Condensed Consolidated Income Statement
| 6 months to | 6 months to | Year to | ||||||
| 28 February | 28 February | 31 August | ||||||
| 2007 | 2006 | % | 2006 | |||||
| R’000 | (unaudited) | (unaudited) | change | (audited) | ||||
| Revenue | 5 844 773 | 5 213 964 | 12.1 | 10 461 712 | ||||
| Turnover | 5 601 363 | 4 997 631 | 12.1 | 10 000 621 | ||||
| Cost of merchandise sold | 4 487 565 | 3 964 348 | 13.2 | 8 047 045 | ||||
| Gross profit | 1 113 798 | 1 033 283 | 7.8 | 1 953 576 | ||||
| Other income | 238 324 | 212 565 | 12.1 | 449 721 | ||||
| Expenses | 1 073 128 | 1 020 267 | 5.2 | 2 015 950 | ||||
| Depreciation and amortisation | 47 138 | 51 074 | (7.7) | 103 382 | ||||
| Occupancy costs | 165 972 | 154 827 | 7.2 | 316 924 | ||||
| Employment costs | 475 256 | 464 653 | 2.3 | 942 364 | ||||
| Other operating costs | 383 379 | 348 556 | 10.0 | 647 658 | ||||
| Impairment of property, plant and equipment | – | 182 | 3 159 | |||||
| Loss on disposal of property, plant and | ||||||||
| equipment | 1 383 | 975 | 1 209 | |||||
| Goodwill impairment | – | – | 1 254 | |||||
| Operating profit before financing costs and | ||||||||
| taxation | 278 994 | 225 581 | 23.7 | 387 347 | ||||
| Net financing costs | (22 216) | (29 956) | (25.8) | (57 219) | ||||
| Financial income | 5 086 | 3 768 | 11 370 | |||||
| Financial expense | (27 302) | (33 724) | (68 589) | |||||
| Profit before taxation | 256 778 | 195 625 | 31.3 | 330 128 | ||||
| Income tax expense | 70 614 | 56 916 | 24.1 | 84 138 | ||||
| Profit for the period | 186 164 | 138 709 | 34.2 | 245 990 | ||||
| Undiluted headline earnings per share (cents) | 54.7 | 40.8 | 34.1 | 73.1 | ||||
| Diluted headline earnings per share (cents) | 53.9 | 40.2 | 34.1 | 71.0 | ||||
| Undiluted earnings per share (cents) | 54.3 | 40.6 | 33.7 | 71.4 | ||||
| Diluted earnings per share (cents) | 53.5 | 40.0 | 33.8 | 69.4 | ||||
| Distributions per share (cents) | ||||||||
| Proposed/paid – June/July | 15.0 | 11.2 | 33.9 | 11.2 | ||||
| Paid – December | 22.0 | |||||||
Headline Earnings Reconciliation
| 6 months to | 6 months to | Year to | |||||
| 28 February | 28 February | 31 August | |||||
| 2007 | 2006 | % | 2006 | ||||
| R'000 | (unaudited) | (unaudited) | change | (audited) | |||
| Profit for the period | 186 164 | 138 709 | 34.2 | 245 990 | |||
| Adjustments for | |||||||
| Impairment of property, plant and equipment | – | 129 | 3 159 | ||||
| Loss on disposal of property, plant and equipment | 1 383 | 692 | 1 209 | ||||
| Goodwill impairment | – | – | 1 254 | ||||
| Headline earnings | 187 547 | 139 530 | 34.4 | 251 612 |
Accounting policies
These interim financial results have been prepared in accordance with IAS 34: Interim Financial Reporting and the accounting policies used are consistent with those applicable for the 2006 annual financial statements.
Change in comparatives
R78.5 million was reclassified from trade and other payables to inventory. This represented goods in transit paid for in advance. In addition, an amount of R93.5 million was eliminated from both trade and other receivables and trade and other payables, representing intragroup balances not fully eliminated on consolidation.
In the 2006 annual financial statements, certain amounts relating to the 2005 balance sheet were reclassified. This has had a consequent impact on the presentation of the 2006 interim cash flow statement. An amount of R17.5 million was reclassified from trade and other payables to non-current employee benefits and R15.7 million was reclassified from trade and other receivables to non-current loans receivable (R15.4 million) and derivative financial assets (R0.3 million).