bermuda and Australia. Geographical segments 30 June 2005 Bermuda South Australia Zimbabwe Eliminations Consolidated Africa USD000 USD000 USD000 USD000 USD000 USD000 External sales - 160,859 - 49,266 210,125 External other 4,210 6,841 1,061 88 2 12,202 revenues Intersegment 8,164 - 492 - (8,656) - revenues Segment revenue 12,374 167,700 1,553 49,354 (8,654) 222,327 Segment result 1,624 7,212 1,399 15,751 2,076 28,062 Income tax expense (3,446) Profit after tax 24,616 Minority interest (3,666) Net profit 20,950 30 June 2004 Bermuda South Australia Zimbabwe Eliminations Consolidated Africa USD000 USD000 USD000 USD000 USD000 USD000 External sales - 130,862 - 41,225 - 172,087 External other 30 16,625 644 2,489 - 19,788 revenues Intersegment 3,176 - 393 - (3,569) - revenues Segment revenue 3,206 147,487 1,037 43,714 (3,569) 191,875 Segment result 176 25,694 (107) 15,810 (2,443) 39,130 Income tax expense (5,674) Profit after tax 33,456 Minority interest (4,752) Net profit 28,704 Issued and quoted securities at end of current periodCategory of securities Total number Number Issue Amount quoted price per paid up security per security (cents) (cents) Ordinary securities 82,753,892 82,753,892 Changes during current period: Increases through issues - - - - Increases through option - - - - conversions Decreases through returns - - - - of capital, buybacks, redemptions Options (description and Exercise Expiry conversion factor) Price date (if any) Unlisted options each 1,615,000 - ‚£2.50 23/10/11 convertible for one ordinary share 380,000 - ‚£3.32 21/11/13 - Employee options 1,093,967 - ‚£2.54 11/06/14 " " 209,865 - ‚£2.54 11/10/11 " " 495,794 - ‚£2.92 02/11/11 " " " " " " Changes during current period: Issued during current 209,865 ‚£2.54 11/10/11 period 495,794 ‚£2.92 02/11/11 * Employee options * Employee options Exercised during current - - - - period Expired during current 133,333 - ‚£3.43 - period 100,000 - ‚£2.50 -Statements in relation to accounts and auditThis report is based on accounts to which one of the following applies. The accounts have been The accounts have been audited (refer audit subject to review (refer attached report). attached review report). X The accounts are in the The accounts have not yet process of being been audited or reviewed. audited or subject to review. Sign here: ............................................... Date: ...11 August 2005... (Company Secretary) Print name: WILLI BOEHM .................................................... Appendix 4BHalf yearly/preliminary final report+ See chapter 19 for defined terms.Appendix 4B Page 20 1/1/2002ENDAQUARIUS PLATINUM LIMITEDRelated Shares:
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