29th Apr 2010 10:47
To: Business Editor 29th April 2010
For immediate release
Jardine Cycle & Carriage Limited
First Quarter 2010 Financial Statements and Dividend Announcement
The following announcement was issued today by the Company's 69%-owned subsidiary, Jardine Cycle & Carriage Limited.
For further information, please contact:
Jardine Matheson Limited
Neil M McNamara (852) 2843 8227
GolinHarris
Kennes Young (852) 2501 7987
29th April 2010
JARDINE CYCLE & CARRIAGE LIMITED
FIRST QUARTER 2010 FINANCIAL STATEMENTS AND DIVIDEND ANNOUNCEMENT
Highlights
"The current outlook is promising with Astra and the Group's other motor interests benefiting from continued economic growth. Competition in Astra's motorcycle business, however, remains intense, and potential changes to vehicle related taxes in Indonesia, if implemented, may dampen growth in the automotive sector."
Anthony Nightingale, Chairman
29th April 2010
|
Group Results |
|
|
|
|
||
|
|
Three months ended 31st March |
|||||
|
|
|
Restated |
|
|
||
|
|
2010 US$m |
2009 US$m |
Change % |
2010 S$m |
||
|
Revenue |
3,569 |
2,115 |
69 |
5,014 |
||
|
Profit after tax |
411 |
212 |
94 |
578 |
||
|
Underlying profit attributable to shareholders* |
173 |
86 |
100 |
243 |
||
|
Profit attributable to shareholders |
178 |
90 |
97 |
250 |
||
|
|
US¢ |
US¢ |
|
S¢ |
||
|
Underlying earnings* per share |
48.58 |
24.32 |
100 |
68.29 |
||
|
Earnings per share |
49.99 |
25.36 |
97 |
70.26 |
||
|
|
At 31.3.2010 |
At 31.12.2009 |
|
At 31.3.2010 |
||
|
|
US$m |
US$m |
|
S$m |
||
|
Shareholders' funds |
3,175 |
2,911 |
9 |
4,448 |
||
|
|
US$ |
US$ |
|
S$ |
||
|
Net asset value per share |
8.93 |
8.18 |
9 |
12.51 |
||
The exchange rate of US$1=S$1.40 (31st December 2009: US$1=S$1.40) was used for translating assets and liabilities at the balance sheet date and US$1=S$1.40 (31st March 2009: US$1=S$1.52) was used for translating the results for the period.
The financial results for the three months ended 31st March 2010 have been prepared in accordance with the International Financial Reporting Standards. These results have not been audited or reviewed by the auditors.
* The basis for calculating underlying earnings is set out in Note 4 of this report.
CHAIRMAN'S STATEMENT
Overview
Jardine Cycle & Carriage produced a strong first quarter as the Group benefited from the continued growth of the Indonesian economy and improvements in the other countries in which it operates.
Performance
The Group recorded revenue of US$3.6 billion for the three months ended 31st March 2010, an increase of 69%. Underlying profit rose by 100% to US$173 million, while underlying earnings per share were 100% higher at US¢48.58. The profit attributable to shareholders for the quarter was US$178 million after accounting for a non-trading gain of US$5 million.
Astra's contribution to the Group's underlying profit doubled to US$162 million, Increased profits achieved in all its major businesses were enhanced further by a 26% improvement in the Rupiah exchange rate against the US Dollar compared to the first quarter of 2009. The underlying profit contribution from the Group's other motor interests was 79% higher at US$14 million.
The Group continues to benefit from strong operating cash flows and its consolidated net cash, excluding borrowings within Astra's financial services companies, was US$255 million at 31st March 2010 from US$64 million at the end of 2009. The net debt within Astra's financial services companies at US$1.7 billion was US$232 million higher than at the end of 2009. The Company had net debt of US$15 million at the quarter end.
The Board has not declared a dividend for the quarter ended 31st March 2010 (31st March 2009: Nil).
Group Review
Astra
Economic conditions in Indonesia in the first three months of 2010 were much improved compared with the challenging conditions existing at the start of 2009. Consumer demand benefited from the availability of financing at low interest rates, the strengthening of the Rupiah and a low inflation rate. These favourable economic factors, together with increases in commodity prices, led to improvements across all segments of Astra's business, enabling the group to report a net profit under Indonesian accounting standards equivalent to US$325 million for the quarter, up 61%.
Automotive and Financial Services
Astra's automotive and financial services businesses contributed a profit of US$127 million to the Group's underlying profit, an increase of 130%.
The wholesale motor vehicle market grew by 74% to 174,000 units, albeit from a low comparative base. Astra's motor vehicle sales rose by 71% to 99,000 units, representing a market share of 57%, a slight decline compared to the same period of 2009. The wholesale motorcycle market grew by 35% to 1.6 million units. Astra Honda Motor's sales improved by a lesser rate of 28% to 750,000 units in the face of strong competition, and resulted in a decline in market share from 48% to 45%. In 2009, legislation was introduced which permits provincial governments to increase certain vehicle related taxes. The date of implementation and the extent of the increases have, however, not yet been determined.
Automotive component manufacturer, Astra Otoparts, reported a 110% increase in net profit with improvements across most of its activities.
Astra's consumer finance activities recorded higher profits, following growth in their loan books. Astra's 45%-owned associate, Bank Permata, also reported an improvement in profit as it benefited from higher operating and non-operating income.
Natural Resources and Other
Firmer commodity prices enabled Astra's natural resources and other businesses to contribute an underlying profit of US$46 million to the Group, 46% higher than the first quarter of 2009.
In agribusiness, 80%-held Astra Agro Lestari recorded a 25% increase in reported profit as crude palm oil prices achieved were on average 19% higher. Palm oil production was, however, down 3% at 219,000 tonnes.
United Tractors, the group's 60%-owned heavy equipment and mining subsidiary, reported a 12% rise in profit. Sales of Komatsu heavy equipment recovered and were 94% higher at 1,200 units. Mining subsidiary, Pamapersada Nusantara, also continued to do well with an increase of 27% in both coal extracted and overburden removed.
Other Motor Interests
There were better performances from all the Group's other motor interests, leading to a 79% increase in underlying profit at US$14 million. In Singapore, the government has announced a significant reduction in vehicle registration quotas, which will impact sales.
Outlook
The current outlook is promising with Astra and the Group's other motor interests benefiting from continued economic growth. Competition in Astra's motorcycle business, however, remains intense, and potential changes to vehicle related taxes in Indonesia, if implemented, may dampen growth in the automotive sector.
Anthony Nightingale
Chairman
29th April 2010
Statement pursuant to Rule 705(5) of the Listing Manual
The directors confirm that, to the best of their knowledge, nothing has come to the attention of the Board of Directors which may render the accompanying unaudited interim financial results for the three months ended 31st March 2010 to be false or misleading in any material respect.
On behalf of the Directors
Anthony Nightingale
Director
Hassan Abas
Director
29th April 2010
|
Jardine Cycle & Carriage Limited Consolidated Profit and Loss Account for the three months ended 31st March 2010 |
|
|
|
|
|
|
Restated |
|
|
|
|
|
2010 |
|
2009 |
Change |
|
|
Note |
|
US$m |
|
US$m |
% |
|
|
|
|
|
|
|
|
|
Revenue |
|
|
3,568.9 |
|
2,114.7 |
69 |
|
Net operating costs |
2 |
|
(3,176.1) |
|
(1,865.9) |
70 |
|
|
|
|
|
|
|
|
|
Operating profit |
2 |
|
392.8 |
|
248.8 |
58 |
|
|
|
|
|
|
|
|
|
Financing income |
|
|
12.8 |
|
13.0 |
-2 |
|
Financing charges |
|
|
(13.1) |
|
(11.4) |
15 |
|
Net financing income |
|
|
(0.3) |
|
1.6 |
nm |
|
Share of associates' and joint ventures' results after tax |
|
|
121.4 |
|
41.6 |
192 |
|
|
|
|
|
|
|
|
|
Profit before tax |
|
|
513.9 |
|
292.0 |
76 |
|
Tax |
3 |
|
(102.6) |
|
(80.0) |
28 |
|
|
|
|
|
|
|
|
|
Profit after tax |
|
|
411.3 |
|
212.0 |
94 |
|
|
|
|
|
|
|
|
|
Profit attributable to: |
|
|
|
|
|
|
|
Shareholders of the Company |
|
|
177.8 |
|
90.2 |
97 |
|
Minority interests |
|
|
233.5 |
|
121.8 |
92 |
|
|
|
|
|
|
|
|
|
|
|
|
411.3 |
|
212.0 |
94 |
|
|
|
|
|
|
|
|
|
|
|
|
US¢ |
|
US¢ |
|
|
Earnings per share |
4 |
|
49.99 |
|
25.36 |
97 |
|
|
|
|
|
|
|
|
nm: not meaningful
|
Jardine Cycle & Carriage Limited |
|
Consolidated Statement of Comprehensive Income for the three months ended 31st March 2010 |
|
|
|
|
Restated |
|
|
2010 |
|
2009 |
|
|
US$m |
|
US$m |
|
|
|
|
|
|
Profit for the period |
411.3 |
|
212.0 |
|
|
|
|
|
|
Translation differences |
|
|
|
|
- gains/(losses) arising during the period |
193.1 |
|
(248.8) |
|
|
|
|
|
|
Available-for-sale investments |
|
|
|
|
- gains arising during the period |
8.4 |
|
1.8 |
|
- transfer to profit and loss |
(4.0) |
|
1.0 |
|
|
|
|
|
|
Cash flow hedges |
|
|
|
|
- gains/(losses) arising during the period |
1.8 |
|
(7.3) |
|
|
|
|
|
|
Defined benefit pension plans |
|
|
|
|
- actuarial gains/(losses) arising during the period |
0.3 |
|
(5.1) |
|
|
|
|
|
|
Share of other comprehensive expenses of associates and joint ventures, net of tax |
(0.3) |
|
(2.2) |
|
|
|
|
|
|
Tax relating to components of other comprehensive income/(expenses) |
(0.6) |
|
2.8 |
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive income/(expenses) for the period |
198.7 |
|
(257.8) |
|
|
|
|
|
|
Total comprehensive income/(expenses) for the period |
610.0 |
|
(45.8) |
|
|
|
|
|
|
Attributable to: |
|
|
|
|
|
|
|
|
|
Shareholders of the Company |
263.7 |
|
(28.9) |
|
|
|
|
|
|
Minority interests |
346.3 |
|
(16.9) |
|
|
|
|
|
|
|
610.0 |
|
(45.8) |
|
|
|
|
|
|
|
|
|
|
|
Jardine Cycle & Carriage Limited |
|
Consolidated Balance Sheet at 31st March 2010 |
|
|
|
|
|
|
Restated |
|
|
Note |
|
At |
|
At |
|
|
|
|
31.3.10 |
|
31.12.09 |
|
|
|
|
US$m |
|
US$m |
|
Non-current assets |
|
|
|
|
|
|
Intangible assets |
|
|
660.2 |
|
634.7 |
|
Property, plant and equipment |
|
|
2,563.6 |
|
2,440.4 |
|
Investment properties |
|
|
23.8 |
|
23.1 |
|
Plantations |
|
|
459.4 |
|
425.4 |
|
Interests in associates and joint ventures |
|
|
1,784.6 |
|
1,692.2 |
|
Non-current investments |
|
|
342.9 |
|
309.1 |
|
Non-current debtors |
|
|
1,363.8 |
|
1,196.7 |
|
Deferred tax assets |
|
|
90.2 |
|
73.1 |
|
|
|
|
7,288.5 |
|
6,794.7 |
|
Current assets |
|
|
|
|
|
|
Current investments |
|
|
1.9 |
|
2.3 |
|
Stocks |
|
|
821.1 |
|
895.7 |
|
Current debtors |
|
|
2,735.7 |
|
2,222.2 |
|
Current tax assets |
|
|
76.1 |
|
66.8 |
|
Bank balances and other liquid funds |
|
|
|
|
|
|
- non-financial services companies |
|
|
1,038.8 |
|
805.3 |
|
- financial services companies |
|
|
117.8 |
|
156.2 |
|
|
|
|
1,156.6 |
|
961.5 |
|
|
|
|
4,791.4 |
|
4,148.5 |
|
|
|
|
|
|
|
|
Total assets |
|
|
12,079.9 |
|
10,943.2 |
|
|
|
|
|
|
|
| Non-current liabilities |
|
|
|
|
|
|
Non-current creditors |
|
|
81.3 |
|
74.4 |
| Provisions |
|
|
44.0 |
|
41.2 |
|
Long-term borrowings |
5 |
|
|
|
|
|
- non-financial services companies |
|
|
407.5 |
|
417.2 |
|
- financial services companies |
|
|
852.2 |
|
717.6 |
|
|
|
|
1,259.7 |
|
1,134.8 |
|
Deferred tax liabilities |
|
|
231.1 |
|
227.0 |
|
Pension liabilities |
|
|
106.6 |
|
101.5 |
|
|
|
|
1,722.7 |
|
1,578.9 |
|
Current liabilities |
|
|
|
|
|
|
Current creditors |
|
|
1,903.0 |
|
1,654.8 |
|
Provisions |
|
|
32.7 |
|
34.0 |
|
Current borrowings |
5 |
|
|
|
|
|
- non-financial services companies |
|
|
377.5 |
|
324.6 |
|
- financial services companies |
|
|
976.8 |
|
918.3 |
|
|
|
|
1,354.3 |
|
1,242.9 |
|
Current tax liabilities |
|
|
149.5 |
|
115.8 |
|
|
|
|
3,439.5 |
|
3,047.5 |
|
|
|
|
|
|
|
|
Total liabilities |
|
|
5,162.2 |
|
4,626.4 |
|
|
|
|
|
|
|
|
Net assets |
|
|
6,917.7 |
|
6,316.8 |
|
|
|
|
|
|
|
|
Equity |
|
|
|
|
|
|
Share capital |
6 |
|
632.3 |
|
632.3 |
|
Revenue reserve |
7 |
|
2,093.9 |
|
1,916.0 |
|
Other reserves |
8 |
|
448.4 |
|
362.6 |
|
Shareholders' funds |
|
|
3,174.6 |
|
2,910.9 |
|
Minority interests |
9 |
|
3,743.1 |
|
3,405.9 |
|
Total equity |
|
|
6,917.7 |
|
6,316.8 |
|
Jardine Cycle & Carriage Limited Consolidated Statement of Changes in Equity for the three months ended 31st March 2010 |
|
|
Attributable to shareholders of the Company |
|
|
|
|
||||||||||
|
|
|
|
|
|
Asset |
|
|
|
Fair value |
|
|
|
Attributable |
|
|
|
|
Share |
|
Revenue |
|
revaluation |
|
Translation |
|
and other |
|
|
|
to minority |
|
Total |
|
|
capital |
|
reserve |
|
reserve |
|
reserve |
|
reserves |
|
Total |
|
interests |
|
equity |
|
|
US$m |
|
US$m |
|
US$m |
|
US$m |
|
US$m |
|
US$m |
|
US$m |
|
US$m |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2010 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at 1st January as previously reported |
632.3 |
|
1,885.3 |
|
406.7 |
|
31.7 |
|
15.2 |
|
2,971.2 |
|
3,460.1 |
|
6,431.3 |
|
Change in accounting policy |
- |
|
30.7 |
|
(88.9) |
|
(2.1) |
|
- |
|
(60.3) |
|
(54.2) |
|
(114.5) |
|
Balance at 1st January as restated |
632.3 |
|
1,916.0 |
|
317.8 |
|
29.6 |
|
15.2 |
|
2,910.9 |
|
3,405.9 |
|
6,316.8 |
|
Total comprehensive income |
- |
|
177.9 |
|
- |
|
83.6 |
|
2.2 |
|
263.7 |
|
346.3 |
|
610.0 |
|
Issue of shares to minority shareholders |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
0.2 |
|
0.2 |
|
Dividends paid to minority shareholders |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
(0.6) |
|
(0.6) |
|
Acquisition/disposal of subsidiaries |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
(8.7) |
|
(8.7) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at 31st March |
632.3 |
|
2,093.9 |
|
317.8 |
|
113.2 |
|
17.4 |
|
3,174.6 |
|
3,743.1 |
|
6,917.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2009 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at 1st January as previously reported |
632.3 |
|
1,552.4 |
|
397.7 |
|
(323.0) |
|
3.3 |
|
2,262.7 |
|
2,559.8 |
|
4,822.5 |
|
Change in accounting policy |
- |
|
22.4 |
|
(78.0) |
|
4.7 |
|
- |
|
(50.9) |
|
(45.2) |
|
(96.1) |
|
Balance at 1st January as restated |
632.3 |
|
1,574.8 |
|
319.7 |
|
(318.3) |
|
3.3 |
|
2,211.8 |
|
2,514.6 |
|
4,726.4 |
|
Total comprehensive income/ (expenses) |
- |
|
88.4 |
|
(1.0) |
|
(115.2) |
|
(1.1) |
|
(28.9) |
|
(16.9) |
|
(45.8) |
|
Dividends paid to minority shareholders |
- |
|
- |
|
- |
|
- |
|
- |
|
- |
|
(0.1) |
|
(0.1) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at 31st March |
632.3 |
|
1,663.2 |
|
318.7 |
|
(433.5) |
|
2.2 |
|
2,182.9 |
|
2,497.6 |
|
4,680.5 |
|
Jardine Cycle & Carriage Limited Company Balance Sheet at 31st March 2010 |
|
|
Note |
At |
|
At |
|
|
|
31.3.10 |
|
31.12.09 |
|
|
|
US$m |
|
US$m |
|
|
|
|
|
|
|
Non-current assets |
|
|
|
|
|
Property, plant and equipment |
|
0.8 |
|
0.5 |
|
Interests in subsidiaries |
|
1,261.9 |
|
1,260.1 |
|
Interests in associates |
|
159.7 |
|
146.9 |
|
Non-current investment |
|
7.6 |
|
7.6 |
|
|
|
1,430.0 |
|
1,415.1 |
|
|
|
|
|
|
|
Current assets |
|
|
|
|
|
Current debtors |
|
1.1 |
|
0.8 |
|
Bank balances and other liquid funds |
|
0.5 |
|
1.1 |
|
|
|
1.6 |
|
1.9 |
|
|
|
|
|
|
|
Total assets |
|
1,431.6 |
|
1,417.0 |
|
|
|
|
|
|
|
Non-current liabilities |
|
|
|
|
|
Deferred tax liabilities |
|
0.4 |
|
0.4 |
|
|
|
0.4 |
|
0.4 |
|
|
|
|
|
|
|
Current liabilities |
|
|
|
|
|
Current creditors |
|
30.0 |
|
30.5 |
|
Current borrowings |
|
16.0 |
|
- |
|
Current tax liabilities |
|
0.9 |
|
0.9 |
|
|
|
46.9 |
|
31.4 |
|
|
|
|
|
|
|
Total liabilities |
|
47.3 |
|
31.8 |
|
|
|
|
|
|
|
Net assets |
|
1,384.3 |
|
1,385.2 |
|
|
|
|
|
|
|
Equity |
|
|
|
|
|
Share capital |
6 |
632.3 |
|
632.3 |
|
Revenue reserve |
7 |
489.2 |
|
492.1 |
|
Other reserves |
8 |
262.8 |
|
260.8 |
|
Total equity |
|
1,384.3 |
|
1,385.2 |
|
|
|
|
|
|
Net asset value per share |
|
US$3.89 |
|
US$3.89 |
|
Jardine Cycle & Carriage Limited Company Statement of Comprehensive Income for the three months ended 31st March 2010 |
|
|
|
||
|
|
2010 |
|
2009 |
|
|
US$m |
|
US$m |
|
|
|
|
|
|
Loss after tax |
(2.9) |
|
(2.1) |
|
|
|
|
|
|
|
|
|
|
|
Translation gains/(losses) arising during the period |
2.0 |
|
(70.6) |
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive income/(expenses) for the period |
2.0 |
|
(70.6) |
|
|
|
|
|
|
Total comprehensive expenses for the period |
(0.9) |
|
(72.7) |
|
|
|
|
|
|
Jardine Cycle & Carriage Limited Company Statement of Changes in Equity for the three months ended 31st March 2010 |
|
|
Share capital |
|
Revenue reserve |
|
Translation reserve |
|
Fair value and other reserves |
|
Total equity |
|
|
US$m |
|
US$m |
|
US$m |
|
US$m |
|
US$m |
|
|
|
|
|
|
|
|
|
|
|
|
2010 |
|
|
|
|
|
|
|
|
|
|
Balance at 1st January |
632.3 |
|
492.1 |
|
259.6 |
|
1.2 |
|
1,385.2 |
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive income/ (expenses) |
- |
|
(2.9) |
|
2.0 |
|
- |
|
(0.9) |
|
|
|
|
|
|
|
|
|
|
|
|
Balance at 31st March |
632.3 |
|
489.2 |
|
261.6 |
|
1.2 |
|
1,384.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2009 |
|
|
|
|
|
|
|
|
|
|
Balance at 1st January |
632.3 |
|
463.5 |
|
224.9 |
|
0.6 |
|
1,321.3 |
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive expenses |
- |
|
(2.1) |
|
(70.6) |
|
- |
|
(72.7) |
|
|
|
|
|
|
|
|
|
|
|
|
Balance at 31st March |
632.3 |
|
461.4 |
|
154.3 |
|
0.6 |
|
1,248.6 |
|
|
|
|
|
|
|
|
|
|
|
|
Jardine Cycle & Carriage Limited Consolidated Statement of Cash Flows for the three months ended 31st March 2010 |
|
|
|
|
|
|
Restated |
|
|
|
|
2010 |
|
2009 |
|
|
Note |
|
US$m |
|
US$m |
|
|
|
|
|
|
|
|
Cash flows from operating activities |
|
|
|
|
|
|
Cash generated from operations |
10 |
|
278.0 |
|
443.8 |
|
|
|
|
|
|
|
|
Interest paid |
|
|
(10.2) |
|
(12.0) |
|
Interest received |
|
|
11.2 |
|
12.1 |
|
Other finance costs paid |
|
|
(1.9) |
|
(0.9) |
|
Income tax paid |
|
|
(97.7) |
|
(65.4) |
|
|
|
|
|
|
|
|
|
|
|
(98.6) |
|
(66.2) |
|
|
|
|
|
|
|
|
Net cash flows from operating activities |
|
|
179.4 |
|
377.6 |
|
|
|
|
|
|
|
|
Cash flows from investing activities |
|
|
|
|
|
|
Sale of property, plant and equipment |
|
|
2.0 |
|
19.2 |
|
Sale of plantations |
|
|
- |
|
0.3 |
|
Sale of subsidiaries, net of cash disposed |
|
|
3.6 |
|
- |
|
Sale of investments |
|
|
10.4 |
|
2.9 |
|
Purchase of intangible assets |
|
|
(9.0) |
|
(7.2) |
|
Purchase of property, plant and equipment |
|
|
(89.4) |
|
(140.5) |
|
Addition to plantations |
|
|
(20.5) |
|
(14.4) |
|
Purchase of subsidiaries, net of cash acquired |
|
|
(0.5) |
|
- |
|
Purchase of shares in associates and joint ventures |
|
|
(12.5) |
|
- |
|
Purchase of investments |
|
|
(27.0) |
|
(15.2) |
|
Capital repayment of investments |
|
|
0.5 |
|
(0.2) |
|
Dividends received from associates and joint ventures (net) |
|
|
14.7 |
|
4.4 |
|
|
|
|
|
|
|
|
Net cash flows used in investing activities |
|
|
(127.7) |
|
(150.7) |
|
|
|
|
|
|
|
|
Cash flows from financing activities |
|
|
|
|
|
|
Drawdown of loans |
|
|
633.0 |
|
183.7 |
|
Repayment of loans |
|
|
(508.0) |
|
(411.7) |
|
Investment by minority interests |
|
|
0.2 |
|
- |
|
Dividends paid to minority interests |
|
|
(0.6) |
|
(0.1) |
|
|
|
|
|
|
|
|
Net cash flows from/(used in) financing activities |
|
|
124.6 |
|
(228.1) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net change in cash and cash equivalents |
|
|
176.3 |
|
(1.2) |
|
Cash and cash equivalents at the beginning of the period |
|
|
962.1 |
|
839.1 |
|
Effect of exchange rate changes |
|
|
19.7 |
|
(32.4) |
|
|
|
|
|
|
|
|
Cash and cash equivalents at the end of the period |
|
|
1,158.1 |
|
805.5 |
|
Jardine Cycle & Carriage Limited Notes to the financial statements for the three months ended 31st March 2010 |
1 Basis of preparation
The financial statements are consistent with those set out in the 2009 audited accounts which have been prepared in accordance with International Financial Reporting Standards ("IFRS"). There have been no changes to the accounting policies described in the 2009 audited accounts except for the change in accounting policy on owner-occupied properties and the adoption of the amendments and interpretations, described in the paragraphs below.
Under the Group's previous accounting policy, freehold land and buildings, and the building component of owner-occupied leasehold properties are carried at valuation under the revaluation model of IAS 16. With effect from 1st January 2010, owner-occupied land and buildings, both freehold and leasehold, are carried at amortised cost in accordance with the cost model under IAS 16.
The change enables the Group to provide more relevant information in its financial statements as it aligns the Group's accounting policy with that of a majority of companies listed on the Singapore Exchange. This change in policy has been applied retrospectively in the preparation of the 2010 quarterly and annual financial statements.
|
The following amendments and interpretations were adopted: |
|
|
IFRS 9 |
Financial Instruments |
|
IAS 24 |
Related Party Disclosures |
|
Amendment to IAS 17 |
Leases |
|
Amendment to IAS 39 |
Eligible Hedged Items |
|
IFRIC 17 |
Distributions of Non-cash Assets to Owners |
|
IFRIC 19 |
Extinguishing Financial Liabilities with Equity Instruments |
|
Amendment to IFRIC 14 |
Prepayments of a Minimum Funding Requirement |
The change in accounting policy and the adoption of the amendments and interpretations did not have a material impact on the results of the Group.
The preparation of financial statements in conformity with IFRS requires the use of certain critical accounting estimates. It also requires management to exercise its judgment in the process of applying the Group's accounting policies. Estimates and judgments used in preparing the financial statements are regularly evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The resulting accounting estimates will, by definition, seldom equal the related actual results.
The exchange rates used for translating assets and liabilities at the balance sheet date are US$1=S$1.4012 (2009: US$1=S$1.5202), US$1=RM3.2735 (2009: US$1=RM3.6495), US$1=IDR9,115 (2009: US$1=IDR 11,575) and US$1=VND19,090 (2009: US$1=VND17,802).
The exchange rates used for translating the results for the period are US$1=S$1.4050 (2009: US$1=S$1.5229, US$1=RM3.3653 (2009: US$1=RM3.6490), US$1=IDR9,272 (2009: US$1=IDR 11,637) and US$1=VND18,871 (2009: US$1=VND17,587).
2 Net operating costs and operating profit
|
Three months ended 31st March
|
2010
|
|
2009
|
Change
|
|
|
US$m
|
|
US$m
|
%
|
|
|
|
|
|
|
|
Cost of sales
|
(2,892.7)
|
|
(1,656.8)
|
75
|
|
Other operating income (1)
|
57.1
|
|
29.1
|
96
|
|
Selling and distribution expenses
|
(166.0)
|
|
(113.8)
|
46
|
|
Administrative expenses
|
(155.2)
|
|
(113.6)
|
37
|
|
Other operating expenses
|
(19.3)
|
|
(10.8)
|
79
|
|
Net operating costs
|
(3,176.1)
|
|
(1,865.9)
|
70
|
|
|
|
|
|
|
|
(1) Increase due mainly to gain on disposal of subsidiaries
|
|
|
|
|
|
Three months ended 31st March |
2010 |
|
2009 |
Change |
|
|
US$m |
|
US$m |
% |
|
Operating profit is determined after including: |
|
|
|
|
|
Depreciation of property, plant and equipment |
(110.4) |
|
(70.1) |
57 |
|
Amortisation intangible assets |
(7.1) |
|
(5.8) |
22 |
|
Profit/(loss) on disposal of: |
|
|
|
|
|
- property, plant and equipment |
0.7 |
|
10.1 |
-93 |
|
- subsidiaries |
17.8 |
|
- |
100 |
|
- repossessed assets |
(9.9) |
|
(5.7) |
74 |
|
- investments |
4.4 |
|
(1.1) |
nm |
|
Impairment of debtors |
(25.7) |
|
(16.2) |
59 |
|
Dividend and interest income from investments |
3.5 |
|
3.7 |
-5 |
nm: not meaningful
3 Tax
The provision for income tax is based on the statutory tax rates of the respective countries in which the companies operate after taking into account non-deductible expenses and group tax relief.
4 Earnings per share
|
Three months ended 31st March |
2010 |
|
2009 |
|
|
|
US$m |
|
US$m |
|
|
Basic earnings per share |
|
|
|
|
|
Profit attributable to shareholders |
|
177.8 |
|
90.2 |
|
Weighted average number of ordinary shares in issue (millions) |
|
355.7 |
|
355.7 |
|
Basic earnings per share |
|
US¢49.99 |
|
US¢25.36 |
|
|
|
|
|
|
|
Diluted earnings per share |
|
|
|
|
|
Profit attributable to shareholders |
|
177.8 |
|
90.2 |
|
Weighted average number of ordinary shares in issue (millions) |
|
355.7 |
|
355.7 |
|
Adjustment for assumed conversion of share options (millions) |
|
- * |
|
- * |
|
Weighted average number of ordinary shares for diluted earnings per share (millions) |
|
355.7 |
|
355.7 |
|
|
|
|
|
|
|
Diluted earnings per share |
|
US¢49.99 |
|
US¢25.36 |
|
|
|
|
|
|
|
Underlying earnings per share |
|
|
|
|
|
Underlying profit attributable to shareholders |
|
172.8 |
|
86.5 |
|
Basic underlying earnings per share |
|
US¢48.58 |
|
US¢24.32 |
|
Diluted underlying earnings per share |
|
US¢48.58 |
|
US¢24.32 |
* less than 0.1 million
A reconciliation of the profit attributable to shareholders and underlying profit attributable to shareholders is as follows:
|
Three months ended 31st March |
|
2010 |
|
2009 |
|
|
|
US$m |
|
US$m |
|
|
|
|
|
|
|
Profit attributable to shareholders |
|
177.8 |
|
90.2 |
|
Less: |
|
|
|
|
|
Non-trading items (net of tax and minority interests) |
|
|
|
|
|
Profit on disposal of: |
|
|
|
|
|
- subsidiaries |
|
5.0 |
|
- |
|
- subsidiary of an associate |
|
- |
|
3.7 |
|
|
|
5.0 |
|
3.7 |
|
Underlying profit attributable to shareholders |
|
172.8 |
|
86.5 |
|
|
|
|
|
|
The underlying profit attributable to shareholders by business is shown below:
|
|
|
|||
|
Three months ended 31st March |
2010 |
|
2009 |
Change |
|
|
US$m |
|
US$m |
% |
|
Astra |
|
|
|
|
|
Motor vehicles |
50.1 |
|
23.0 |
118 |
|
Motorcycles |
28.0 |
|
8.6 |
226 |
|
Other automotive |
14.3 |
|
5.7 |
151 |
|
Financial services |
34.4 |
|
17.8 |
93 |
|
Automotive and financial services |
126.8 |
|
55.1 |
130 |
|
|
|
|
|
|
|
Agribusiness |
11.7 |
|
7.5 |
56 |
|
Heavy equipment and mining |
29.0 |
|
21.1 |
37 |
|
Other |
5.3 |
|
2.9 |
83 |
|
Natural resources and other |
46.0 |
|
31.5 |
46 |
|
|
|
|
|
|
|
Corporate costs and other |
(11.2) |
|
(5.9) |
90 |
|
|
161.6 |
|
80.7 |
100 |
|
Other motor interests |
|
|
|
|
|
Singapore |
7.8 |
|
5.0 |
56 |
|
Malaysia |
1.2 |
|
0.7 |
71 |
|
Indonesia (Tunas Ridean) |
4.1 |
|
1.3 |
215 |
|
Vietnam |
0.9 |
|
0.8 |
13 |
|
|
14.0 |
|
7.8 |
79 |
|
|
|
|
|
|
|
Corporate costs |
(2.8) |
|
(2.0) |
40 |
|
|
|
|
|
|
|
Underlying profit attributable to shareholders |
172.8 |
|
86.5 |
100 |
|
|
|
|
|
|
5 Borrowings
|
|
|
Group |
||
|
|
|
At |
|
At |
|
|
|
31.3.10 |
|
31.12.09 |
|
|
|
US$m |
|
US$m |
|
Long-term borrowings: |
|
|
|
|
|
- secured |
|
1,109.7 |
|
920.1 |
|
- unsecured |
|
150.0 |
|
214.7 |
|
|
|
1,259.7 |
|
1,134.8 |
|
Current borrowings: |
|
|
|
|
|
- secured |
|
1,063.4 |
|
969.9 |
|
- unsecured |
|
290.9 |
|
273.0 |
|
|
|
1,354.3 |
|
1,242.9 |
|
|
|
|
|
|
|
Total borrowings |
|
2,614.0 |
|
2,377.7 |
Certain subsidiaries of the Group have pledged their assets in order to obtain bank facilities from financial institutions. The value of assets pledged was US$1,525.1 million (31st December 2009: US$1,369.9 million).
6 Share capital
|
|
Company |
||
|
|
|
|
|
|
|
2010 |
|
2009 |
|
|
US$m |
|
US$m |
|
Issued and fully paid: |
|
|
|
|
Balance at 1st January - 355,678,660 (2009: 355,677,660) ordinary shares |
632.3 |
|
632.3 |
|
Issue of nil (2009: 1,000) ordinary shares under the CCL Executives' |
|
|
|
|
Share Option Scheme |
- |
|
- * |
|
Balance at 31st March - 355,678,660 (2009: 355,678,660) ordinary shares |
632.3 |
|
632.3 |
|
|
|
|
|
* less than 0.1 million
The Company did not hold any treasury shares as at 31st March 2010 (31st March 2009: Nil).
The number of shares that may be issued on conversion of all outstanding options granted pursuant to the CCL Executives' Share Option Scheme amounted to 34,000 as at 31st March 2010 (31st March 2009: 34,000).
There were no other rights, bonus or equity issues during the period between 1stJanuary 2010 and 31st March 2010.
7 Revenue reserve
|
|
Group |
|
Company |
||||
|
|
2010 |
|
2009 |
|
2010 |
|
2009 |
|
|
US$m |
|
US$m |
|
US$m |
|
US$m |
|
Movements: |
|
|
|
|
|
|
|
|
Balance at 1st January as previously reported |
1,885.3 |
|
1,552.4 |
|
492.1 |
|
463.5 |
|
Change in accounting policy |
30.7 |
|
22.4 |
|
- |
|
- |
|
Balance at 1st January as restated |
1,916.0 |
|
1,574.8 |
|
492.1 |
|
463.5 |
|
Asset revaluation reserve realised on disposal of land and buildings |
- |
|
1.0 |
|
- |
|
- |
|
Defined benefit pension plans |
|
|
|
|
|
|
|
|
- actuarial gain/(loss) |
0.1 |
|
(2.4) |
|
- |
|
- |
|
- deferred tax |
- |
|
0.5 |
|
- |
|
- |
|
Share of associates' and joint ventures' actuarial loss on defined benefit pension plans, net of tax |
- |
|
(0.9) |
|
- |
|
- |
|
Profit attributable to shareholders |
177.8 |
|
90.2 |
|
(2.9) |
|
(2.1) |
|
Balance at 31st March |
2,093.9 |
|
1,663.2 |
|
489.2 |
|
461.4 |
8 Other reserves
|
|
Group |
|
Company |
||||||
|
|
2010 |
|
2009 |
|
2010 |
|
2009 |
||
|
|
US$m |
|
US$m |
|
US$m |
|
US$m |
||
|
Composition: |
|
|
|
|
|
|
|
||
|
Asset revaluation reserve |
317.8 |
|
318.7 |
|
- |
|
- |
||
|
Translation reserve |
113.2 |
|
(433.5) |
|
261.6 |
|
154.3 |
||
|
Fair value reserve |
18.3 |
|
(1.3) |
|
0.9 |
|
0.3 |
||
|
Hedging reserve |
(4.5) |
|
(0.1) |
|
- |
|
- |
||
|
Share option reserve |
0.3 |
|
0.3 |
|
0.3 |
|
0.3 |
||
|
Other reserve |
3.3 |
|
3.3 |
|
- |
|
- |
||
|
Balance at 31st March |
448.4 |
|
(112.6) |
|
262.8 |
|
154.9 |
||
|
|
|
|
|
||||||
|
|
Group |
|
Company |
||||||
|
|
2010 |
|
2009 |
|
2010 |
|
2009 |
||
|
|
US$m |
|
US$m |
|
US$m |
|
US$m |
||
|
Movements: |
|
|
|
|
|
|
|
||
|
Asset revaluation reserve |
|
|
|
|
|
|
|
||
|
Balance at 1st January as previously reported |
406.7 |
|
397.7 |
|
- |
|
- |
||
|
Change in accounting policy |
(88.9) |
|
(78.0) |
|
- |
|
- |
||
|
Balance at 1st January as restated |
317.8 |
|
319.7 |
|
- |
|
- |
||
|
Asset revaluation transferred to revenue reserve on disposal of assets |
- |
|
(1.0) |
|
- |
|
- |
||
|
Balance at 31st March |
317.8 |
|
318.7 |
|
- |
|
- |
||
|
|
|
|
|
|
|
|
|
||
|
Translation reserve |
|
|
|
|
|
|
|
||
|
Balance at 1st January |
31.7 |
|
(323.0) |
|
259.6 |
|
224.9 |
||
|
Change in accounting policy |
(2.1) |
|
4.7 |
|
- |
|
- |
||
|
Balance at 1st January as restated |
29.6 |
|
(318.3) |
|
259.6 |
|
224.9 |
||
|
Translation difference |
83.6 |
|
(115.2) |
|
2.0 |
|
(70.6) |
||
|
Balance at 31st March |
113.2 |
|
(433.5) |
|
261.6 |
|
154.3 |
||
|
|
|
|
|
|
|
|
|
||
|
Fair value reserve |
|
|
|
|
|
|
|
||
|
Balance at 1st January |
16.4 |
|
(3.0) |
|
0.9 |
|
0.3 |
||
|
Available-for-sale investments |
|
|
|
|
|
|
|
||
|
- fair value changes |
4.0 |
|
0.9 |
|
- |
|
- |
||
|
- deferred tax |
- |
|
(0.1) |
|
- |
|
- |
||
|
- transfer to profit and loss |
(1.9) |
|
0.5 |
|
- |
|
- |
||
|
Share of associates' and joint ventures' fair value changes of available-for-sale investments, net of tax |
(0.2) |
|
0.4 |
|
- |
|
- |
||
|
Balance at 31st March |
18.3 |
|
(1.3) |
|
0.9 |
|
0.3 |
||
|
|
|
|
|
|
|
|
|
||
|
Hedging reserve |
|
|
|
|
|
|
|
||
|
Balance at 1st January |
(4.8) |
|
2.7 |
|
- |
|
- |
||
|
Cash flow hedges |
|
|
|
|
|
|
|
||
|
- fair value changes |
0.4 |
|
(2.9) |
|
- |
|
- |
||
|
- deferred tax |
(0.1) |
|
0.7 |
|
- |
|
- |
||
|
Share of associates' and joint ventures' fair value changes of cash flow hedges, net of tax |
- |
|
(0.6) |
|
- |
|
- |
||
|
Balance at 31st March |
(4.5) |
|
(0.1) |
|
- |
|
- |
||
|
|
|
|
|
|
|
|
|
||
Share option reserve
|
Balance at 1st January and 31st March |
0.3 |
|
0.3 |
|
0.3 |
|
0.3 |
|
|
|
|
|
|
|
|
|
|
Other reserve |
|
|
|
|
|
|
|
|
Balance at 1st January and 31st March |
3.3 |
|
3.3 |
|
- |
|
- |
|
|
|
|
|
|
|
|
|
9 Minority interests
|
|
Group |
||
|
|
2010 |
|
2009 |
|
|
US$m |
|
US$m |
|
|
|
|
|
|
Balance at 1st January |
3,460.1 |
|
2,559.8 |
|
Change in accounting policy |
(54.2) |
|
(45.2) |
|
Balance at 1st January as restated |
3,405.9 |
|
2,514.6 |
|
Available-for-sale investments |
|
|
|
|
- fair value changes |
4.4 |
|
0.9 |
|
- deferred tax |
(0.1) |
|
- |
|
- transfer to profit and loss |
(2.1) |
|
0.5 |
|
Share of associates' and joint ventures' fair value changes of available-for-sale investments, net of tax |
(0.1) |
|
0.4 |
|
Cash flow hedges |
|
|
|
|
- fair value changes |
1.4 |
|
(4.4) |
|
- deferred tax |
(0.3) |
|
1.1 |
|
Share of associates' and joint ventures' fair value changes of cash flow hedges, net of tax |
- |
|
(0.6) |
|
Defined benefit pension plans |
|
|
|
|
- actuarial gain/(loss) |
0.2 |
|
(2.7) |
|
- deferred tax |
(0.1) |
|
0.6 |
|
Share of associates' and joint ventures' actuarial loss on defined benefit pension plans, net of tax |
- |
|
(0.9) |
|
Translation difference |
109.5 |
|
(133.6) |
|
Profit for the period |
233.5 |
|
121.8 |
|
Issue of shares |
0.2 |
|
- |
|
Dividends paid |
(0.6) |
|
(0.1) |
|
Acquisition/disposal of subsidiaries |
(8.7) |
|
- |
|
Balance at 31st March |
3,743.1 |
|
2,497.6 |
|
Three months ended 31st March |
2010 |
|
2009 |
|
|
US$m |
|
US$m |
|
|
|
|
|
|
Profit before tax |
513.9 |
|
292.0 |
|
|
|
|
|
|
Adjustments for: |
|
|
|
|
Financing income |
(12.8) |
|
(13.0) |
|
Financing charges |
13.1 |
|
11.4 |
|
Share of associates' and joint ventures' results after tax |
(121.4) |
|
(41.6) |
|
Depreciation of property, plant and equipment |
110.4 |
|
70.1 |
|
Amortisation of intangible assets |
7.1 |
|
5.8 |
|
Impairment of debtors |
25.7 |
|
16.2 |
|
(Profit)/loss on disposal of: |
|
|
|
|
- property, plant and equipment |
(0.7) |
|
(10.1) |
|
- subsidiaries |
(17.8) |
|
- |
|
- repossessed assets |
9.9 |
|
5.7 |
|
- investments |
(4.4) |
|
1.1 |
|
- write-down of stocks |
0.8 |
|
0.3 |
|
Changes in provisions |
4.4 |
|
2.7 |
|
Foreign exchange loss |
6.8 |
|
7.9 |
|
|
21.1 |
|
56.5 |
|
Operating profit before working capital changes |
535.0 |
|
348.5 |
|
|
|
|
|
|
Changes in working capital: |
|
|
|
|
Stocks |
53.8 |
|
152.0 |
|
Financing debtors (1) |
(276.1) |
|
17.8 |
|
Debtors (2) |
(252.7) |
|
(14.3) |
|
Creditors (3) |
215.1 |
|
(61.0) |
|
Pensions |
2.9 |
|
0.8 |
|
|
(257.0) |
|
95.3 |
|
Cash flows from operating activities |
278.0 |
|
443.8 |
(1) Decrease due to higher financing activities
(2) Decrease due to higher sales activities and prepayments
(3) Increase due to higher purchases and longer credit period
11 Interested person transactions
|
Name of interested person |
|
Aggregate value of all interested person transactions (excluding transactions less than S$100,000 and transactions conducted under shareholders' mandate pursuant to Rule 920) |
|
Aggregate value of all interested person transactions conducted under shareholders' mandate pursuant to Rule 920 (excluding transactions less than S$100,000) |
|
|
|
US$m |
|
US$m |
|
Three months ended 31st March 2010 |
|
|
|
|
|
Jardine Matheson Limited - management consultancy services |
|
- |
|
0.6 |
|
|
|
|
|
|
|
Jardine Lloyd Thompson Asia Pte Ltd |
|
|
|
|
|
- sale of a motor vehicle |
|
- |
|
0.2 |
|
|
|
|
|
|
|
Jardine Matheson (Singapore) Ltd |
|
|
|
|
|
- sale of a motor vehicle |
|
- |
|
0.2 |
|
- purchase of a used motor vehicle |
|
- |
|
0.1 |
|
|
|
|
|
|
|
Jardine Engineering (Singapore) Pte Ltd |
|
|
|
|
|
- maintenance of air-conditioning equipment |
|
- |
|
0.1 |
|
|
|
|
|
|
|
|
|
- |
|
1.2 |
12 Others
The results do not include any pre-acquisition profits and have not been affected by any item, transaction or event of a material or unusual nature other than the non-trading items shown in Note 4 of this report.
No significant event or transaction has occurred between 1st April 2010 and the date of this report.
- end -
For further information, please contact:
Jardine Cycle & Carriage Limited
Ho Yeng Tat Tel: 65 64708108
The full text of the Financial Statements and Dividend Announcement for the first quarter ended 31st March 2010 can be accessed through the internet at 'www.jcclgroup.com'.
Corporate Profile
Jardine Cycle & Carriage ("JC&C") is a leading Singapore-listed company and a member of the Jardine Matheson group. It has an interest of just over 50% in Astra, a major listed Indonesian conglomerate, and other motor interests in Southeast Asia. Together with its subsidiaries and associates, JC&C employs some 137,000 people across Indonesia, Malaysia, Singapore and Vietnam.
Astra is the largest independent automotive group in Southeast Asia, with additional interests in financial services, agribusiness, heavy equipment and mining, information technology and infrastructure. JC&C has directly-held subsidiaries operating in Singapore and Malaysia under the Cycle & Carriage banner, and associates, Tunas Ridean in Indonesia and Truong Hai Auto Corporation in Vietnam. The JC&C Group represents some of the world's leading motoring marques including Mercedes-Benz, Honda and Toyota.
Related Shares:
JDS.L