Last checked at 23 Oct 2017 10:33
Cambria Africa Plc
("Cambria" or the "Company")
Trading Update FY 2017
Group EBITDA $1.0 million Up 122%
PBT $478,000
The Company is pleased to announce that for the year ended 31 August 2017 it has achieved profitability from continuing operations. The financial information presented below has been extracted from the unaudited management accounts and could be subject to possible change following the completion of the Company's year-end audit process. The final audited results are expected to be released in early 2018.
Results highlights for the period: |
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12 months ended 31 August 2017 (US$000's) | FY 2017 | FY 2016 | Change |
Group |
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Consolidated EBITDA | 1,001 | 451 | 122% |
Profit Before Tax and Minorities | 478 | (325) | $803 |
Excluding Non-Recurring Legal and Settlement: |
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Group consolidated EBITDA - | 2,045 | 1,270 | 61% |
Group Central costs | 243 | 277 | -12% |
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Divisional |
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Payserv EBITDA before Minorities | 2,482 | 1,730 | 44% |
Payserv PBT before minorities | 2,242 | 1,374 | 63% |
Payserv PBT after minorities | 1,902 | 1,026 | 85% |
Millchem EBITDA | (194) | (183) | -6% |
Millchem PBT | (218) | (214) | -2% |
· Profit Before Tax and Minorities increased by $803,000 to $478,000 in FY 2017 from a loss of $325,000 in FY 2016. This pre-tax profit includes legal fees of $821,000 (2016: $819,000) and the Consilium Settlement of $223,000 announced 4 October 2017 and accounted for in FY 2017. This is the Company's first operating profit from continuing operations excluding the Lonrho Settlement windfall of $4.752 million in August 2015.
· Profit before Tax and minorities increased by 209% to $1.52 million in FY 2017 compared to $494,000 in FY 2016 after excluding legal fees and the Consilium Settlement (as detailed above).
· Consolidated EBITDA increased 122% to $1.0 million from $0.45 million in FY 2016. The Company increased its EBITDA by 61% to $2.05 million before legal expenses and settlement costs from $1.27 million in FY 2016.
· Payserv's consolidated EBITDA increased by 44% to $2.48 million in FY 2017 from $1.73 million in FY 2016. Revenues increased by 20% in FY 2017 to $6.40 million from $5.34 million in FY 2016. Payserv's profit before tax & minorities increased 63% to $2.24 million, up from $1.37 million in 2016. After minority interests, PBT increased 85% to $1.90 million from $1.03 million. The increase in profitability is directly attributable to a 37% jump in EDI volumes resulting from the movement to cashless banking in Zimbabwe.
· Millchem's revenues declined 30% from $3.19 million in 2016 to $2.23 million in 2017. However, due to an improvement in gross margins and overhead savings of 13%, the EBITDA loss only increased marginally to $194,000 from $183,000 in 2016. The Board expects cost cutting measures and margin improvements implemented in late FY 2017 to be fully realized in FY 2018.
· Cambria's central costs, decreased by a further 12% to $243,000 from $277,000 after excluding non-recurring legal costs and the Consilium settlement. The CEO and Directors of the company have been providing their services to Cambria without compensation since their appointment in July 2015.
· Group interest costs were reduced by $293,000 or 44% after the partial conversion & partial repayment of loans. Overall, consolidated debt fell by 25% from $4.43 million to $3. 33 million.
· Cambria's strategic subsidiaries continue to meet their license fee and import obligations with the ongoing support of their commercial bankers and cooperation of the Reserve Bank of Zimbabwe.
Contacts
Cambria Africa Plc: www.cambriaafrica.com
Samir Shasha CEO: + 44 (0) 207 669 0115
Email: info@cambriaafrica.com
WH Ireland Limited: www.wh-ireland.co.uk
James Joyce / Alex Bond: + 44 (0) 20 7220 1666