|
The Group’s Chief Executive Officer and Chief Financial Officer have restructured the operating segments due to Jasco Electronics Holdings Limited being classified as a non-current asset held for sale in the prior year (please refer to note 12 for further detail) and on the purchase of the new WAD assets in the current year. The operating segments identified are examined from a service perspective (total healthcare vs information technology) and geographical perspective (SA vs Africa). The geographical segments identified include all businesses outside of South Africa which include Botswana, Mauritius, Namibia, Kenya, Swaziland and Zimbabwe. Individually, each business outside of South Africa is not material hence management has taken the decision to disclose all business outside of South Africa as a separate operating segment. All segments have been disclosed according to what the Chief Operating Decision Maker reviews.
NATURE OF BUSINESS SEGMENTS:
| • |
Healthcare SA – consists of medical scheme administration and health risk management services in South Africa. Please refer to note 11 which indicates Medscheme Holdings (Proprietary) Limited’s summarised financial
information. |
| • |
Healthcare Retail – consists of pharmaceutical sales/services from the WAD Acquisition. These services are rendered
in South Africa. |
| • |
Healthcare Africa – consists of all healthcare services outside of South Africa. This includes associate earnings
(Botswana, Kenya, Namibia, Zimbabwe, Swaziland and Mauritius). |
| • |
Information technology – This relates to all IT related services for the Group predominantly within South Africa. |
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|
|
|
|
|
|
| Gross revenue |
2 066 327 |
748 477 |
180 534 |
2 995 338 |
499 411 |
(346 603) |
3 148 146 |
|
| Other income |
– |
– |
– |
– |
– |
– |
– |
|
| Administration expenses |
(1 893 117) |
(701 287) |
(117 651) |
(2 712 055) |
(382 940) |
306 599 |
(2 788 396) |
|
| Amortisation of intangibles |
(1 385) |
(8 171) |
( 336) |
(9 892) |
(55 629) |
(13 811) |
(79 332) |
|
| Depreciation |
(11 935) |
(2 531) |
(2 242) |
(16 708) |
(21 302) |
( 1) |
(38 011) |
|
| Net finance income |
21 348 |
2 343 |
3 508 |
27 199 |
640 |
– |
27 839 |
|
| – Finance income |
31 109 |
3 001 |
3 530 |
37 640 |
689 |
(5 943) |
32 386 |
|
| – Finance cost |
(9 761) |
( 658) |
( 22) |
(10 441) |
( 49) |
5 943 |
(4 547) |
|
| Share-based payment expense |
(6 444) |
– |
– |
(6 444) |
– |
– |
(6 444) |
|
| Net fair value gain/impairment of assets |
20 995 |
– |
– |
20 995 |
– |
1 232 |
22 227 |
|
| – Fair value gain/ impairment of assets |
25 853 |
– |
– |
25 853 |
– |
1 232 |
27 085 |
|
| – Impairment of intangibles |
(4 858) |
– |
– |
(4 858) |
– |
– |
(4 858) |
|
| Net share of profit of associate |
(713) |
7 479 |
3 352 |
10 118 |
– |
– |
10 118 |
|
| – Share of profit of associate |
(713) |
7 479 |
3 352 |
10 118 |
– |
– |
10 118 |
|
| Profit/(loss) before taxation |
195 076 |
46 310 |
67 165 |
308 551 |
40 180 |
(52 584) |
296 147 |
|
| Income tax expense |
(35 020) |
(14 545) |
(13 663) |
(63 228) |
(11 342) |
(3 003) |
(77 573) |
|
| Profit/(loss) for the year |
160 056 |
31 765 |
53 502 |
245 323 |
28 838 |
(55 587) |
218 574 |
|
| Net segments assets |
3 328 479 |
238 198 |
160 739 |
3 727 416 |
310 001 |
(996 701) |
3 040 716 |
|
| Segments assets |
3 328 479 |
238 198 |
160 739 |
3 727 416 |
310 001 |
(996 701) |
3 040 716 |
|
| Segment liabilities |
1 059 074 |
163 482 |
26 159 |
1 248 715 |
129 339 |
99 080 |
1 477 134 |
|
ADJUSTED PROFIT (EBITDA) EARNINGS FOR MANAGEMENT EARNINGSEBITDA excludes the effects from significant items of income and expenditure which may have an impact on the quality
of earnings such as depreciation, amortisation and impairments. It also excludes the effects of equity-settled share-based
payments.
|
|
|
|
|
|
|
|
|
| Profit/(loss) before taxation |
195 076 |
46 310 |
67 165 |
308 551 |
40 180 |
(52 584) |
296 147 |
|
| Depreciation and amortisation |
13 320 |
19 323 |
2 578 |
35 221 |
76 932 |
5 190 |
117 343 |
|
| Reversal of impairment |
(20 995) |
– |
– |
(20 995) |
– |
(1 232) |
(22 227) |
|
| Share-based payment expense |
6 444 |
– |
– |
6 444 |
– |
– |
6 444 |
|
| Net finance income |
(21 348) |
(2 343) |
(3 509) |
(27 200) |
(639) |
– |
(27 839) |
|
| Adjusted profit/(loss) for the year (EBITDA) |
172 497 |
63 290 |
66 234 |
302 021 |
116 473 |
(48 626) |
369 868 |
|
Below is the restated operating segments that would have been disclosed if the decision was taken last year to change
the operating segments as they are disclosed this year:
|
|
|
|
|
|
|
|
| Gross revenue |
1 913 529 |
157 818 |
2 071 347 |
401 454 |
(374 489) |
2 098 312 |
|
| Other income |
– |
17 729 |
17 729 |
165 |
(165) |
17 729 |
|
| Administration expenses |
(1 682 750) |
(105 860) |
(1 788 610) |
(311 455) |
373 825 |
(1 726 240) |
|
| Amortisation of intangibles |
(113) |
(267) |
(380) |
(34 448) |
(13 906) |
(48 734) |
|
| Depreciation |
(11 141) |
(1 906) |
(13 047) |
(22 680) |
– |
(35 727) |
|
| Net finance income |
15 488 |
2 680 |
18 168 |
627 |
7 |
18 802 |
|
| – Finance income |
33 531 |
2 724 |
36 255 |
681 |
(8 137) |
28 799 |
|
| – Finance cost |
(18 043) |
(44) |
(18 087) |
(54) |
8 144 |
(9 997) |
|
| Share-based payment expense |
(9 395) |
– |
(9 395) |
– |
– |
(9 395) |
|
| Net fair value gain/impairment of assets |
2 068 |
(14 904) |
(12 836) |
– |
(23 861) |
(36 697) |
|
| Fair value gain/impairment of assets |
19 773 |
(14 904) |
4 869 |
– |
(19 774) |
(14 905) |
|
| Impairment of Jasco |
(17 705) |
– |
(17 705) |
– |
(4 087) |
(21 792) |
|
| Net share of profit of associate |
(105) |
766 |
661 |
– |
647 |
1 308 |
|
| Share of profit of associate |
(105) |
766 |
661 |
– |
– |
661 |
|
| Share of profit from Jasco |
– |
– |
– |
– |
647 |
647 |
|
| Profit/(loss) before taxation |
227 581 |
56 056 |
283 637 |
33 663 |
(37 942) |
279 358 |
|
| Income tax expense |
(73 024) |
(17 718) |
(90 742) |
(10 406) |
564 |
(100 584) |
|
| Profit/(loss) for the year |
154 557 |
38 338 |
192 895 |
23 257 |
(37 378) |
178 774 |
|
| Net segments assets |
2 013 236 |
126 357 |
2 139 593 |
465 035 |
(1 019 022) |
1 585 606 |
|
| Segment assets |
1 988 448 |
126 357 |
2 114 805 |
465 035 |
(1 019 022) |
1 560 818 |
|
| Held for sale asset |
24 788 |
– |
24 788 |
– |
– |
24 788 |
|
| Segment liabilities |
314 999 |
24 254 |
339 253 |
314 834 |
(235 560) |
418 527 |
|
ADJUSTED PROFIT (EBITDA) EARNINGS FOR MANAGEMENT EARNINGS
EBITDA excludes the effects from significant items of income and expenditure which may have an impact on the quality
of earnings such as depreciation, amortisation and impairments. It also excludes the effects of equity-settled share-based
payments.
|
|
|
|
|
|
|
|
| Profit/(loss) before taxation |
227 581 |
56 056 |
283 637 |
33 663 |
(37 942) |
279 358 |
|
| Depreciation and amortisation |
11 254 |
2 173 |
13 427 |
57 128 |
13 906 |
84 461 |
|
| Reversal of impairment |
(2 068) |
14 904 |
12 836 |
– |
23 861 |
36 697 |
|
| Share-based payment expense |
9 395 |
– |
9 395 |
– |
– |
9 395 |
|
| Net finance income |
(15 488) |
(2 680) |
(18 168) |
(627) |
(7) |
(18 802) |
|
| Adjusted profit/(loss) for the year (EBITDA) |
230 674 |
70 453 |
301 127 |
90 164 |
(182) |
391 109 |
|
|