GETBUCKS (BOTSWANA) (PROPRIETARY) LIMITED (Registration number CO 2012/2454) UNAUDITED INTERIM CONSOLIDATED FINANCIAL STATEMENTS 31 DECEMBER 2016

Transcription

1 GETBUCKS (BOTSWANA) (RORIETARY) LIMITED UNAUDITED INTERIM CONSOLIDATED FINANCIAL STATEMENTS DECEMBER

2 Statement of rofit or Loss and Other Comprehensive Income Notes 6 months ended 6 months ended Revenue 41,192,596 39,595,141 Loan impairments 5 (3,930,154) (3,901,630) Other income 228,448 41,784 Operating expenses (23,524,976) (18,055,105) Operating profit 13,965,914 17,680,190 Investment revenue 401,877 1,193,260 Finance costs (4,863,151) (13,884,864) rofit before tax 9,504,640 4,988,586 Income tax expense (2,815,607) (1,341,670) rofit for the period 6,689,032 3,646,916 Other comperehensive income - - Total comprehensive income for the period 6,689,032 3,646,916 rofit attributable to: Owners of the parent 6,152,306 3,364,002 Non-controlling interest 536, ,914 6,689,032 3,646,

3 Unaudited Financial Statements for the period ended Statement of Financial osition Notes 6 months ended 6 months ended ASSETS Assets lant and equipment 10,050,770 1,504,251 Intangible assets 2 3,992,584 1,480,382 Goodwill 8 619,520 - Loans to shareholders 3 6,115,937 5,874,371 Loans to group companies 4 6,110,449 - Deferred tax 10,072,939 10,079,249 Other receivables 12,002,583 18,247,412 Loan book 5 75,541,401 71,034,079 Current tax receivable 515, ,435 Cash and cash equivalents 6 8,362,430 8,2,710 Total assets 133,383, ,027,889 EQUITY AND LIABILITIES Equity Stated capital 4,041,075 4,041,075 Other equity reserves 35,797 - Retained profit 33,120,629 21,674,855 Equity attributable to equity holders of the company 37,197,501 25,715,930 Non-controllibng interest 4,289,474 3,370,194 Total Equity 41,486,975 29,086,124 LIABILITIES Non Current Liabilities Loans from shareholders 3 51,616,118 61,616,259 Other financial borrowings 7 8,984,747 6,782,982 Finance lease obligation 560, ,402 Loans from group companies and related parties 4 1,586,509 1,369,064 Trade and other payables 9 22,342,773 10,159,189 Bank overdraft 6 7, ,075 Current tax payable 6,797,900 7,028,794 Total liabilities 91,896,637 87,941,765 Total equity and liabilities 133,383, ,027,

4 Statement of Cashflows 6 months ended 6 months ended Notes Cash flow from operating activities Cash used in operations 10 17,779,376 12,195,883 Interest paid (4,863,151) (1,086,719) Interest received 401,877 1,001,889 Tax paid (1,622,650) (6,2,991) Net cash flows from operating activities 11,695,452 5,879,062 Cash flows from investing activities urchase of property, plant and equipment (134,216) (800,427) Net cash flows (used in)/generated from/investing activities (134,216) (800,427) Cash flows from financing activities Repayment of other financial borrowings (1,667,835) (1,489,780) Repayments of loans from shareholders (8,144,215) (4,820,172) Repayment of finance leases (60,765) (87,937) Net cash flows from financing activities (9,872,815) (6,397,889) Total cash movement for the period 1,688,420 (1,9,254) Cash and cash equivalents at the beginning of the period 6,743,081 9,326,889 Total cash and cash equivalents at the end of the period 6 8,4,502 8,007,

5 Statement of Changes in Equity Consolidated Stated Capital Retained Earmings Share option Reserve Total attributtable to equity holders of the group Non - Controlling Interest Total Equity Balance at 1 July 4,041,075 18,0,853-22,351,928 3,087,280 25,439,208 rofit for the year - 3,364,002-3,364, ,914 3,646,916 Balance at 4,041,075 21,674,855-25,715,930 3,370,194 29,086,124 rofit for the year - 4,673,949-4,673,949 1,002,073 5,676,022 Acquistion of subsidiary - 619, ,519 (619,519) - Share based payment reserve ,797 35,797-35,797 Balance at 30 June 4,041,075 26,968,323 35,797,045,195 3,752,748 34,797,943 rofit for the year - 6,152,306-6,152, ,726 6,689,032 Balance at 4,041,075 33,120,629 35,797 37,197,501 4,289,474 41,486,

6 Accounting olicies 1. Basis of preparation Statement of compliance The unaudited interim condensed consolidated financial statements have been prepared using accounting policies consistent with International Financial Reporting Standards ( IFRS ) and in accordance with International Accounting Standard (IAS) 34 Interim Financial Reporting. The Group Consolidated Condensed Interim Financial Statements should be read in conjuction with combined financial statements for the year ended 30 June, which have been prepared in accordance with International Financial Reporting Standards. UNAUDITED They are INTERIM in ula CONSOLIDATED FINANCIAL STATEMENTS Significant accounting policies The same accounting policies and methods of computation are followed in these condensed consolidated financial statements as were applied in the preparation of the Group s audited consolidated financial statements for the year ended 30 June. Dividends During the six months ended, no dividends were paid or declared. The Board of Directors of Getbucks Limited Botswana accepts full responsibility for the accuracy of the information contained in these unaudited condensed Financial Statements

7 Notes to the Consolidated Condensed Interim for the period ended 2. Intangible assets Cost Accumulated Carrying value Cost Accumulated Carrying value amortisation amortisation Intellectual property legal product 240,000 (240,000) - 240,000 (200,7) 39,683 Customer relationships 4,322,098 (3,961,923) 360,175 4,322,098 (2,881,399) 1,440,699 Other intangible assets 4,036,010 (403,601) 3,632, ,598,108 (4,201,923) 3,992,584 4,562,098 (3,081,716) 1,480,382 Reconciliation of Intangible assets - Opening Depreciation Total Balance Intellectual property legal product 80,008 (80,008) - Customer relationships 1,440,699 (1,080,524) 360,175 Other intangible assets 4,036,010 (403,601) 3,632,409 5,556,717 (1,564,133) 3,992,584 Reconciliation of Intangible assets - Opening Depreciation Total Balance Intellectual property legal product 80,008 (40,325) 39,683 Customer relationships 2,161,049 (720,350) 1,440,699 2,241,057 (760,675) 1,480, Loans to (from) shareholders Botswana Teachers Union The loan is unsecured and bears interest at the prime rate in Botswana. There are no fixed terms of repayment 6,115,937 5,874,371 Getbucks Limited (Mauritius) The loan is unsecured and bears interest at 20% per annum. The loan is repayable June (51,616,118) (61,616,259) The loan is denominated in United States Dollars Non current assets 6,115,937 5,874,371 Non current liabilities (51,616,118) (61,616,259) (45,500,181) (55,741,888) - 6 -

8 Notes to the Annual Financial Statements 4. Loans to (from) related parties Getbucks SA (ty) Limited 6,110,449 - The loan is unsecured and bears interest at 22% Getsure Holdings (roprietary) Limited The loan is unsecured and bears interest at 17% per annum. (1,586,509) (1,369,064) The loan is drawn from time to time. There are no repayment terms. Current assets 6,110,449 - Current liabilities (1,586,509) (1,369,064) 4,523,940 (1,369,064) 5. Loan book Loans advances 86,262,127 80,470,934 Impairment on loan book (10,740,726) (9,436,855) 75,521,401 71,034,079 Current assets 37,977,214 24,741,745 Non current assets 37,544,187 46,292,334 75,521,401 71,034,079 Reconciliation of provision for impairment of loan book Opening balance (11,704,555) (11,704,555) Amounts written off as uncollectable 4,893,983 6,169,330 Additional impairments raised (3,930,154) (3,901,630) (10,740,726) (9,436,855) The amount expected to be recovered or settled after more than 12 months for each asset and liability. This is a level 3 fair value which is determined by taking into consideration the outstanding amount owing by customers, and discounting this amount by a market interest rate. Management considers such techniques as appropriate because it reflects the price a third party would be ready to pay to acquire the loan in an orderly transaction. ledges and security TU Loans (roprietary) Limited has pledged (the equivalent of USD ) of its loan book as security in favour of DBF Capital artners on behalf of the group s holding company, Getbucks Limited (Mauritius) TU Loans (roprietary) Limited has pledged a portion of its loan book in favour of Bank Gaborone not greater than the outstanding capital of the loan as reflected in note

9 Notes to the Annual Financial Statements 6. Cash and cash equivalents For the purpose of ther statement of cash flows, cash, cash equivalents and bank overdrafts include total cash assets less bank overdrafts: Cash on hand 67, ,058 Bank balances 8,371,966 8,208,652 Bank overdraft (7,652) (305,075) 8,4,502 8,007,635 Current assets 8,439,154 8,2,710 Current liabilities (7,652) (305,075) 8,4,502 8,007, Other financial borrowings Held at amortised cost Bank Gaborone loan 1 975,704 4,662,982 A commercial loan with Bank of Gaborone for 36 months ending 10 April The loan bears interest of prime rate of Botswana plus 3.5%. Getbucks Limited (Mauritius) has provided security in the form of a cash deposit via Eco bank Zimbabwe. Bank Gaborone loan 2 5,7,306 - A commercial loan with Bank of Gaborone for 180 months ending 30 September The loan bears interest of prime rate of Botswana plus 3%. Getbucks Limited (Mauritius) has provided security in the form of a cash deposit via Eco bank Zimbabwe. Cost lean investments 2,691,737 2,120,000 The loan is unsecured. Interest of 24% is charged on the loan and the loan will be repaid on March ,984,747 6,782,982 Current liabilities 1,635,704 5,807,373 Non current liabilities 7,349, ,609 8,984,747 6,782,

10 Notes to the Annual Financial Statements 7. Other financial borrowings (continued) Fair value hierarchy of loans from related parties and financial borrowings For financial liabilities not recognised at fair value, the fair value is required to be disclosed in accordance with the fair value hierarchy which reflects the significance of the inputs used to make the measurements. Instruments with no repayment terms have fair values equal to their carrying amount as they are payable on demand. UNAUDITED INTERIM CONSOLIDATED FINANCIAL STATEMENTS Level 1 represents those assets which are measured using unadjusted quoted prices for identical liabilities. Level 2 applies inputs other than quoted prices that are observable for the liabilities either directly (as prices) or indirectly (derived from prices). Level 3 applies inputs which are not based on observable market data Level 3 Loans to (from) shareholders Botswana Teachers Union 6,115,937 5,874,371 Getbucks Limited (Mauritius) (51,616,118) (61,616,259) (45,500,181) (55,741,888) Other financial liabilites Bank Gaborone 6,293,010 4,662,982 Cost lean investments 2,691,737 2,120,000 8,984,747 6,782,982 Loans to (from) related parties Getbucks SA (ty) Limited 6,110,449 - Ataye Holdings (roprietary) Limited (1,586,509) (1,369,064) 4,523,940 (1,369,064) The fair value of the loans from shareholders as well as other financial liabilities are based on cash flows discounted using a rate based on the borrowing rate of what a third party would be lending at in that particular jurisdiction. For the loans received from banking institutions, the rate charged by these institutions has been applied to calculate fair value. These loans are within level 3 of the fair value hierarchy as the discount rates which take into account the Groups own credit risk, certain funding costs and other spreads are not based on observable market data

11 Notes to the Annual Financial Statements 8. Goodwill Goodwill (Acquisition of Ochwe Developers (ty) Limited), 619,520 - Effective 30 June. GetBucks (roprietary) Limited (Botswana) acquired a 50% shareholding in Ochwe Developers (roprietary) UNAUDITED Limited. The INTERIM acquisition CONSOLIDATED gave rise to goodwill FINANCIAL of 619,520. STATEMENTS 9. Trade and other payables Trade payables 2,150,982 1,068,913 Accruals and sundry payables 17,788,902 8,6,608 VAT payable 289, ,236 Insurance Liabilities 1,0, ,117 ayroll liabilities 1,093, ,6 22,633,070 10,159,190 As from July royalty fees have been charged by Getbucks Limited (Mauritius) to the Getbucks Botswana Group of companies. These were not settled by and this led to an increase in the accruals and sundry payables. 10. Cash generated from operations rofit before taxation 9,504,640 4,988,586 Adjustments for: Depreciation and amortisation 1,144, ,610 Loss on disposal of assets - 10,505 Investment revenue (401,877) (1,193,260) Finance costs 4,863,151 13,884,864 Changes in working capital: Loan book 121,532 (10,948,855) Other receivables (3,087,268) (8,3,335) Trade and other payables 5,634,438 12,986,768 17,779,376 12,195,

12 11. Related parties Relationship Ultimate holding company Holding company Fellow Subsidiaries Related party Shareholders: MyBucks S.A. (Luxembourg) GetBucks (roprietary) Limited (Mauritius) BU Bucks (roprietary) Limited (Botswana) CashCorp (roprietary) Limited (Botswana) TU Loans (roprietary) Limited (Botswana) GetBucks Financial Services (rivate) Limited (Zimbabwe) GetBucks Limited (Malawi) EMU-INYA Enterprises Limited (Kenya) GetSure Botswana (roprietary) Limited (Botswana) GetBucks Invest GmbH (Austria) GetBucks Spain SL (Spain) GetBucks oland S z.o.o (oland) GetBucks Financial Services Limited (Zambia) GetBucks (roprietary) Limited (Namibia) GetBucks Limited (Ghana) GetBucks Limited (Uganda) GetBucks Equatorial Guinea Limited (Equatorial Guinea) VSS Financial Services (roprietary) Limited (South Africa) GetSure (roprietary) Limited (South Africa) Sanceda Recoveries (roprietary) Limited Ligagu Investments (roprietary) Limited (Swaziland) GetBucks (roprietary) Limited (South Africa) Ochwe Developers (roprietary) Limited (Botswana) IBMOC (roprietary) Limited Botswana Teachers Union Directors A M de Kock R M Solomon T Nuy S Brink -11-