Last checked at 21 Aug 2017 16:29
Pan African Resources Plc - Correction : Trading StatementPan African Resources Plc - Correction : Trading Statement
PR Newswire
London, August 18
The original announcement should have included the following text… The financial information contained in this trading statement has neither been reviewed nor audited by the Company’s auditors.
The corrected announcement is attached.
Pan African Resources PLC("Pan African" or “the Company" or “the Group”)(Incorporated and registered in England and Wales under Companies Act 1985ith registered number 3937466 on 25 February 2000)Share code on AIM: PAFShare code on JSE: PANISIN: GB0004300496
TRADING STATEMENT FOR THE FINANCIAL YEAR ENDED 30 JUNE 2017
In terms of paragraph 3.4(b) of the Listings Requirements of the JSE Limited, a listed company is required to publish a trading statement as soon as it is satisfied that a reasonable degree of certainty exists that the financial results for the period to be reported upon next, will differ by at least20% from those of the previous corresponding period.
Pan African is incorporated in England and Wales under the Companies Act 1985 and accordingly, its presentation currency is Pounds Sterling (“GBP”).
The average ZAR:GBP exchange rate affects the reporting of results in GBP. For the reporting period ended 30 June 2017 (“current reporting period”), the average prevailing ZAR:GBP exchange rate will be used to translate earnings per share (“EPS”) and headline earnings per share (“HEPS”) from ZAR to GBP.
For the reporting period ended 30 June 2016 (“prior reporting period”), the average ZAR:GBP exchange rate was ZAR21.45:1. For the current reporting period, the ZAR strengthened against the GBP, with an average exchange rate of ZAR17.25:1. This 19.6% year-on-year appreciation in the average exchange rate should be taken into account for purposes of a comparison with the prior reporting period.
The Group records its revenue from precious metals sales in ZAR. The strength in the value of the ZAR/USD exchange rate during the period under review had an adverse impact on the USD metals revenue received when translated into ZAR. In the current reporting period, the average ZAR/USD exchange rate was 6.3% stronger at R13.59:1 (2016: R14.51:1).
In the current reporting period the Group’s weighted average number of shares in issue decreased by 13.6% to 1,564,346,115 shares, from 1,811,427,377 shares in the prior reporting period. This reduction is due to the following:
For accounting purposes, the weighted average number of shares upon consolidation excludes the 436,358,058 shares held by PAR Gold Proprietary Limited (“PAR Gold”). The PAR Gold shares were acquired on 7 June 2016 and, in the current reporting period, the Group benefitted from a full year exclusion of these shares in the calculation of the weighted average number of shares outstanding. In the prior reporting period, these shares were only excluded for less than a month for the purposes of calculating the weighted average number of shares in issue. In the current reporting period, on 12 April 2017, the Group issued 291,480,983 ordinary shares to fund the equity component of the Elikhulu tailings retreatment plant’s construction.Shareholders are referred to the recent Group operational update released on 20 July 2017, which highlighted the Group’s production performance for the year ended 30 June 2017.
Pan African advises shareholders that its EPS and HEPS for the current reporting period are expected to be between:
EPS: 39% to 29% lower than the 30.20 cents for the prior reporting period (being expected EPS of 18.30 cents to 21.32 cents). HEPS: 38% to 28% lower than the 30.20 cents for the prior reporting period (being expected HEPS of 18.66 cents to 21.68 cents).Using the average ZAR:GBP 17.25:1 exchange rate that prevailed during the current reporting period, the Group’s EPS and HEPS in GBP terms for the current reporting period are expected to be between:
EPS: 24% to 13% lower than the 1.41 pence for the prior reporting period (being expected EPS of 1.07 pence to 1.22 pence). HEPS: 22% to 12% lower than the 1.41 pence for the prior reporting period (being expected HEPS of 1.10 pence to 1.24 pence).Phoenix Platinum (Pty) Ltd. and Uitkomst Colliery (Pty) Ltd. were classified as discontinued operations at the end of the current reporting period, therefore the EPS and HEPS guidance provided above comprises earnings from discontinued and continued operations. There were no discontinued operations in the prior reporting period.
The financial information contained in this trading statement has neither been reviewed nor audited by the Company’s auditors. The Group’s audited year end results for the year ended 30 June 2017 will be released on 21 September 2017.
For further information on Pan African, please visit the Company’s website at www.panafricanresources.com
21 August 2017
Corporate Office
The Firs Office Building
1st Floor, Office 101
Cnr. Cradock and Biermann Avenues
Rosebank, Johannesburg
South Africa
Office: + 27 (0) 11 243 2900
Facsimile: + 27 (0) 11 880 1240
Registered Office
Suite 31
Second Floor
107 Cheapside
London
EC2V 6DN
United Kingdom
Office: + 44 (0) 20 7796 8644
Facsimile: + 44 (0) 20 7796 8645
| Cobus Loots | Deon Louw |
| Pan African Resources PLC | Pan African Resources PLC |
| Chief Executive Officer | Financial Director |
| Office: + 27 (0) 11 243 2900 | Office: + 27 (0) 11 243 2900 |
| Phil Dexter | John Prior / Paul Gillam |
| St James's Corporate Services Limited | Numis Securities Limited |
| Company Secretary | Nominated Adviser and Joint Broker |
| Office: + 44 (0) 20 7796 8644 | Office: +44 (0) 20 7260 1000 |
| Sholto Simpson | Matthew Armitt / Ross Allister |
| One Capital | Peel Hunt LLP |
| JSE Sponsor | Joint Broker |
| Office: + 27 (0) 11 550 5009 | Office: +44 (0) 20 7418 8900 |
| Julian Gwillim | Jeffrey Couch/Neil Haycock/Thomas Rider |
| Aprio Strategic Communications | BMO Capital Markets Limited |
| Public & Investor Relations SA | Joint Broker |
| Office: +27 (0)11 880 0037 | Office: +44 (0) 20 7236 1010 |
Bobby Morse/Chris Judd
Buchanan Communications
Public & Investor Relations UK
Office: +44 (0) 207 466 5000
www.panafricanresources.com