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- Release Date: 14/06/13 17:31
- Summary: FLLYR: GFL: GFNZ Group Limited - Full Year Results - Mar 13
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GFL
14/06/2013 15:31
FLLYR
REL: 1531 HRS GFNZ Group Limited
FLLYR: GFL: GFNZ Group Limited - Full Year Results - Mar 13
GFNZ Group Limited - Full Results
GFNZ Group LIMITED RESULTS FOR ANNOUNCEMENT TO THE MARKET
Reporting period: 12 months to 31 March 2013.
Previous reporting period: 12 months to 31 March 2012.
GFNZ Group has confirmed the Group's results for the reporting period for the
12 months to 31 March 2013.
The results, as follows, include the percentage change for the previous
reporting period of the 12 months to 31 March 2012.
Revenue from ordinary activities:
$10,107,000 18% down
Profit/(Loss) from ordinary activities after tax attributable to security
holders:
$91,000 106% improvement
Profit/(Loss) attributable to security holders:
$91,000 106% improvement
Interim/final dividend: nil
Amount per security: $0.00
Imputed amount per security: $0.00
Record date: n/a
Dividend payment date: n/a
Comments:
Financial Result (12 months to 31st March 2013)
The after tax un audited* financial result for the year was a profit of
$0.091m vs a loss of $1.577m in 2012.
* Audit is currently in progress
Business Performance:
The Group has four operating segments and the corporate segment (Parent).
The New Business segment produced a $0.9m profit for the year which was the
same as the prior year.
The Insurance segment performance is linked to the new business segment
lending volumes and produced a $0.4m profit for the year, a $0.1m increase
from the prior year. This year result reflects the benefit of the higher
lending volumes in prior years.
The Old Business segment produced a loss of $1.2m, a $1.4m improvement on the
$2.6m loss of the prior year.
Property segment produced a profit of $0.1m for the year, similar result as
the previous year. The property was sold during March 13 and the transaction
settled in April 13.
Balance Sheet:
As at 31 March 13, primarily as a consequence of the successful equity
placements achieved during the year, the equity to total assets ratio of the
company has improved to 25.3% which positions the group well as it pursues
new debt funding opportunities.
Operating Costs:
The group's continued focus on cost reduction has delivered operating cost
savings of $1.3m (15%) as compared to the equivalent period last year.
Interest Bearing Repayment Plan:
During the year the group continued to repay the scheduled repayments ahead
of time. The scheduled $4.9m principal repayments due on 30th September 2012
was repaid in two equal installments on 17th August 2012 and 31st August
2012, the 31st March 2013 scheduled repayment was repaid on 28th February
2013. As at 31st March 2013 the Group had made in excess of $139m of
principal and interest repayments to investors since entering moratorium on
5th November 2007.
Covenant Compliance:
The group complies with all covenants and capital adequacy requirements under
its banking facilities, the Reserve Bank and the group's Debenture Trust
Deed.
Rights Issue:
On 20th July 2012, the Company entered into an unconditional agreement
(subject only to company shareholder approval), with Federal Pacific Group
Limited (Fedpac) to underwrite a one for four rights issue at 2.75 cents per
share. The rights issue resulted in the issue of 56.2m ordinary shares,
raising $1.4m (after costs) of new equity. Shareholder approval was obtained
on the 6th November 2012 and settlement was on 22nd November 2012. Under this
arrangement, Fedpac, who acquired a 19.99% stake in the company on 28th March
2012 have increased their stake in the company to 33.67%.
Funding:
This vote of confidence by Fedpac (taking a 33.67% stake in the company)
represents a significant milestone as the Group pursues funding opportunities
which include: (a) Funding through a professional investor structure which
to date has generated $4.6m of funding; (b) The reactivation of the group's
prospectus and; (c) The pursuit of alternative banking lines to replace the
BOSI facility which is scheduled to be repaid in full by 31st March 2015.
Strategic Direction:
The Group is committed to the consumer finance and insurance market with the
primary focus being on the Automotive sector. Obtaining ongoing sustainable
and affordable funding is key to capitalising on this opportunity.
Summary and outlook:
We have reported $91k profit for the year compared to the $1.6m loss the
prior year. While there are a number of challenges ahead, the key challenge
of obtaining new affordable sustainable future funding lines need to be
achieved to allow the company to continue to meet its scheduled repayments
and to build on this years result.
End CA:00237429 For:GFL Type:FLLYR Time:2013-06-14 15:31:01
(20min delay)