SUMMARISED FINANCIAL HIGHLIGHTS AND COMMENTARY TO THE CONDENSED CONSOLIDATED REVIEWED INTERIM FINANCIAL STATEMENTS FOR THE SIX MONTHS ENDED 30 JUNE 2013
General
The board of R&E is pleased to announce the interim results for the six months ended 30 June 2013.
Income
The majority of the income recognised in the period under review derived from the settlement of a legal claim, profit realised on the disposal of prospecting rights and finance income.
Financial position
R&E is liquid with no interest-bearing debt. R&E’s total assets consist primarily of cash. R&E has a net asset value per share of R2.69 as at 30 June 2013 (which represents an increase of 8.5% from 30 June 2012).
Cash flow
R&E started the period under review with a cash balance of R214 million. Operating activities generated cash of R15.3 million, primarily as a result of the settlement of a legal claim of R19.5 million and interest received of R5.4 million against operating expenses of R14.6 million (which included legal and forensic costs of R8.9 million). Investing activities yielded cash inflows of R1.5 million received from the sale of prospecting rights.
R&E remains in a healthy cash position with R231 million in cash and cash equivalents at 30 June 2013.
Outlook
The outlook for 2013 is similar to that for the previous year. Expenditure on litigation is expected to be at a similar level, which is likely to prevail until the claims the company have initiated are finalised. Management will continue to focus on reducing the operational costs where possible and to maintain liquidity.
This short-form announcement is the responsibility of the directors and is only a summary of the information in the full announcement.
The condensed consolidated reviewed interim financial statements for the six months ended 30 June 2013 were released on SENS on 8 August 2013, and can be found on the company’s website at www.randgoldexp.co.za. Copies of the full announcement may also be requested at the company’s registered office, at no charge, during office hours. Any investment decision should be based on the full announcement published on SENS and on the company’s website.
David Kovarsky
Chairman Chief
Marais Steyn
Executive Officer
Johannesburg
12 August 2013
The summarised financial highlights for the six months ended 30 June 2013 are as follows:
| For the six months ended | |||
| 30 Jun 2013 Reviewed |
30 Jun 2012 Reviewed |
Change | |
| Basic earnings and diluted earnings per ordinary share | 16 554 | 8 849 | 87.07% |
| Basic and diluted earnings for the period (R’000) | 71 585 172 | 71 585 172 | |
| Weighted average number of ordinary shares in issue | 23 | 12 | 91.67% |
| Earnings per share (cents) | |||
| Headline and diluted headline earnings per ordinary share |
|||
| Headline and diluted headline earnings for the period (R’000) | 15 338 | 3 812 | 302.36% |
| Weighted average number of ordinary shares in issue | 71 585 172 | 71 585 172 | |
| Headline earnings per share (cents) | 21 | 5 | 320% |
| Net asset and tangible net asset value per share |
|||
| Net asset value (R’000) | 192 432 | 177 875 | 8.18% |
| Ordinary shares outstanding | 71 585 172 | 71 585 172 | |
| Net asset value per share (cents) | 269 | 248 | 8.5% |
| Net tangible asset value per share (cents) | 269 | 247 | 8.9% |
| Results from operating activities 11 197 3 252 244.31% | |||
No dividends were declared