References in this announcement to “R” are to South African Rand and references to “U.S. Dollars” and “$” are to United States Dollars. Unless otherwise stated MiX Telematics has translated U.S. Dollar amounts from South African Rand at the exchange rate of R12.0907 per $1.00, which was the R/$ exchange rate reported by Oanda.com as at March 31, 2015.
Fourth quarter and fiscal year highlights:
- Subscribers increased by 14% year on year, bringing the total to over 512,000 subscribers
- Fourth quarter subscription revenue of R266 million ($22 million), grew 14% year over year
- Fourth quarter Adjusted EBITDA of R84 million ($7 million), representing a 23% margin
- Fiscal year subscription revenue of R998 million ($83 million), grew 17% year over year
- Fiscal year Adjusted EBITDA of R275 million ($23 million), representing a 20% margin
MIDRAND, South Africa--(BUSINESS WIRE)--MiX Telematics Limited (NYSE: MIXT, JSE: MIX), a leading global provider
of fleet and mobile asset management solutions delivered as
Software-as-a-Service (SaaS), today announced financial results for its
fourth quarter and full fiscal year 2015, which ended March 31, 2015.
"We have closed out fiscal year 2015 with solid revenue growth, strong
profitability and excellent cash flow. We grew subscription revenue 17%,
posted a 20% Adjusted EBITDA margin and generated free cash flow of
nearly R90 million for the year," said Stefan Joselowitz, Chief
Executive Officer of MiX Telematics. "We were delighted to break through
the half-million subscribers level as few telematics solutions providers
have achieved this type of critical mass. We are winning important new
business, as well as signing meaningful expansions with key customers.
Throughout the year we have made adjustments to our overhead cost
structures that we believe are suited to the current challenging
conditions in some markets, and enable us to maintain our balanced
approach to producing growth, profitability and cash flow."
Financial performance for the three months ended March 31, 2015
Revenue: Total revenue was R367.7 million ($30.4 million), an
increase of 5.5% compared to R348.4 million ($28.8 million) for the
fourth quarter of fiscal year 2014. Subscription revenue was R266.3
million ($22.0 million), an increase of 14.5% compared with R232.6
million ($19.2 million) for the fourth quarter of fiscal year 2014.
Growth in subscription revenue was driven primarily by an increase of
over 61,800 subscribers, which resulted in an increase in subscribers of
13.7% from March 2014 to March 2015. Hardware and other revenue was
R101.4 million ($8.4 million), a decrease of 12.5% compared to R115.8
million ($9.6 million) for the fourth quarter of fiscal year 2014.
Gross Margin: Gross profit was R257.4 million ($21.3 million), as
compared to R241.0 million ($19.9 million) for the fourth quarter of
fiscal year 2014. Gross profit margin was 70.0%, compared to 69.2% for
the fourth quarter of fiscal year 2014.
Operating Margin: Operating profit was R59.2 million ($4.9
million), compared to R61.1 million ($5.1 million) for the fourth
quarter of fiscal year 2014. Operating margin was 16.1%, compared to
17.5% for the fourth quarter of fiscal year 2014. The fourth quarter of
fiscal year 2015's operating margin has improved from prior quarters in
fiscal year 2015 as a result of the restructuring activities implemented
in the Middle East and Australasia segment together with additional cost
reduction initiatives. The cost savings from the Africa restructuring
activities implemented in the third quarter of fiscal year 2015 will
only be effective towards the end of the first quarter of the 2016
fiscal year.
Adjusted EBITDA: Adjusted EBITDA, a non-IFRS measure, was R83.9
million ($6.9 million) compared to R84.6 million ($7.0 million) for the
fourth quarter of fiscal year 2014. Adjusted EBITDA margin, a non-IFRS
measure, for the fourth quarter of fiscal year 2015 was 22.8%, compared
to 24.3% for the fourth quarter of fiscal year 2014.
Profit for the period and earnings per share: Profit for the
period was R52.1 million ($4.3 million), compared to R50.4 million ($4.2
million) in the fourth quarter of fiscal year 2014. Earnings per diluted
ordinary share were 7 South African cents, compared to 6 South African
cents in the fourth quarter of fiscal year 2014. For the fourth quarter
of fiscal 2015, the calculation was based on diluted weighted average
ordinary shares in issue of 801.4 million compared to 808.9 million
diluted weighted average ordinary shares in issue during the fourth
quarter of fiscal 2014.
The Company's effective tax rate for the quarter was 37.1% in comparison
to 25.6% in the fourth quarter of fiscal 2014.
On a U.S. Dollar basis, and using the March 31, 2015 exchange rate of
R12.0907 per U.S. Dollar, and at a ratio of 25 ordinary shares to one
American Depositary Share ("ADS"), profit for the period was $4.3
million, or 14 U.S. cents per diluted ADS.
Adjusted earnings for the period and adjusted earnings per share:
Adjusted earnings for the period, a non-IFRS measure, was R38.7 million
($3.2 million), compared to R46.6 million ($3.9 million) in the fourth
quarter of the 2014 fiscal year and excludes a net foreign exchange gain
of R21.9 million ($1.8 million). The net foreign exchange gain includes
R26.9 million ($2.2 million) relating to a foreign exchange gain on the
IPO proceeds which are maintained in U.S. Dollars and are therefore
sensitive to R:$ exchange rate movements. Adjusted earnings per diluted
ordinary share, also a non-IFRS measure, were 5 South African cents,
compared to 6 South African cents in the fourth quarter of fiscal year
2014.
On a U.S. Dollar basis, and using the March 31, 2015 exchange rate of
R12.0907 per U.S. Dollar, and at a ratio of 25 ordinary shares to one
ADS, adjusted profit for the period was $3.2 million, or 10 U.S. cents
per diluted ADS.
Statement of Financial Position and Cash Flow: At March 31, 2015,
the Company had R945.4 million ($78.2 million) of cash and cash
equivalents, compared to R830.4 million ($68.7 million) at March 31,
2014. The Company generated R89.7 million ($7.4 million) in net cash
from operating activities for the three months ended March 31, 2015 and
invested R31.9 million ($2.6 million) in capital expenditures during the
quarter, leading to free cash flow of R57.8 million ($4.8 million) for
the fourth quarter of fiscal year 2015, compared with free cash flow of
R50.8 million ($4.2 million) for the fourth quarter of fiscal year 2014.
An explanation of non-IFRS measures used in this press release is set
out in the Non-IFRS financial measures section of this press
release. A reconciliation of these non-IFRS measures to the most
directly comparable IFRS measures is provided in the financial tables
that accompany this release.
Financial performance for the fiscal year ended March 31, 2015
Revenue: Total revenue for fiscal year 2015 was R1,389.4 million
($114.9 million), an increase of 9.3% compared to R1,271.7 million
($105.2 million) for fiscal year 2014. Subscription revenue increased to
R998.3 million ($82.6 million), up 16.9% from R853.7 million ($70.6
million) for fiscal year 2014. Subscription revenue growth was driven
primarily by the addition of over 61,800 subscribers since the end of
fiscal 2014. Hardware and other revenue was R391.0 million ($32.3
million), compared to R417.9 million ($34.6 million) for fiscal year
2014.
Gross margin: Gross profit for fiscal year 2015 was R939.7
million ($77.7 million), an increase compared to R849.6 million ($70.3
million) for fiscal year 2014. Gross profit margin was 67.6%, up from
66.8% for fiscal year 2014. In fiscal 2015, subscription revenue, which
generates a higher gross profit margin than hardware and other revenue,
contributed 71.9% of total revenue compared to 67.1% in fiscal 2014.
Operating margin: Operating profit for fiscal year 2015 was
R149.9 million ($12.4 million), compared to R171.5 million ($14.2
million) posted in fiscal year 2014. The operating margin for fiscal
year 2015 was 10.8%, compared to the 13.5% posted in fiscal year 2014.
The Company is executing its strategy of investing in sales and
marketing and as a result sales and marketing costs for fiscal 2015
increased by R23.9 million ($2.0 million) or 16.2% from fiscal 2014.
Administration and other costs increased by R89.4 million ($7.4 million)
or 16.8% primarily as a result of increased employee costs incurred to
support the Company's growth initiatives. The restructuring plans
implemented in the Middle East and Australasia segments in the third
quarter of fiscal 2015 together with other cost reduction initiatives
have already contributed towards an improvement in the operating margin.
The company expects further cost savings and resultant operating margin
improvement when the cost savings from the Africa restructuring
activities, implemented in the third quarter of fiscal year 2015, take
effect in the 2016 fiscal year. Administration and other costs included
non-recurring litigation costs of R7.9 million ($0.7 million) and
restructuring costs of R11.3 million ($0.9 million) in fiscal year 2015
while fiscal year 2014 included non-recurring initial public offering
costs of R8.5 million ($0.7 million).
Adjusted EBITDA: Adjusted EBITDA was R275.1 million ($22.8
million) compared to R282.2 million ($23.3 million) for fiscal year
2014. The Adjusted EBITDA margin for fiscal year 2015 was 19.8%,
compared with the 22.2% in fiscal year 2014.
Profit for the year and earnings per share: Profit for fiscal
year 2015 was R149.0 million ($12.3 million), compared to R151.6 million
($12.5 million) in fiscal year 2014. Earnings per diluted ordinary share
were 19 South African cents,compared to 20 South African cents in fiscal
year 2014. For fiscal year 2015, the calculation was based on diluted
weighted average ordinary shares in issue of 804.4 million, compared to
768.3 million diluted weighted average ordinary shares in issue during
fiscal year 2014.
The Company's effective tax rate for fiscal year 2015 was 35.4% in
comparison to 28.6% in fiscal year 2014.
Adjusted earnings for the period and adjusted earnings per share: Adjusted
profit for fiscal year 2015, a non-IFRS measure, was R102.0 million
($8.4 million), compared to R123.9 million ($10.3 million) in fiscal
year 2014 and excludes a net foreign exchange gain of R73.5 million
($6.1 million). The net foreign exchange gain includes R85.6 million
($7.1 million) relating to a foreign exchange gain on the IPO proceeds
which are maintained in U.S. Dollars and are therefore sensitive to R:$
exchange rate movements. Adjusted earnings per diluted ordinary share
were 13 South African cents, compared to 16 South African cents in
fiscal year 2014.
On a U.S. Dollar basis, and using the March 31, 2015 exchange rate of
R12.0907 per U.S. Dollar, and at a ratio of 25 ordinary shares to one
ADS, adjusted profit for fiscal year 2015 was $8.4 million, or 26 U.S.
cents per diluted ADS, compared to $10.3 million, or 33 U.S. cents per
diluted ADS in fiscal year 2014.
Cash Flow: The Company generated R217.6 million ($18.0 million)
in net cash from operating activities for fiscal year 2015 and invested
R129.3 million ($10.7 million) in capital expenditures during the
period, leading to free cash flow of R88.3 million ($7.3 million) for
fiscal year 2015, compared with free cash flow of R75.0 million ($6.2
million) for fiscal year 2014. The increase in free cash flow is
primarily attributable to an increase in cash generated from operating
activities.
|
Segment commentary for the fiscal year ended March 31, 2015
|
|
|
|
|
|
|
|
Segment
|
|
Revenue
Fiscal
2015
R'000
|
|
|
% change on
prior year
|
|
|
Adjusted EBITDA
Fiscal
2015
R'000
|
|
|
% change on
prior year
|
|
|
Adjusted EBITDA
Margin
Fiscal
2015
|
|
Africa
|
|
709,928
|
|
|
7.4%
|
|
|
201,750
|
|
|
1.4%
|
|
|
28.4%
|
|
|
The subscriber base has grown by 13.8% since March 31, 2014. This,
together with the additional subscription revenue of R11.0 million
($0.9 million) resulting from the Compass acquisition in November
2014, resulted in growth in subscription revenue of 13.2%. Total
revenue growth was lower at 7.4% as a result of lower hardware
revenues. The revenue mix shift towards bundled sales for fleet
products continued to gather momentum in fiscal year 2015 although
sales levels lagged those of fiscal year 2014. The segment continues
to perform well at an Adjusted EBITDA level reporting an Adjusted
EBITDA margin of 28.4%.
|
|
Europe
|
|
160,678
|
|
|
-
|
|
|
4,588
|
|
|
(37.0%)
|
|
|
2.9%
|
|
|
The region's subscriber base grew 18% from March 31, 2014 with
improved growth in the second half of fiscal year 2015. This
resulted in subscription revenue growth of 9.6% on a constant
currency basis. Total revenue declined on a constant currency basis
due to lower hardware revenues as a result of a significant upfront
hardware deal in fiscal year 2014. In Rand terms revenue growth was
flat due to the weakening of the Rand against the British Pound. The
region reported a positive Adjusted EBITDA margin of 2.9%.
|
|
Americas
|
|
166,359
|
|
|
24.0%
|
|
|
(2,684)
|
|
|
59.0%
|
|
|
(1.6%)
|
|
|
The subscriber base increased by 11.0% from March 31, 2014 which
included a transfer from the Middle East and Australasia segment.
Subscription revenue growth was 10.4% on a constant currency basis
and there was also 17.8% growth in hardware and other revenue on a
constant currency basis. The Rand based revenue growth is also
enhanced by the weakening of the Rand against the U.S. Dollar in
fiscal year 2015. During fiscal year 2015 both the management team
and sales and distribution capacity were strengthened in order to
position the segment for future growth in both North and South
America and as a result the region posted a negative Adjusted EBITDA
margin.
|
|
Middle East and
Australasia
|
|
328,556
|
|
|
7.2%
|
|
|
22,304
|
|
|
(2.2%)
|
|
|
6.8%
|
|
|
Subscribers increased 10.2% from March 31, 2014 despite a
subscriber transfer to the Americas segment. While subscription
revenue increased by 12.1% on a constant currency basis, total
revenue declined marginally on a constant currency basis as a
result of lower hardware revenues. However, in Rand terms the
segment showed growth as a result of Rand weakness in fiscal year
2015. The segment's results improved significantly in the second
half of the 2015 fiscal year and the segment reported a full year
positive Adjusted EBITDA margin of 6.8% despite a negative
Adjusted EBITDA margin of 0.5% in the first half of fiscal year
2015. This is primarily attributable to higher subscription
revenue, improved hardware sales and operating cost savings from
the restructuring activities.
|
|
Brazil
|
|
23,056
|
|
|
93.7%
|
|
|
(12,567)
|
|
|
(8.1%)
|
|
|
(54.5%)
|
|
|
The subscriber base increased by 48.8% from March 31, 2014 while
revenue grew at 93.7%. As the operation is still in a start up
phase it posted an expected Adjusted EBITDA loss.
|
|
Central Services
Organization
|
|
375,836
|
|
|
4.8%
|
|
|
101,877
|
|
|
(0.9%)
|
|
|
27.1%
|
|
|
Central Services Organization ("CSO") is a central services
organization that wholesales our products and services to our
regional operations who, in turn, interface with our end-customers
and distributors. CSO is also responsible for the development of
our hardware and software platforms. CSO continues to benefit from
the subscriber growth throughout the Company and delivered an
adjusted EBITDA margin of 27.1%.
|
Business Outlook
MiX Telematics has translated U.S. Dollar amounts in this Business
Outlook paragraph from South African Rand at the exchange rate of
R11.9286 per $1.00, which was the R/$ exchange rate reported by
Oanda.com as at May 26, 2015.
Based on information as of today, May 28, 2015, the Company is issuing
the following financial guidance for the full 2016 fiscal year:
-
Revenue - R1,523 million to R1,558 million ($127.7 million to $130.6
million), which would represent revenue growth of 9.6% to 12.1%
compared to fiscal year 2015.
-
Subscription revenue - R1,148 million to R1,168 million ($96.2 million
to $97.9 million), which would represent subscription revenue growth
of 15.0% to 17.0% compared to fiscal year 2015.
-
Adjusted EBITDA - R306 million to R327 million ($25.7 million to $27.4
million), which would represent Adjusted EBITDA growth of 11.2% to
18.9% compared to fiscal year 2015.
-
Adjusted earnings per diluted ordinary share of 13.3 to 15.1 South
African cents based on 807 million diluted ordinary shares in issue,
and based on an effective tax rate of 30.0% to 34.0%. At a ratio of 25
ordinary shares to one ADS, this equates to adjusted earnings per
diluted ADS of 28 to 32 U.S. cents.
For the first quarter of fiscal year 2016 the Company expects
subscription revenue to be in the range of R270 million to R274 million
($22.6 million to $23.0 million) which would represent subscription
revenue growth of 14.1% to 15.8% compared to the first quarter of fiscal
year 2015.
The key assumptions used in deriving the forecast are as follows:
-
Growth in subscription revenue and subscribers are based on expected
growth rates related to market conditions and takes into account
growth rates achieved previously.
-
Achieving hardware sales according to expectations. Hardware sales are
dependent on the volumes of bundled solutions selected by customers.
The forecast is the responsibility of the board of directors and has not
been reviewed or reported on by the Company’s external auditors. The
Company’s policy is to give guidance on a quarterly basis, if necessary,
and does not update guidance between quarters.
The information disclosed in this “Business Outlook” paragraph
complies with the disclosure requirements in terms of paragraph 8.38 of
the JSE Listings Requirements which deals with profit forecasts.
Quarterly Reporting Policy in respect of JSE Listings Requirements
Following the listing of the Company’s ADSs on the New York Stock
Exchange, the Company has adopted a quarterly reporting policy. As a
result of such quarterly reporting the Company is, in terms of paragraph
3.4(b)(ix) of the JSE Listings Requirements, not required to publish
trading statements in terms of paragraph 3.4(b)(i) to (viii) of the JSE
Listings Requirements.
Conference Call Information
MiX Telematics management will also host a conference call and audio
webcast at 8:00 a.m. (Eastern Daylight Time) and 2:00 p.m. (South
African Time) on May 28, 2015 to discuss the Company's financial results
and current business outlook:
-
To access the call, dial 1-877-857-6150 (within the United States) or
0 800 982 293 (within South Africa) or 1-719-325-4895 (outside of the
United States). The conference ID is 5977267.
-
A replay of this conference call will be available for a limited time
at 1-877-870-5176 (within the United States) or 1-858-384-5517 (within
South Africa or outside of the United States). The replay conference
ID is 5977267.
-
A replay of the webcast will also be available for a limited time at http://investor.mixtelematics.com.
About MiX Telematics Limited
MiX Telematics is a leading global provider of fleet and mobile asset
management solutions delivered as SaaS to customers in more than 120
countries. The Company’s products and services provide enterprise
fleets, small fleets and consumers with solutions for safety,
efficiency, risk and security. MiX Telematics was founded in 1996 and
has offices in South Africa, the United Kingdom, the United States,
Uganda, Brazil, Australia and the United Arab Emirates as well as a
network of more than 130 fleet partners worldwide. MiX Telematics shares
are publicly traded on the Johannesburg Stock Exchange (JSE: MIX) and
MiX Telematics American Depositary Shares are listed on the New York
Stock Exchange (NYSE: MIXT). For more information visit www.mixtelematics.com.
Forward-Looking Statements
This press release includes certain “forward-looking statements" within
the meaning of the Private Securities Litigation Reform Act of 1995,
including without limitation, statements concerning our financial
guidance for the first quarter and full year of fiscal year 2016, our
position to execute on our growth strategy, and our ability to expand
our leadership position. These forward-looking statements reflect our
current views about our plans, intentions, expectations, strategies and
prospects, which are based on the information currently available to us
and on assumptions we have made. Actual results may differ materially
from those described in the forward-looking statements and will be
affected by a variety of risks and factors that are beyond our control
including, without limitation, those described under the caption “Risk
Factors” in the Company’s Annual Report on Form 20-F filed with the
Securities and Exchange Commission (the "SEC") for the fiscal year ended
March 31, 2014, as updated by other reports that the Company files with
or furnishes to the SEC. The Company assumes no obligation to update any
forward-looking statements contained in this press release as a result
of new information, future events or otherwise.
Non-IFRS financial measures
Adjusted EBITDA
To provide investors with additional information regarding its financial
results, the Company has disclosed within this press release, Adjusted
EBITDA and Adjusted EBITDA margin. Adjusted EBITDA is a non-IFRS
financial measure, it does not represent cash flows from operations for
the periods indicated and should not be considered an alternative to net
income as an indicator of our results of operations or as an alternative
to cash flows from operations as an indicator of liquidity. Adjusted
EBITDA is defined as the profit for the period before income taxes, net
interest income/(expense), depreciation of property, plant and equipment
including capitalized customer in-vehicle devices, amortization of
intangible assets including capitalized in-house development costs,
share-based compensation costs, transaction costs arising from the
acquisition of a business, restructuring costs, profits/(losses) on the
disposal or impairments of assets or subsidiaries, insurance
reimbursements relating to impaired assets, certain litigation costs,
unrealized foreign exchange gains/(losses) and foreign exchange
gains/(losses) related to the cash proceeds raised through the IPO.
The Company has included Adjusted EBITDA and Adjusted EBITDA margin in
this press release because they are key measures that the Company's
management and Board of Directors use to understand and evaluate its
core operating performance and trends; to prepare and approve its annual
budget; and to develop short- and long-term operational plans. In
particular, the exclusion of certain expenses in calculating Adjusted
EBITDA and Adjusted EBITDA margin can provide a useful measure for
period-to-period comparisons of the Company's core business.
Accordingly, the Company believes that Adjusted EBITDA and Adjusted
EBITDA margin provides useful information to investors and others in
understanding and evaluating its operating results.
The Company's use of Adjusted EBITDA has limitations as an analytical
tool, and you should not consider this performance measure in isolation
from or as a substitute for analysis of the Company's results as
reported under IFRS. Some of these limitations are:
-
although depreciation and amortization are non-cash charges, the
assets being depreciated and amortized may have to be replaced in the
future, and Adjusted EBITDA does not reflect cash capital expenditure
requirements for such replacements or for new capital expenditure
requirements;
-
Adjusted EBITDA does not reflect changes in, or cash requirements for,
our working capital needs;
-
Adjusted EBITDA does not consider the potentially dilutive impact of
equity-based compensation;
-
Adjusted EBITDA does not reflect tax payments that may represent a
reduction in cash available to the Company;
-
Adjusted EBITDA does not reflect the interest expense or the cash
requirements necessary to service interest payments on the Company's
debt or any losses on the extinguishment of our debt;
-
Adjusted EBITDA does not include interest earned on cash and cash
equivalents and other financial assets;
-
Adjusted EBITDA does not include certain foreign currency transaction
gains and losses;
-
Adjusted EBITDA does not include certain litigation costs; and
-
other companies, including companies in our industry, may calculate
Adjusted EBITDA differently, which reduces its usefulness as a
comparative measure.
Because of these limitations, you should consider Adjusted EBITDA and
Adjusted EBITDA margin alongside other financial performance measures,
including operating profit, profit for the period and our other results.
Headline Earnings
Headline earnings is a profit measure required for JSE-listed companies
as defined by the South African Institute of Chartered Accountants. The
profit measure is determined by taking the profit for the year prior to
separately identifiable re-measurements of the carrying amount of an
asset or liability that arose after the initial recognition of such
asset or liability net of related tax (both current and deferred) and
related non-controlling interest. A reconciliation of headline earnings
to profit for the period has been included in the financial results
section of this announcement.
Adjusted Profit and Adjusted Earnings Per Share
Adjusted profit and adjusted earnings per share is defined as profit
attributable to owners of the parent excluding net foreign exchange
gains/(losses) net of tax for the relevant period. A reconciliation of
adjusted earnings to profit for the period has been included in the
financial results section of this announcement.
Free cash flow
Free cash flow is determined as net cash generated from operating
activities less capital expenditure per investing activities.
|
AUDITED GROUP FINANCIAL RESULTS FOR THE FISCAL YEAR ENDED MARCH
31, 2015
|
|
SUMMARY CONSOLIDATED INCOME STATEMENTS
|
|
|
|
South African Rand
|
|
United States Dollar
|
|
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
Figures are in thousands unless otherwise stated
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
Audited
|
|
Audited
|
|
Unaudited
|
|
Unaudited
|
|
Revenue
|
|
1,389,380
|
|
|
1,271,658
|
|
|
114,913
|
|
|
105,177
|
|
|
Cost of sales
|
|
(449,663
|
)
|
|
(422,034
|
)
|
|
(37,191
|
)
|
|
(34,906
|
)
|
|
Gross profit
|
|
939,717
|
|
|
849,624
|
|
|
77,722
|
|
|
70,271
|
|
|
Other income/(expenses) - net
|
|
3,795
|
|
|
2,151
|
|
|
314
|
|
|
178
|
|
|
Operating expenses
|
|
(793,651
|
)
|
|
(680,277
|
)
|
|
(65,642
|
)
|
|
(56,265
|
)
|
|
-Sales and marketing
|
|
(171,948
|
)
|
|
(148,012
|
)
|
|
(14,222
|
)
|
|
(12,242
|
)
|
|
-Administration and other charges
|
|
(621,703
|
)
|
|
(532,265
|
)
|
|
(51,420
|
)
|
|
(44,023
|
)
|
|
Operating profit
|
|
149,861
|
|
|
171,498
|
|
|
12,394
|
|
|
14,184
|
|
|
Finance income/(costs) - net
|
|
80,778
|
|
|
40,660
|
|
|
6,681
|
|
|
3,363
|
|
|
-Finance income
|
|
82,905
|
|
|
43,264
|
|
|
6,857
|
|
|
3,578
|
|
|
-Finance costs
|
|
(2,127
|
)
|
|
(2,604
|
)
|
|
(176
|
)
|
|
(215
|
)
|
|
Profit before taxation
|
|
230,639
|
|
|
212,158
|
|
|
19,075
|
|
|
17,547
|
|
|
Taxation
|
|
(81,623
|
)
|
|
(60,574
|
)
|
|
(6,750
|
)
|
|
(5,010
|
)
|
|
Profit for the year
|
|
149,016
|
|
|
151,584
|
|
|
12,325
|
|
|
12,537
|
|
|
|
|
|
|
|
|
|
|
|
|
Attributable to:
|
|
|
|
|
|
|
|
|
|
Owners of the parent
|
|
149,622
|
|
|
151,589
|
|
|
12,375
|
|
|
12,538
|
|
|
Non-controlling interests
|
|
(606
|
)
|
|
(5
|
)
|
|
(50
|
)
|
|
(1
|
)
|
|
|
|
149,016
|
|
|
151,584
|
|
|
12,325
|
|
|
12,537
|
|
|
|
|
|
|
|
|
|
|
|
|
Attributable earnings per share
|
|
|
|
|
|
|
|
|
|
-basic (R/$)
|
|
0.19
|
|
|
0.21
|
|
|
0.02
|
|
|
0.02
|
|
|
-diluted (R/$)
|
|
0.19
|
|
|
0.20
|
|
|
0.02
|
|
|
0.02
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per American Depositary Share
|
|
|
|
|
|
|
|
|
|
-basic (R/$)
|
|
4.74
|
|
|
5.18
|
|
|
0.39
|
|
|
0.43
|
|
|
-diluted (R/$)
|
|
4.65
|
|
|
4.93
|
|
|
0.38
|
|
|
0.41
|
|
|
|
|
|
|
|
|
|
|
|
|
Ordinary shares ('000)
|
|
|
|
|
|
|
|
|
|
-in issue at March 31
|
|
792,838
|
|
|
784,150
|
|
|
792,838
|
|
|
784,150
|
|
|
-weighted average
|
|
789,316
|
|
|
732,171
|
|
|
789,316
|
|
|
732,171
|
|
|
-diluted weighted average
|
|
804,385
|
|
|
768,306
|
|
|
804,385
|
|
|
768,306
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average American Depositary Share ('000)
|
|
|
|
|
|
|
|
|
|
-in issue at March 31
|
|
31,714
|
|
|
31,366
|
|
|
31,714
|
|
|
31,366
|
|
|
-weighted average
|
|
31,573
|
|
|
29,287
|
|
|
31,573
|
|
|
29,287
|
|
|
-diluted weighted average
|
|
32,175
|
|
|
30,732
|
|
|
32,175
|
|
|
30,732
|
|
|
SUMMARY CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
|
|
|
|
|
|
|
South African Rand
|
|
United States Dollar
|
|
|
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
|
Figures are in thousands unless otherwise stated
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
|
Audited
|
|
Audited
|
|
Unaudited
|
|
Unaudited
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Profit for the year
|
|
149,016
|
|
|
151,584
|
|
|
12,325
|
|
|
12,537
|
|
|
|
Other comprehensive income/(losses):
|
|
|
|
|
|
|
|
|
|
|
Items that may be subsequently reclassified to profit or loss
|
|
|
|
|
|
|
|
|
|
|
Exchange differences on translating foreign operations
|
|
26,466
|
|
|
45,475
|
|
|
2,188
|
|
|
3,761
|
|
|
|
- Attributable to owners of the parent
|
|
26,267
|
|
|
45,475
|
|
|
2,172
|
|
|
3,761
|
|
|
|
- Attributable to non-controlling interests
|
|
199
|
|
|
—
|
|
|
16
|
|
|
—
|
|
|
|
Exchange differences on net investments in foreign operations
|
|
1,487
|
|
|
3,540
|
|
|
123
|
|
|
293
|
|
|
|
Taxation relating to components of other comprehensive income
|
|
3,010
|
|
|
(599
|
)
|
|
249
|
|
|
(50
|
)
|
|
|
Other comprehensive income for the year, net of tax
|
|
30,963
|
|
|
48,416
|
|
|
2,560
|
|
|
4,004
|
|
|
|
Total comprehensive income for the year
|
|
179,979
|
|
|
200,000
|
|
|
14,885
|
|
|
16,541
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Attributable to:
|
|
|
|
|
|
|
|
|
|
|
Owners of the parent
|
|
180,386
|
|
|
200,005
|
|
|
14,919
|
|
|
16,542
|
|
|
|
Non-controlling interests
|
|
(407
|
)
|
|
(5
|
)
|
|
(34
|
)
|
|
(1
|
)
|
|
|
Total comprehensive income for the year
|
|
179,979
|
|
|
200,000
|
|
|
14,885
|
|
|
16,541
|
|
|
|
HEADLINE EARNINGS
|
|
Reconciliation of headline earnings
|
|
|
|
|
|
|
|
|
|
|
|
South African Rand
|
|
United States Dollar
|
|
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
Figures are in thousands unless otherwise stated
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
Audited
|
|
Audited
|
|
Unaudited
|
|
Unaudited
|
|
Profit for the year attributable to owners of the parent
|
|
149,622
|
|
|
151,589
|
|
|
12,375
|
|
|
12,538
|
|
|
Adjusted for:
|
|
|
|
|
|
|
|
|
|
Loss/(profit) on disposal of property, plant and equipment and
intangible assets
|
|
456
|
|
|
(97
|
)
|
|
38
|
|
|
(8
|
)
|
|
Impairment of intangible assets
|
|
456
|
|
|
63
|
|
|
38
|
|
|
5
|
|
|
Impairment of property, plant and equipment
|
|
1,190
|
|
|
316
|
|
|
98
|
|
|
26
|
|
|
Insurance proceeds on impairment of Helicopter asset
|
|
(3,237
|
)
|
|
—
|
|
|
(268
|
)
|
|
—
|
|
|
Income tax effect on the above components
|
|
324
|
|
|
(85
|
)
|
|
27
|
|
|
(7
|
)
|
|
Headline earnings attributable to owners of the parent
|
|
148,811
|
|
|
151,786
|
|
|
12,308
|
|
|
12,554
|
|
|
|
|
|
|
|
|
|
|
|
|
Headline earnings
|
|
|
|
|
|
|
|
|
|
Headline earnings per share
|
|
|
|
|
|
|
|
|
|
-basic (R/$)
|
|
0.19
|
|
|
0.21
|
|
|
0.02
|
|
|
0.02
|
|
|
-diluted (R/$)
|
|
0.18
|
|
|
0.20
|
|
|
0.02
|
|
|
0.02
|
|
|
|
|
|
|
|
|
|
|
|
|
Headline earnings per American Depositary Share
|
|
|
|
|
|
|
|
|
|
-basic (R/$)
|
|
4.71
|
|
|
5.18
|
|
|
0.39
|
|
|
0.43
|
|
|
-diluted (R/$)
|
|
4.62
|
|
|
4.94
|
|
|
0.38
|
|
|
0.41
|
|
|
ADJUSTED EARNINGS
|
|
Reconciliation of adjusted earnings
|
|
|
|
South African Rand
|
|
United States Dollar
|
|
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
Figures are in thousands unless otherwise stated
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
Audited
|
|
Audited
|
|
Unaudited
|
|
Unaudited
|
|
Profit for the year attributable to owners of the parent
|
|
149,622
|
|
|
151,589
|
|
|
12,375
|
|
|
12,538
|
|
|
Net foreign exchange gains
|
|
(73,525
|
)
|
|
(38,128
|
)
|
|
(6,081
|
)
|
|
(3,153
|
)
|
|
Income tax effect on the above component
|
|
25,873
|
|
|
10,458
|
|
|
2,140
|
|
|
865
|
|
|
Adjusted earnings attributable to owners of the parent
|
|
101,970
|
|
|
123,919
|
|
|
8,434
|
|
|
10,250
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted earnings
|
|
|
|
|
|
|
|
|
|
Attributable adjusted earnings per share
|
|
|
|
|
|
|
|
|
|
-basic (R/$)
|
|
0.13
|
|
|
0.17
|
|
|
0.01
|
|
|
0.01
|
|
|
-diluted (R/$)
|
|
0.13
|
|
|
0.16
|
|
|
0.01
|
|
|
0.01
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted earnings per American Depositary Share
|
|
|
|
|
|
|
|
|
|
-basic (R/$)
|
|
3.23
|
|
|
4.23
|
|
|
0.27
|
|
|
0.35
|
|
|
-diluted (R/$)
|
|
3.17
|
|
|
4.03
|
|
|
0.26
|
|
|
0.33
|
|
|
MIX TELEMATICS LIMITED
|
|
|
|
|
|
|
|
|
|
SUMMARY CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
|
|
|
|
South African Rand
|
|
United States Dollar
|
|
Figures are in thousands unless otherwise stated
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
Audited
|
|
Audited
|
|
Unaudited
|
|
Unaudited
|
|
|
|
|
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
|
|
|
Non-current assets
|
|
|
|
|
|
|
|
|
|
Property, plant and equipment
|
|
135,844
|
|
|
129,079
|
|
|
11,235
|
|
|
10,676
|
|
|
Intangible assets
|
|
778,518
|
|
|
692,190
|
|
|
64,390
|
|
|
57,250
|
|
|
Available-for-sale financial asset
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
Finance lease receivable
|
|
1,002
|
|
|
6,677
|
|
|
83
|
|
|
552
|
|
|
Deferred tax assets
|
|
23,607
|
|
|
19,825
|
|
|
1,952
|
|
|
1,640
|
|
|
Total non-current assets
|
|
938,971
|
|
|
847,771
|
|
|
77,660
|
|
|
70,118
|
|
|
|
|
|
|
|
|
|
|
|
|
Current assets
|
|
|
|
|
|
|
|
|
|
Inventory
|
|
38,934
|
|
|
39,774
|
|
|
3,220
|
|
|
3,290
|
|
|
Trade and other receivables
|
|
261,574
|
|
|
234,839
|
|
|
21,634
|
|
|
19,423
|
|
|
Finance lease receivable
|
|
5,607
|
|
|
6,652
|
|
|
464
|
|
|
550
|
|
|
Taxation
|
|
7,602
|
|
|
7,336
|
|
|
629
|
|
|
607
|
|
|
Restricted cash
|
|
30,539
|
|
|
10,279
|
|
|
2,526
|
|
|
850
|
|
|
Cash and cash equivalents
|
|
945,381
|
|
|
830,449
|
|
|
78,191
|
|
|
68,685
|
|
|
Total current assets
|
|
1,289,637
|
|
|
1,129,329
|
|
|
106,664
|
|
|
93,405
|
|
|
Total assets
|
|
2,228,608
|
|
|
1,977,100
|
|
|
184,324
|
|
|
163,523
|
|
|
|
|
|
|
|
|
|
|
|
|
EQUITY
|
|
|
|
|
|
|
|
|
|
Stated capital
|
|
1,436,993
|
|
|
1,429,250
|
|
|
118,851
|
|
|
118,211
|
|
|
Other reserves
|
|
(21,894
|
)
|
|
(58,335
|
)
|
|
(1,811
|
)
|
|
(4,825
|
)
|
|
Retained earnings
|
|
450,347
|
|
|
300,725
|
|
|
37,248
|
|
|
24,873
|
|
|
Equity attributable to owners of the parent
|
|
1,865,446
|
|
|
1,671,640
|
|
|
154,288
|
|
|
138,259
|
|
|
Non-controlling interest
|
|
(874
|
)
|
|
(10
|
)
|
|
(74
|
)
|
|
(2
|
)
|
|
Total equity
|
|
1,864,572
|
|
|
1,671,630
|
|
|
154,214
|
|
|
138,257
|
|
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
|
|
|
|
|
Non-current liabilities
|
|
|
|
|
|
|
|
|
|
Borrowings
|
|
1,104
|
|
|
2,462
|
|
|
91
|
|
|
204
|
|
|
Deferred tax liabilities
|
|
63,425
|
|
|
20,601
|
|
|
5,246
|
|
|
1,704
|
|
|
Provisions
|
|
4,005
|
|
|
2,282
|
|
|
331
|
|
|
189
|
|
|
Share-based payment liability (note 11)
|
|
1,950
|
|
|
—
|
|
|
161
|
|
|
—
|
|
|
Total non-current liabilities
|
|
70,484
|
|
|
25,345
|
|
|
5,829
|
|
|
2,097
|
|
|
|
|
|
|
|
|
|
|
|
|
Current liabilities
|
|
|
|
|
|
|
|
|
|
Trade and other payables
|
|
247,361
|
|
|
228,961
|
|
|
20,460
|
|
|
18,937
|
|
|
Borrowings
|
|
1,399
|
|
|
1,279
|
|
|
116
|
|
|
106
|
|
|
Taxation
|
|
3,586
|
|
|
2,912
|
|
|
297
|
|
|
241
|
|
|
Provisions
|
|
23,240
|
|
|
19,163
|
|
|
1,922
|
|
|
1,585
|
|
|
Bank overdraft
|
|
17,966
|
|
|
27,810
|
|
|
1,486
|
|
|
2,300
|
|
|
Total current liabilities
|
|
293,552
|
|
|
280,125
|
|
|
24,281
|
|
|
23,169
|
|
|
Total liabilities
|
|
364,036
|
|
|
305,470
|
|
|
30,110
|
|
|
25,266
|
|
|
Total equity and liabilities
|
|
2,228,608
|
|
|
1,977,100
|
|
|
184,324
|
|
|
163,523
|
|
|
Net cash (note 6)
|
|
924,912
|
|
|
798,898
|
|
|
76,498
|
|
|
66,075
|
|
|
Net asset value per share (R/$)
|
|
2.35
|
|
|
2.13
|
|
|
0.19
|
|
|
0.18
|
|
|
Net tangible asset value per share (R/$)
|
|
1.37
|
|
|
1.25
|
|
|
0.11
|
|
|
0.10
|
|
|
|
|
|
|
|
|
|
|
|
|
Capital expenditure
|
|
|
|
|
|
|
|
|
|
-incurred
|
|
125,429
|
|
|
135,309
|
|
|
10,374
|
|
|
11,191
|
|
|
-authorized but not spent
|
|
64,175
|
|
|
60,115
|
|
|
5,308
|
|
|
4,972
|
|
|
SUMMARY CONSOLIDATED STATEMENTS OF CASH FLOWS
|
|
|
|
South African Rand
|
|
United States Dollar
|
|
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
Figures are in thousands unless otherwise stated
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
Audited
|
|
Audited
|
|
Unaudited
|
|
Unaudited
|
|
Cash flows from operating activities
|
|
|
|
|
|
|
|
|
|
Cash generated from operations
|
|
261,954
|
|
|
266,169
|
|
|
21,666
|
|
|
22,014
|
|
|
Net financing income
|
|
6,869
|
|
|
1,474
|
|
|
568
|
|
|
122
|
|
|
Taxation paid
|
|
(51,179
|
)
|
|
(63,866
|
)
|
|
(4,233
|
)
|
|
(5,282
|
)
|
|
Net cash generated from operating activities
|
|
217,644
|
|
|
203,777
|
|
|
18,001
|
|
|
16,854
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from investing activities
|
|
|
|
|
|
|
|
|
|
Capital expenditure
|
|
(129,302
|
)
|
|
(128,745
|
)
|
|
(10,694
|
)
|
|
(10,648
|
)
|
|
Proceeds on sale of property, plant and equipment and intangible
assets
|
|
605
|
|
|
978
|
|
|
50
|
|
|
81
|
|
|
Acquisition of business, net of cash acquired (note 13)
|
|
(40,000
|
)
|
|
(3,606
|
)
|
|
(3,308
|
)
|
|
(298
|
)
|
|
Deferred consideration paid
|
|
(1,241
|
)
|
|
(295
|
)
|
|
(103
|
)
|
|
(24
|
)
|
|
Increase in restricted cash
|
|
(19,907
|
)
|
|
(1,508
|
)
|
|
(1,646
|
)
|
|
(125
|
)
|
|
Net cash used in investing activities
|
|
(189,845
|
)
|
|
(133,176
|
)
|
|
(15,701
|
)
|
|
(11,014
|
)
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from financing activities
|
|
|
|
|
|
|
|
|
|
Proceeds from issuance of ordinary shares
|
|
7,743
|
|
|
665,710
|
|
|
640
|
|
|
55,060
|
|
|
Share issue expenses paid
|
|
—
|
|
|
(26,951
|
)
|
|
—
|
|
|
(2,229
|
)
|
|
Dividends paid
|
|
—
|
|
|
(39,610
|
)
|
|
—
|
|
|
(3,276
|
)
|
|
Repayment of borrowings
|
|
—
|
|
|
(3,436
|
)
|
|
—
|
|
|
(284
|
)
|
|
Net cash generated from financing activities
|
|
7,743
|
|
|
595,713
|
|
|
640
|
|
|
49,271
|
|
|
Net increase in cash and cash equivalents
|
|
35,542
|
|
|
666,314
|
|
|
2,940
|
|
|
55,111
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash and cash equivalents at the beginning of the year
|
|
802,639
|
|
|
91,697
|
|
|
66,385
|
|
|
7,584
|
|
|
Exchange gains on cash and cash equivalents
|
|
89,234
|
|
|
44,628
|
|
|
7,380
|
|
|
3,690
|
|
|
Net cash and cash equivalents at the end of the year
|
|
927,415
|
|
|
802,639
|
|
|
76,705
|
|
|
66,385
|
|
|
FREE CASH FLOW
|
|
Reconciliation of free cash flow to net cash generated from
operating activities
|
|
|
|
South African Rand
|
|
United States Dollar
|
|
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
Figures are in thousands unless otherwise stated
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
Audited
|
|
Audited
|
|
Unaudited
|
|
Unaudited
|
|
Net cash generated from operating activities
|
|
217,644
|
|
|
203,777
|
|
|
18,001
|
|
|
16,854
|
|
|
Capital expenditure payments
|
|
(129,302
|
)
|
|
(128,745
|
)
|
|
(10,694
|
)
|
|
(10,648
|
)
|
|
Free cash flow
|
|
88,342
|
|
|
75,032
|
|
|
7,307
|
|
|
6,206
|
|
|
SUMMARY CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
|
|
|
|
|
|
|
|
|
|
Attributable to owners of the parent
|
|
|
|
|
|
South African Rand
Figures are in thousands unless otherwise stated
|
|
Stated
capital
|
|
Other
reserves
|
|
Retained
earnings
|
|
Total
|
|
Non-
controlling
interest
|
|
Total
equity
|
|
Balance at April 1, 2013 (Audited)
|
|
790,491
|
|
|
(111,362
|
)
|
|
188,750
|
|
|
867,879
|
|
|
(5
|
)
|
|
867,874
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive income
|
|
—
|
|
|
48,416
|
|
|
151,589
|
|
|
200,005
|
|
|
(5
|
)
|
|
200,000
|
|
|
Profit for the year
|
|
—
|
|
|
—
|
|
|
151,589
|
|
|
151,589
|
|
|
(5
|
)
|
|
151,584
|
|
|
Other comprehensive income
|
|
—
|
|
|
48,416
|
|
|
—
|
|
|
48,416
|
|
|
—
|
|
|
48,416
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transactions with owners
|
|
638,759
|
|
|
4,611
|
|
|
(39,614
|
)
|
|
603,756
|
|
|
—
|
|
|
603,756
|
|
|
Shares issued in relation to share options exercised
|
|
15,776
|
|
|
—
|
|
|
—
|
|
|
15,776
|
|
|
—
|
|
|
15,776
|
|
|
Share-based payment
|
|
—
|
|
|
4,611
|
|
|
—
|
|
|
4,611
|
|
|
—
|
|
|
4,611
|
|
|
Proceeds from shares issued, net of share issue costs
|
|
622,983
|
|
|
—
|
|
|
—
|
|
|
622,983
|
|
|
—
|
|
|
622,983
|
|
|
Dividend declared of 6 cents per share (note 7)
|
|
—
|
|
|
—
|
|
|
(39,614
|
)
|
|
(39,614
|
)
|
|
—
|
|
|
(39,614
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at March 31, 2014 (Audited)
|
|
1,429,250
|
|
|
(58,335
|
)
|
|
300,725
|
|
|
1,671,640
|
|
|
(10
|
)
|
|
1,671,630
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive income
|
|
—
|
|
|
30,764
|
|
|
149,622
|
|
|
180,386
|
|
|
(407
|
)
|
|
179,979
|
|
|
Profit for the year
|
|
—
|
|
|
—
|
|
|
149,622
|
|
|
149,622
|
|
|
(606
|
)
|
|
149,016
|
|
|
Other comprehensive income
|
|
—
|
|
|
30,764
|
|
|
—
|
|
|
30,764
|
|
|
199
|
|
|
30,963
|
|
|
Transactions with owners
|
|
7,743
|
|
|
5,677
|
|
|
—
|
|
|
13,420
|
|
|
(457
|
)
|
|
12,963
|
|
|
Shares issued in relation to share options exercised
|
|
7,743
|
|
|
—
|
|
|
—
|
|
|
7,743
|
|
|
—
|
|
|
7,743
|
|
|
Share-based payment
|
|
—
|
|
|
5,220
|
|
|
—
|
|
|
5,220
|
|
|
—
|
|
|
5,220
|
|
|
Transactions with non controlling interests
|
|
—
|
|
|
457
|
|
|
—
|
|
|
457
|
|
|
(457
|
)
|
|
—
|
|
|
Balance at March 31, 2015 (Audited)
|
|
1,436,993
|
|
|
(21,894
|
)
|
|
450,347
|
|
|
1,865,446
|
|
|
(874
|
)
|
|
1,864,572
|
|
|
SUMMARY CONSOLIDATED STATEMENT OF CHANGES IN EQUITY
|
|
|
|
|
|
|
Attributable to owners of the parent
|
|
|
|
|
|
United States Dollar
Figures are in thousands unless otherwise stated
|
|
Stated
capital
|
|
Other
reserves
|
|
Retained
earnings
|
|
Total
|
|
Non-
controlling
interest
|
|
Total
equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at April 1, 2013 (Unaudited)
|
|
65,380
|
|
|
(9,210
|
)
|
|
15,611
|
|
|
71,781
|
|
|
(1
|
)
|
|
71,780
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive income
|
|
—
|
|
|
4,004
|
|
|
12,538
|
|
|
16,542
|
|
|
(1
|
)
|
|
16,541
|
|
|
Profit for the year
|
|
—
|
|
|
—
|
|
|
12,538
|
|
|
12,538
|
|
|
(1
|
)
|
|
12,537
|
|
|
Other comprehensive income
|
|
—
|
|
|
4,004
|
|
|
—
|
|
|
4,004
|
|
|
—
|
|
|
4,004
|
|
|
Transactions with owners
|
|
52,831
|
|
|
381
|
|
|
(3,276
|
)
|
|
49,936
|
|
|
—
|
|
|
49,936
|
|
|
Shares issued in relation to share options exercised
|
|
1,305
|
|
|
—
|
|
|
—
|
|
|
1,305
|
|
|
—
|
|
|
1,305
|
|
|
Share-based payment
|
|
—
|
|
|
381
|
|
|
—
|
|
|
381
|
|
|
—
|
|
|
381
|
|
|
Proceeds from shares issued, net of share issue costs
|
|
51,526
|
|
|
—
|
|
|
—
|
|
|
51,526
|
|
|
—
|
|
|
51,526
|
|
|
Dividend declared of 0.5 cents per share (note 7)
|
|
—
|
|
|
—
|
|
|
(3,276
|
)
|
|
(3,276
|
)
|
|
—
|
|
|
(3,276
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at March 31, 2014 (Unaudited)
|
|
118,211
|
|
|
(4,825
|
)
|
|
24,873
|
|
|
138,259
|
|
|
(2
|
)
|
|
138,257
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total comprehensive income
|
|
—
|
|
|
2,544
|
|
|
12,375
|
|
|
14,919
|
|
|
(34
|
)
|
|
14,885
|
|
|
Profit for the year
|
|
—
|
|
|
—
|
|
|
12,375
|
|
|
12,375
|
|
|
(50
|
)
|
|
12,325
|
|
|
Other comprehensive income
|
|
—
|
|
|
2,544
|
|
|
—
|
|
|
2,544
|
|
|
16
|
|
|
2,560
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Transactions with owners
|
|
640
|
|
|
470
|
|
|
—
|
|
|
1,110
|
|
|
(38
|
)
|
|
1,072
|
|
|
Shares issued in relation to share options exercised
|
|
640
|
|
|
—
|
|
|
—
|
|
|
640
|
|
|
—
|
|
|
640
|
|
|
Share-based payment
|
|
—
|
|
|
432
|
|
|
—
|
|
|
432
|
|
|
—
|
|
|
432
|
|
|
Transactions with non controlling interests
|
|
—
|
|
|
38
|
|
|
—
|
|
|
38
|
|
|
(38
|
)
|
|
—
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at March 31, 2015 (Unaudited)
|
|
118,851
|
|
|
(1,811
|
)
|
|
37,248
|
|
|
154,288
|
|
|
(74
|
)
|
|
154,214
|
|
NOTES TO SUMMARY CONSOLIDATED FINANCIAL RESULTS
1. Independent audit
The summary consolidated annual financial statements for the year ended
March 31, 2015 have been derived from the audited consolidated annual
financial statements. The directors of MiX Telematics Limited take full
responsibility for the preparation of the preliminary summary
consolidated annual financial statements and that the financial
information has been correctly derived from the underlying audited
consolidated annual financial statements. The summary consolidated
financial statements for the year ended March 31, 2015 have been audited
by PricewaterhouseCoopers Inc., who expressed an unmodified opinion
thereon. The auditor also expressed an unmodified opinion on the annual
financial statements from which these summary consolidated financial
statements were derived.
A copy of the auditor’s report on the summary consolidated financial
statements and of the auditor’s report on the annual consolidated
financial statements are available for inspection at MiX Telematics
Limited’s registered office, together with the financial statements
identified in the respective auditor’s reports.
The auditor’s report does not necessarily report on all of the
information contained in these financial results. Shareholders are
therefore advised that in order to obtain a full understanding of the
nature of the auditor’s engagement they should obtain a copy of the
auditor’s report together with the accompanying financial information
from MiX Telematics Limited’s registered office.
The Group’s preliminary audited summary consolidated annual financial
statements have been independently audited by the Group’s external
auditors. The preparation of the Group’s preliminary audited summary
consolidated annual financial statements were prepared under the
supervision of the Group Chief Financial Officer, ML Pydigadu CA(SA).
The results were made available on May 28, 2015.
2. Basis of preparation and accounting policies
The summary consolidated financial statements are prepared in accordance
with the requirements of the JSE Limited Listings Requirements for
preliminary reports, and the requirements of the Companies Act
applicable to summary financial statements. The JSE Limited Listings
Requirements require preliminary reports to be prepared in accordance
with the framework concepts and the measurement and recognition
requirements of International Financial Reporting Standards ("IFRS") and
the SAICA Financial Reporting Guides as issued by the Accounting
Practices Committee and Financial Pronouncements as issued by the
Financial Reporting Standards Council and to also, as a minimum, contain
the information required by IAS 34 Interim Financial Reporting.
The accounting policies applied in the preparation of the consolidated
financial statements from which the summary consolidated financial
statements were derived are in terms of International Financial
Reporting Standards and are consistent with those accounting policies
applied in the preparation of the previous consolidated annual financial
statements, with the exception of where the Group has adopted new or
revised accounting standards, as described below and the change in
segment presentation as disclosed in note 3.
IAS 32 Financial instruments: Presentation - This amendment
clarifies that the right of set-off must not be contingent on a future
event. It must also be legally enforceable for all counterparties in the
normal course of business, as well as in the event of default,
insolvency or bankruptcy. The amendment also considers settlement
mechanisms. The amendment did not have a significant effect on the
summary consolidated financial statements.
IAS 36 Impairment of assets - This amendment removed certain
disclosures of the recoverable amount of cash-generating units (“CGU”)
which had been included in IAS 36 by the issue of IFRS 13 'Fair value
measurement'. The amendment had no impact on the summary consolidated
financial statements.
IFRIC 21 Levies - This interpretation sets out the accounting for
an obligation to pay a levy if that liability is within the scope of IAS
37 ‘Provisions’. The interpretation addresses what the obligating event
is that gives rise to pay a levy and when a liability should be
recognized. The Group is not subjected to significant levies so the
impact on the Group is not material.
Presentation currency and convenience translation
The Group’s presentation currency is South African Rand. In addition to
presenting these preliminary summary consolidated financial results in
South African Rand, supplementary information in U.S. Dollars has been
prepared for the convenience of users of the Group financial results.
Unless otherwise stated, the Group has translated U.S. Dollars amounts
from South African Rand at the exchange rate of R12.0907 per $1.00,
which was the R/$ exchange rate reported by Oanda.com as at March 31,
2015. The U.S. Dollar figures may not compute as they are rounded
independently.
3. Segment information
During the 2014 fiscal year the Group saw strong uptake of both its
high-end fleet management solutions and the low-end Beam-e track and
trace solution (a consumer product) in the Africa fleet solutions
segment. Given the convergence among the brands in Africa consumer
solutions and Africa fleet solutions, these businesses were combined in
June 2014 and the Group is reporting Africa as a whole from fiscal year
2015 onwards. This is consistent with the manner in which segment
information is reviewed by the chief operating decision maker.
Additionally, the Group has noted a blending of product and service
types in the various geographies in which it operates. As a result, the
segment descriptions have been updated to only refer to the geography
and not to a specific product or service. This does not represent a
change to the segment reporting as the chief operating decision maker
continues to assess performance based on geography. The Group's product
range consists of asset tracking and fleet solutions.
The tables below present the segment information on this revised basis,
with the prior year amended to conform to the current year presentation
as shown below.
|
SUMMARY SEGMENTAL ANALYSIS
|
|
|
|
|
|
|
|
|
|
South African Rand
Figures are in thousands unless otherwise stated
|
|
Total
revenue
|
|
Inter-
segment
revenue
|
|
Adjusted
EBITDA
|
|
Assets
|
|
Year ended March 31, 2015 (Audited)
|
|
|
|
|
|
|
|
|
|
Africa
|
|
|
|
709,928
|
|
|
—
|
|
|
201,750
|
|
|
530,309
|
|
|
Europe
|
|
|
|
160,678
|
|
|
(429
|
)
|
|
4,588
|
|
|
93,972
|
|
|
Americas
|
|
|
|
166,359
|
|
|
—
|
|
|
(2,684
|
)
|
|
76,669
|
|
|
Middle East and Australasia
|
|
|
|
328,556
|
|
|
(29
|
)
|
|
22,304
|
|
|
184,152
|
|
|
Brazil
|
|
|
|
23,056
|
|
|
(5
|
)
|
|
(12,567
|
)
|
|
16,054
|
|
|
Central Services Organization*
|
|
|
|
375,836
|
|
|
(374,570
|
)
|
|
101,877
|
|
|
307,645
|
|
|
Total
|
|
|
|
1,764,413
|
|
|
(375,033
|
)
|
|
315,268
|
|
|
1,208,801
|
|
|
Corporate and consolidation entries
|
|
—
|
|
|
—
|
|
|
(40,202
|
)
|
|
1,318,435
|
|
|
Inter-segment elimination
|
|
|
|
(375,033
|
)
|
|
375,033
|
|
|
—
|
|
|
(298,628
|
)
|
|
Total
|
|
|
|
1,389,380
|
|
|
—
|
|
|
275,066
|
|
|
2,228,608
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year ended March 31, 2014 (Audited)
|
|
|
|
|
|
|
|
Africa
|
|
|
|
661,006
|
|
|
(3,654
|
)
|
|
198,867
|
|
|
401,581
|
|
|
Europe
|
|
|
|
160,639
|
|
|
(977
|
)
|
|
7,285
|
|
|
88,086
|
|
|
Americas
|
|
|
|
134,213
|
|
|
—
|
|
|
(6,550
|
)
|
|
74,970
|
|
|
Middle East and Australasia
|
|
|
|
306,450
|
|
|
(1,569
|
)
|
|
21,834
|
|
|
162,848
|
|
|
Brazil
|
|
|
|
11,901
|
|
|
(56
|
)
|
|
(11,621
|
)
|
|
9,695
|
|
|
Central Services Organization
|
|
|
|
358,538
|
|
|
(354,833
|
)
|
|
102,778
|
|
|
285,825
|
|
|
Total
|
|
|
|
1,632,747
|
|
|
(361,089
|
)
|
|
312,593
|
|
|
1,023,005
|
|
|
Corporate and consolidation entries
|
|
—
|
|
|
—
|
|
|
(30,370
|
)
|
|
1,137,533
|
|
|
Inter-segment elimination
|
|
|
|
(361,089
|
)
|
|
361,089
|
|
|
—
|
|
|
(183,438
|
)
|
|
Total
|
|
|
|
1,271,658
|
|
|
—
|
|
|
282,223
|
|
|
1,977,100
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* This segment was previously named "International".
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
MIX TELEMATICS LIMITED
|
|
|
|
|
|
|
|
|
|
SUMMARY SEGMENTAL ANALYSIS
|
|
|
|
|
|
|
|
|
|
United States Dollar
Figures are in thousands unless otherwise stated
|
|
Total
revenue
|
|
Inter-
segment
revenue
|
|
Adjusted
EBITDA
|
|
Assets
|
|
|
|
|
|
|
|
|
|
|
|
Year ended March 31, 2015 (Unaudited)
|
|
|
|
|
|
|
|
|
|
Africa
|
|
|
|
58,717
|
|
|
—
|
|
|
16,686
|
|
|
43,861
|
|
|
Europe
|
|
|
|
13,289
|
|
|
(35
|
)
|
|
379
|
|
|
7,772
|
|
|
Americas
|
|
|
|
13,759
|
|
|
—
|
|
|
(222
|
)
|
|
6,341
|
|
|
Middle East and Australasia
|
|
|
|
27,174
|
|
|
(2
|
)
|
|
1,845
|
|
|
15,231
|
|
|
Brazil
|
|
|
|
1,906
|
|
|
(1
|
)
|
|
(1,039
|
)
|
|
1,328
|
|
|
Central Services Organization
|
|
|
|
31,085
|
|
|
(30,979
|
)
|
|
8,426
|
|
|
25,445
|
|
|
Total
|
|
|
|
145,930
|
|
|
(31,017
|
)
|
|
26,075
|
|
|
99,978
|
|
|
Corporate and consolidation entries
|
|
—
|
|
|
—
|
|
|
(3,325
|
)
|
|
109,045
|
|
|
Inter-segment elimination
|
|
(31,017
|
)
|
|
31,017
|
|
|
—
|
|
|
(24,699
|
)
|
|
Total
|
|
|
|
114,913
|
|
|
—
|
|
|
22,750
|
|
|
184,324
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year ended March 31, 2014 (Unaudited)
|
|
|
|
|
|
|
|
Africa
|
|
|
|
54,671
|
|
|
(302
|
)
|
|
16,448
|
|
|
33,214
|
|
|
Europe
|
|
|
|
13,286
|
|
|
(81
|
)
|
|
603
|
|
|
7,285
|
|
|
Americas
|
|
|
|
11,101
|
|
|
—
|
|
|
(542
|
)
|
|
6,201
|
|
|
Middle East and Australasia
|
|
|
|
25,346
|
|
|
(130
|
)
|
|
1,806
|
|
|
13,469
|
|
|
Brazil
|
|
|
|
985
|
|
|
(5
|
)
|
|
(962
|
)
|
|
802
|
|
|
Central Services Organization
|
|
|
|
29,654
|
|
|
(29,348
|
)
|
|
8,501
|
|
|
23,640
|
|
|
Total
|
|
|
|
135,043
|
|
|
(29,866
|
)
|
|
25,854
|
|
|
84,611
|
|
|
Corporate and consolidation entries
|
|
—
|
|
|
—
|
|
|
(2,512
|
)
|
|
94,083
|
|
|
Inter-segment elimination
|
|
|
|
(29,866
|
)
|
|
29,866
|
|
|
—
|
|
|
(15,172
|
)
|
|
Total
|
|
|
|
105,177
|
|
|
—
|
|
|
23,342
|
|
|
163,522
|
|
|
The prior year segment information has been amended to conform to
the current year presentation as follows:
|
|
|
|
|
|
|
|
|
|
|
|
South African Rand
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Figures are in thousands unless otherwise stated
|
|
Total
revenue
|
|
Inter-
segment
revenue
|
|
Adjusted
EBITDA
|
|
Assets
|
|
Year ended March 31, 2014 (Audited)
|
|
|
|
|
|
|
|
|
|
Africa (As previously reported)
|
|
Consumer solutions
|
|
355,084
|
|
|
(17,632
|
)
|
|
105,162
|
|
|
276,643
|
|
|
|
|
Fleet solutions
|
|
325,400
|
|
|
(5,500
|
)
|
|
95,209
|
|
|
131,286
|
|
|
|
|
|
|
680,484
|
|
|
(23,132
|
)
|
|
200,371
|
|
|
407,929
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
Inter-segment revenue eliminations
|
|
(19,478
|
)
|
|
19,478
|
|
|
—
|
|
|
—
|
|
|
Inter-segment unrealized profit eliminations
|
|
—
|
|
|
—
|
|
|
(1,504
|
)
|
|
(969
|
)
|
|
Inter-segment investments and intercompany receivable eliminations
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(5,379
|
)
|
|
Africa (Restated)
|
|
|
|
661,006
|
|
|
(3,654
|
)
|
|
198,867
|
|
|
401,581
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate and consolidation entries (As previously reported)
|
|
—
|
|
|
—
|
|
|
(31,874
|
)
|
|
1,136,564
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
Inter-segment unrealized profit eliminations
|
|
—
|
|
|
—
|
|
|
1,504
|
|
|
969
|
|
|
Corporate and consolidation entries (Restated)
|
|
—
|
|
|
—
|
|
|
(30,370
|
)
|
|
1,137,533
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Inter-segment elimination (As previously reported)
|
|
(380,567
|
)
|
|
380,567
|
|
|
—
|
|
|
(188,817
|
)
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
Inter-segment revenue eliminations
|
|
19,478
|
|
|
(19,478
|
)
|
|
—
|
|
|
—
|
|
|
Inter-segment investments and intercompany receivable eliminations
|
|
—
|
|
|
—
|
|
|
—
|
|
|
5,379
|
|
|
Inter-segment elimination (Restated)
|
|
(361,089
|
)
|
|
361,089
|
|
|
—
|
|
|
(183,438
|
)
|
|
United States Dollar
|
|
|
|
Total
revenue
|
|
Inter-
segment
revenue
|
|
Adjusted
EBITDA
|
|
Assets
|
|
Figures are in thousands unless otherwise stated
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Year ended March 31, 2014 (Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Africa (As previously reported)
|
|
Consumer solutions
|
|
29,368
|
|
|
(1,458
|
)
|
|
8,698
|
|
|
22,881
|
|
|
|
|
Fleet solutions
|
|
26,913
|
|
|
(454
|
)
|
|
7,875
|
|
|
10,858
|
|
|
|
|
|
|
56,281
|
|
|
(1,912
|
)
|
|
16,573
|
|
|
33,739
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
Inter-segment revenue eliminations
|
|
(1,610
|
)
|
|
1,610
|
|
|
—
|
|
|
—
|
|
|
Inter-segment unrealized profit eliminations
|
|
—
|
|
|
—
|
|
|
(125
|
)
|
|
(80
|
)
|
|
Inter-segment investments and intercompany receivable eliminations
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(445
|
)
|
|
Africa (Restated)
|
|
|
|
54,671
|
|
|
(302
|
)
|
|
16,448
|
|
|
33,214
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Corporate and consolidation entries (As previously reported)
|
|
—
|
|
|
—
|
|
|
(2,637
|
)
|
|
94,003
|
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
Inter-segment unrealized profit eliminations
|
|
—
|
|
|
—
|
|
|
125
|
|
|
80
|
|
|
Corporate and consolidation entries (Restated)
|
|
—
|
|
|
—
|
|
|
(2,512
|
)
|
|
94,083
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Inter-segment elimination (As previously reported)
|
|
(31,476
|
)
|
|
31,476
|
|
|
—
|
|
|
(15,617
|
)
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
|
Inter-segment revenue eliminations
|
|
1,610
|
|
|
(1,610
|
)
|
|
—
|
|
|
—
|
|
|
Inter-segment investments and intercompany receivable eliminations
|
|
—
|
|
|
—
|
|
|
—
|
|
|
445
|
|
|
Inter-segment elimination (Restated)
|
|
(29,866
|
)
|
|
29,866
|
|
|
—
|
|
|
(15,172
|
)
|
|
4. Reconciliation of Adjusted EBITDA to Profit for the year
|
|
|
|
South African Rand
|
|
United States Dollar
|
|
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
Figures are in thousands unless otherwise stated
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
Audited
|
|
Audited
|
|
Unaudited
|
|
Unaudited
|
|
Adjusted EBITDA
|
|
275,066
|
|
|
282,223
|
|
|
22,750
|
|
|
23,342
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
Net profit on sale of property, plant and equipment and intangible
assets
|
|
—
|
|
|
97
|
|
|
—
|
|
|
8
|
|
|
Net realized foreign exchange losses
|
|
7,928
|
|
|
—
|
|
|
655
|
|
|
—
|
|
|
Insurance reimbursement (1)
|
|
3,237
|
|
|
—
|
|
|
268
|
|
|
—
|
|
|
Less:
|
|
|
|
|
|
|
|
|
|
Depreciation (2)
|
|
(61,099
|
)
|
|
(47,887
|
)
|
|
(5,053
|
)
|
|
(3,961
|
)
|
|
Amortization (3)
|
|
(46,294
|
)
|
|
(44,941
|
)
|
|
(3,829
|
)
|
|
(3,717
|
)
|
|
Impairment (4)
|
|
(1,646
|
)
|
|
(379
|
)
|
|
(136
|
)
|
|
(31
|
)
|
|
Share-based compensation costs (5)
|
|
(7,578
|
)
|
|
(4,611
|
)
|
|
(627
|
)
|
|
(381
|
)
|
|
Net loss on sale of property, plant and equipment and intangible
assets
|
|
(456
|
)
|
|
—
|
|
|
(38
|
)
|
|
—
|
|
|
Restructuring costs (6)
|
|
(11,267
|
)
|
|
(2,745
|
)
|
|
(932
|
)
|
|
(227
|
)
|
|
Transaction costs arising from acquisition of a business
|
|
(93
|
)
|
|
(211
|
)
|
|
(8
|
)
|
|
(17
|
)
|
|
Non-recurring initial public offering costs
|
|
—
|
|
|
(8,503
|
)
|
|
—
|
|
|
(703
|
)
|
|
Net realized foreign exchange gains
|
|
—
|
|
|
(1,545
|
)
|
|
—
|
|
|
(129
|
)
|
|
Net litigation costs (7)
|
|
(7,937
|
)
|
|
—
|
|
|
(656
|
)
|
|
—
|
|
|
Operating profit
|
|
149,861
|
|
|
171,498
|
|
|
12,394
|
|
|
14,184
|
|
|
Add: Finance income/(costs) - net
|
|
80,778
|
|
|
40,660
|
|
|
6,681
|
|
|
3,363
|
|
|
Less: Taxation
|
|
(81,623
|
)
|
|
(60,574
|
)
|
|
(6,750
|
)
|
|
(5,010
|
)
|
|
Profit for the year
|
|
149,016
|
|
|
151,584
|
|
|
12,325
|
|
|
12,537
|
|
|
(1)
|
|
Insurance reimbursement related to the helicopter asset impaired
during the second quarter of the 2015 fiscal year.
|
|
(2)
|
|
Includes depreciation of property, plant and equipment (including
in-vehicle devices).
|
|
(3)
|
|
Includes amortization of intangible assets (including product
development costs).
|
|
(4)
|
|
Includes R0.5 million ($0.04 million) impairment of computer
equipment and furniture and fittings which is related to the
restructuring described in note 9. Also includes R0.6 million ($0.05
million) related to the helicopter asset and R0.5 million ($0.04
million) impairment of capitalized product development costs.
|
|
(5)
|
|
Share-based compensation costs include R2.4 million ($0.2 million)
related to cash-settled share-based payments described in note 11
and R5.2 million ($0.4 million) related to equity-settled
share-based payments.
|
|
(6)
|
|
Restructuring costs incurred are described in note 9.
|
|
(7)
|
|
Net costs relating to litigation and the related insurance proceeds
are described in note 12.
|
|
5. Reconciliation of Adjusted EBITDA margin to Profit for the
year margin
|
|
|
|
Year ended
|
|
Year ended
|
|
|
|
March 31,
|
|
March 31,
|
|
|
2015
|
|
2014
|
|
|
|
Unaudited
|
|
Unaudited
|
|
Adjusted EBITDA margin
|
|
19.8
|
%
|
|
22.2
|
%
|
|
Add:
|
|
|
|
|
|
Net profit on sale of property, plant and equipment and intangible
assets
|
|
—
|
|
|
0.0
|
%
|
|
Net realized foreign exchange losses
|
|
0.6
|
%
|
|
—
|
|
|
Insurance reimbursement
|
|
0.2
|
%
|
|
—
|
|
|
|
|
|
|
|
|
Less:
|
|
|
|
|
|
Depreciation
|
|
(4.4
|
%)
|
|
(3.8
|
%)
|
|
Amortization
|
|
(3.3
|
%)
|
|
(3.5
|
%)
|
|
Impairment of property, plant and equipment
|
|
(0.1
|
%)
|
|
(0.0
|
%)
|
|
Share-based compensation costs
|
|
(0.6
|
%)
|
|
(0.4
|
%)
|
|
Net loss on sale of property, plant and equipment and intangible
assets
|
|
(0.0
|
%)
|
|
—
|
|
|
Restructuring costs
|
|
(0.8
|
%)
|
|
(0.2
|
%)
|
|
Transaction costs arising from acquisition of a business
|
|
(0.0
|
%)
|
|
—
|
|
|
Non-recurring initial public offering costs
|
|
—
|
|
|
(0.7
|
%)
|
|
Net realized foreign exchange gains
|
|
—
|
|
|
(0.1
|
%)
|
|
Net litigation costs
|
|
(0.6
|
%)
|
|
—
|
|
|
Operating profit margin
|
|
10.8
|
%
|
|
13.5
|
%
|
|
Add: Finance income/(costs) - net
|
|
5.8
|
%
|
|
3.2
|
%
|
|
Less: Taxation
|
|
(5.9
|
%)
|
|
(4.8
|
%)
|
|
Profit for the year margin
|
|
10.7
|
%
|
|
11.9
|
%
|
6. Net Cash
Net cash is calculated as being net cash and cash equivalents, excluding
restricted cash less interest bearing borrowings.
7. Dividends
No dividend was declared during the year. A final dividend of R39.6
million or $3.3 million was declared during the first half of fiscal
year 2014 and paid on July 8, 2013. Using shares in issue of 660.2
million, this equated to a dividend of 6.0 South African cents or
$0.5 cents per share.
Following the completion of its initial public offering of ADSs, the
Company discontinued its policy of declaring regular dividends in order
to increase the funds available to pursue opportunities for more rapid
growth.
8. Fair value of financial assets and liabilities measured at
amortized cost
The fair values of trade and other receivables, trade payables, accruals
and other payables approximate their book values as the impact of
discounting is not considered material due to the short-term nature of
both the receivables and payables.
9. Restructuring
During November 2014, the Africa and the Middle East and Australasia
segments implemented restructuring plans. The total cost of the
restructuring plans is expected to be approximately R11.3 million ($0.9
million). An agreement has been reached with the affected staff and the
amount to be paid was agreed prior to the financial year end. The total
estimated staff restructuring costs to be incurred are R8.3 million
($0.7 million) at March 31, 2015. Other direct costs attributable to the
restructuring, including lease termination costs, are R3.0 million ($0.2
million). By March 31, 2015, R6.7 million ($0.6 million) of the expected
restructuring costs had been incurred.
10. Contingent Liabilities
Service agreement
In terms of an amended network services agreement with Mobile Telephone
Networks Proprietary Limited (“MTN”), MTN is entitled to claw back
payments from MiX Telematics Africa Proprietary Limited in the event of
early cancellation of the agreement or certain base connections not
being maintained over the term of the agreement. No connection
incentives will be received in terms of the amended network services
agreement. The maximum potential liability under the arrangement is
R51.1 million ($4.2 million) (2014: R58.1 million or $4.8 million). No
loss is considered probable under this arrangement.
11. Share-based payment transaction
In June 2014, the Group entered into an agreement with Edge Gestao
Empresarial Ltda. ("Edge"), whereby Edge has been granted a 5% holding
in the equity interests of MiX Brazil. At March 31, 2014 Edge held a
non-controlling interest in MiX Brazil of 0.0025%. Edge is a Brazilian
based investment company controlled by Luiz Munhoz, the Managing
Director of MiX Brazil. The increase in the equity interests granted to
Edge is in respect of services provided by Luiz Munhoz to MiX Brazil, in
his role as Managing Director of MiX Brazil. As part of the arrangement,
Edge has an option to transfer its interest in MiX Brazil back to the
Group at fair value during the period of the agreement.
The transaction with Edge represents a cash-settled share-based payment.
The award was fully vested on grant date and a share-based payment
expense of R2.4 million ($0.2 million) relating to this transaction has
been recognized in the income statement in the current year. The amount
expensed represents the fair value of the award that was issued.
|
|
|
South African Rand
|
|
United States Dollar
|
|
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
Figures are in thousands unless otherwise stated
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
Audited
|
|
Audited
|
|
Unaudited
|
|
Unaudited
|
|
Movement in share-based payment liability for the year
|
|
|
|
|
|
|
|
|
|
Share-based payment expense recognized during the year
|
|
2,358
|
|
|
—
|
|
|
195
|
|
|
—
|
|
|
Foreign currency translation differences
|
|
(408
|
)
|
|
—
|
|
|
(34
|
)
|
|
—
|
|
|
Closing balance
|
|
1,950
|
|
|
—
|
|
|
161
|
|
|
—
|
|
The above share-based payment liability has been valued using discounted
cash flow analysis. The fair value is determined by the use of cash flow
projections based on approved budgets covering a five year period. These
cash flows are based on the current market conditions and near-term
expectations.
The key assumptions used in the discounted cash flow analysis were:
|
|
|
Year ended
|
|
Year ended
|
|
|
|
March 31,
|
|
March 31,
|
|
|
2015
|
|
2014
|
|
|
|
Audited
|
|
Audited
|
|
|
|
|
|
|
|
Discount rate
|
|
|
|
|
|
— pre-tax discount rate applied to the cash flow projections (%)
|
|
23.4
|
|
|
—
|
|
Growth rate
|
|
|
|
|
|
— growth rate used to extrapolate cash flow beyond the budget period
(%)
|
|
3.1
|
|
|
—
|
12. Net litigation costs
On June 6, 2014, Inthinc Technology Solutions, Inc. (“Inthinc”)
commenced a lawsuit in the U.S. District Court, District of Utah,
Central Division, against the Group's wholly-owned subsidiary, MiX
Telematics North America, Inc. (“MiX North America”) and Charles “Skip”
Kinford, whom the Group hired in May 2014 as President and CEO of MiX
North America. Inthinc is Mr. Kinford’s previous employer. The claims
against MiX North America included misappropriation of trade secrets
under Utah state law and tortious interference with a contract. The
claims against Mr. Kinford included breach of a non-competition,
non-solicitation and confidentiality provisions in his employment
agreement with Inthinc, misappropriation of trade secrets under Utah
state law and breach of contract. Inthinc voluntarily dismissed MiX
North America without prejudice on June 12, 2014, due to its decision to
file the lawsuit in Texas discussed below.
On June 12, 2014, Inthinc commenced a lawsuit in the 48th Judicial
District of Tarrant County, Texas against MiX North America ("Texas
Lawsuit"). Inthinc alleged that MiX North America tortuously interfered
with Mr. Kinford’s employment agreement and post-employment restrictive
covenants and misappropriated unidentified trade secrets when MiX North
America hired Mr. Kinford.
On August 21, 2014, the parties agreed to consolidate the related
lawsuits into the Texas Lawsuit. In both of the lawsuits discussed
above, Inthinc sought injunctive relief and unspecified money damages.
On or about October 17, 2014, the parties entered into a confidential
settlement and release agreement. Pursuant to the terms of the
agreement, the parties have filed an Agreed Motion to Dismiss to
effectuate the dismissal of all claims, with prejudice, in the Texas
Lawsuit as well as the dissolution of any injunctions as issued to Mr.
Kinford and MiX North America. The settlement, net of insurance
proceeds, had been paid in full by the end of the 2015 fiscal year.
13. Business combination
On November 1, 2014, the Group acquired the operating business of
Compass Fleet Management Proprietary Limited (“Compass”), a South Africa
based provider of specialized fleet management solutions in Southern
Africa that are delivered off the Group’s hardware and software
platform. These specialized fleet management solutions complement the
Group's existing fleet management solutions and the acquisition broadens
the array of services offered to current and future fleet management
customers.
The acquisition was considered to be a business combination as defined
by International Financial Reporting Standards, and as a result has been
accounted for under the requirements of IFRS 3. The Group acquired the
power to direct the operating and financial activities of the acquired
business on November 1, 2014, and the assets acquired and liabilities
assumed have been recorded at their fair values.
The following table summarizes the consideration paid for Compass and
the fair value of assets acquired and liabilities assumed at the
acquisition date.
|
|
|
R’000
|
|
|
$'000
|
|
|
|
|
|
|
|
|
Consideration at November 1, 2014
|
|
|
|
|
|
|
Total consideration payable
|
|
58,000
|
|
|
|
4,797
|
|
|
Cash consideration transferred at effective date
|
|
(40,000
|
)
|
|
|
(3,308
|
)
|
|
Contingent consideration
|
|
18,000
|
|
|
|
1,489
|
|
|
|
|
|
|
|
|
|
Recognized amounts of identifiable assets acquired and
liabilities assumed
|
|
|
|
|
|
Fair value
|
|
|
|
R'000
|
|
|
$'000
|
|
|
|
|
|
|
|
|
Inventory
|
|
355
|
|
|
|
29
|
|
|
Property, plant and equipment
|
|
6,254
|
|
|
|
517
|
|
|
Software
|
|
1,180
|
|
|
|
98
|
|
|
Customer relationships
|
|
40,166
|
|
|
|
3,322
|
|
|
Patents and trademarks
|
|
2,155
|
|
|
|
178
|
|
|
Deferred tax liability raised
|
|
(11,850
|
)
|
|
|
(980
|
)
|
|
Total identifiable net assets
|
|
38,260
|
|
|
|
3,164
|
|
|
Goodwill
|
|
19,740
|
|
|
|
1,633
|
|
|
Acquisition date fair value of consideration paid
|
|
58,000
|
|
|
|
4,797
|
|
|
|
|
|
|
|
|
|
|
Acquisition-related expenses of R0.1 million ($0.01 million) were
incurred and have been charged to administrative and other expenses in
the consolidated income statement for the 2015 fiscal year. The goodwill
of R19.7 million ($1.6 million) arising from the acquisition is
attributable to the workforce acquired and the synergies expected from
combining the business acquired and the Group. None of the goodwill
recognized is expected to be deductible for income tax purposes.
Payment of the contingent consideration was contingent on the
achievement of agreed revenue and profit targets for the period November
1, 2014 to March 31, 2015. Subsequent to year end it has been determined
that the agreed revenue and profit targets have been achieved and the
R18.0 million ($1.5 million) is expected to be paid to the former owners
by the end of May 2015.
As at the acquisition date, it was considered virtually certain that the
aforementioned profit and revenue targets would be met and therefore,
the contingent consideration payable was recognized at fair value which
was considered to be R18.0 million ($1.5 million). The fair value
estimates were not discounted as the impact of discounting was not
material. This is a level 3 fair value measurement.
Cash in respect of the contingent consideration payable of R18.0 million
($1.5 million), was held in trust and is disclosed within Restricted
cash on the statement of financial position.
From the acquisition date, revenue of R24.5 million ($2.0 million) has
been recorded by the business acquired and profits of R1.5 million ($0.1
million), including IFRS 3 amortization, have been included in profit or
loss. Had the business been consolidated from April 1, 2014 the
consolidated income statement would show R58.8 million ($4.9 million)
unaudited pro-forma revenue and an unaudited pro-forma net profit of
R3.6 million ($0.3 million) in respect of this business.
14. Taxation
MiX Telematics International Proprietary Limited ("MiX International"),
a subsidiary of the Group, historically claimed a 150% allowance for
research and development spend in terms of section 11D ("S11D") of the
South African Income Tax Act of 1962 ("the Act"). As of October 1, 2012,
the legislation relating to the allowance was amended. The amendment
requires pre-approval of development project expenditure on a project
specific basis by the South African Department of Science and Technology
("DST") in order to claim a deduction of the additional 50% over and
above the expenditure incurred (150% allowance). Since the amendments to
S11D of the Act, MiX International had been claiming the 150% deduction
resulting in a recognized tax benefit of R8.5 million ($0.7 million).
MiX International has complied with the amended legislation by
submitting all required documentation to the DST in a timely manner,
commencing in October 2012.
In June 2014, correspondence was received from the DST indicating that
the research and development expenditure on certain projects for which
the 150% allowance was claimed did not, in the DST’s opinion, constitute
qualifying expenditure in terms of the Act. MiX International continues,
through due legal process, to formally seek a review of the DST’s
decision not to approve the expenditure. This process is unresolved.
Consequently, at March 31, 2015, MiX International has an uncertain tax
position relating to S11D deductions. MiX International has paid the
R8.5 million ($0.7 million) related to the S11D deductions to the South
African Revenue Service. The Group has considered this uncertain tax
position and recognized a tax asset of R8.5 million ($0.7 million) at
March 31, 2015. If the Group is unsuccessful in obtaining DST approval
in this specific matter, the Group will not recover the tax asset and
will incur an additional taxation expense of up to R8.5 million ($0.7
million) relating to the additional 50% claimed.
|
15. Other operating and financial data
|
|
|
|
South African Rand
|
|
United States Dollar
|
|
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
Year ended
|
|
Figures are in thousands except for subscribers
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
Audited
|
|
Audited
|
|
Unaudited
|
|
Unaudited
|
|
Subscription revenue
|
|
998,335
|
|
853,716
|
|
82,570
|
|
70,609
|
|
Adjusted EBITDA
|
|
275,066
|
|
282,223
|
|
22,750
|
|
23,342
|
|
Cash and cash equivalents
|
|
945,381
|
|
830,449
|
|
78,191
|
|
68,685
|
|
Net cash
|
|
924,912
|
|
798,898
|
|
76,498
|
|
66,075
|
|
Capital expenditure
|
|
125,429
|
|
135,309
|
|
10,374
|
|
11,191
|
|
Subscribers
|
|
512,344
|
|
450,502
|
|
512,344
|
|
450,502
|
|
|
|
|
|
|
|
|
|
|
|
Exchange Rates
|
|
|
|
|
|
|
The following major rates of exchange were used:
|
|
|
|
|
|
|
South African Rand: United States Dollar
|
|
|
|
|
|
|
-closing
|
|
12.09
|
|
10.60
|
|
|
-average
|
|
11.06
|
|
10.12
|
|
|
South African Rand: British Pound
|
|
|
|
|
|
|
-closing
|
|
17.94
|
|
17.60
|
|
|
-average
|
|
17.82
|
|
16.11
|
|
16. Subsequent events
The directors are not aware of any matter material or otherwise arising
since March 31, 2015 and up to the date of this report, not otherwise
dealt with herein.
17. Changes to the board
The following changes to the board of directors were effective from
November 5, 2014:
-
Hubert Brody (non-independent non-executive director) who served on
the board since August 2010 retired from the board of directors of MiX
Telematics due to other commitments; and
-
Fundiswa Roji who has been a member of the board since August 2007 and
who had more recently served as Hubert Brody's alternate on behalf of
Imperial Holdings Limited (“Imperial”), has resigned from Imperial and
therefore from the board of MiX Telematics.
With effect from November 19, 2014, Mark Lamberti was appointed as a
non-independent non-executive director of MiX and Mr Mohammed Akoojee
was appointed as an alternate non-executive director to Mark Lamberti.
18. Annual general meeting
The annual general meeting of shareholders of MiX Telematics Limited
will be held at Matrix Corner, Howick Close, Waterfall Park, Midrand,
Johannesburg on Wednesday, September 16, 2015 at 11:30 a.m. (South
African time). For South African shareholders, the last day to trade in
order to be eligible to participate in and vote at the annual general
meeting is Friday, September 4, 2015 and the record date for voting
purposes is Friday, September 11, 2015.
|
For and on behalf of the board:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SR Bruyns
|
|
|
|
|
|
|
|
|
|
SB Joselowitz
|
|
Midrand
|
|
|
|
|
|
|
|
|
|
|
|
May 26, 2015
|
|
|
|
|
|
|
|
|
|
|
|
UNAUDITED GROUP CONSOLIDATED FINANCIAL RESULTS FOR THE QUARTER
ENDED MARCH 31, 2015
|
|
MIX TELEMATICS LIMITED
|
|
|
|
|
|
|
|
|
|
CONDENSED CONSOLIDATED INCOME STATEMENTS
|
|
|
|
South African Rand
|
|
United States Dollar
|
|
|
|
Three months
ended
|
|
Three months
ended
|
|
Three months
ended
|
|
Three months
ended
|
|
Figures are in thousands unless otherwise stated
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
|
|
|
|
|
|
|
|
|
|
Revenue
|
|
367,686
|
|
|
348,427
|
|
|
30,411
|
|
|
28,818
|
|
|
Cost of sales
|
|
(110,264
|
)
|
|
(107,471
|
)
|
|
(9,120
|
)
|
|
(8,889
|
)
|
|
Gross profit
|
|
257,422
|
|
|
240,956
|
|
|
21,291
|
|
|
19,929
|
|
|
Other income/(expenses) - net
|
|
(26
|
)
|
|
236
|
|
|
(2
|
)
|
|
20
|
|
|
Operating expenses
|
|
(198,215
|
)
|
|
(180,080
|
)
|
|
(16,394
|
)
|
|
(14,894
|
)
|
|
-Sales and marketing
|
|
(41,507
|
)
|
|
(42,594
|
)
|
|
(3,433
|
)
|
|
(3,523
|
)
|
|
-Administration and other charges
|
|
(156,708
|
)
|
|
(137,486
|
)
|
|
(12,961
|
)
|
|
(11,371
|
)
|
|
Operating profit
|
|
59,181
|
|
|
61,112
|
|
|
4,895
|
|
|
5,055
|
|
|
Finance income/(costs) - net
|
|
23,701
|
|
|
6,614
|
|
|
1,960
|
|
|
547
|
|
|
-Finance income
|
|
24,082
|
|
|
7,219
|
|
|
1,992
|
|
|
597
|
|
|
-Finance costs
|
|
(381
|
)
|
|
(605
|
)
|
|
(32
|
)
|
|
(50
|
)
|
|
Profit before taxation
|
|
82,882
|
|
|
67,726
|
|
|
6,855
|
|
|
5,602
|
|
|
Taxation
|
|
(30,771
|
)
|
|
(17,347
|
)
|
|
(2,545
|
)
|
|
(1,435
|
)
|
|
Profit for the year
|
|
52,111
|
|
|
50,379
|
|
|
4,310
|
|
|
4,167
|
|
|
|
|
|
|
|
|
|
|
|
|
Attributable to:
|
|
|
|
|
|
|
|
|
|
Owners of the parent
|
|
52,440
|
|
|
50,384
|
|
|
4,337
|
|
|
4,168
|
|
|
Non-controlling interests
|
|
(329
|
)
|
|
(5
|
)
|
|
(27
|
)
|
|
(1
|
)
|
|
|
|
52,111
|
|
|
50,379
|
|
|
4,310
|
|
|
4,167
|
|
|
|
|
|
|
|
|
|
|
|
|
Attributable earnings per share
|
|
|
|
|
|
|
|
|
|
-basic (R/$)
|
|
0.07
|
|
|
0.06
|
|
|
0.01
|
|
|
0.01
|
|
|
-diluted (R/$)
|
|
0.07
|
|
|
0.06
|
|
|
0.01
|
|
|
0.01
|
|
|
Earnings per American Depositary Share
|
|
|
|
|
|
|
|
|
|
-basic (R/$)
|
|
1.65
|
|
|
1.62
|
|
|
0.14
|
|
|
0.13
|
|
|
-diluted (R/$)
|
|
1.64
|
|
|
1.56
|
|
|
0.14
|
|
|
0.13
|
|
|
Attributable adjusted earnings per share
|
|
|
|
|
|
|
|
|
|
-basic (R/$)
|
|
0.05
|
|
|
0.06
|
|
|
#
|
|
#
|
|
-diluted (R/$)
|
|
0.05
|
|
|
0.06
|
|
|
#
|
|
#
|
|
Adjusted earnings per American Depositary Share
|
|
|
|
|
|
|
|
|
|
-basic (R/$)
|
|
1.22
|
|
|
1.50
|
|
|
0.10
|
|
|
0.12
|
|
|
-diluted (R/$)
|
|
1.21
|
|
|
1.44
|
|
|
0.10
|
|
|
0.12
|
|
|
Ordinary shares ('000)
|
|
|
|
|
|
|
|
|
|
-in issue at March 31
|
|
792,838
|
|
|
784,150
|
|
|
792,838
|
|
|
784,150
|
|
|
-weighted average
|
|
792,838
|
|
|
778,720
|
|
|
792,838
|
|
|
778,720
|
|
|
-diluted weighted average
|
|
801,398
|
|
|
808,871
|
|
|
801,398
|
|
|
808,871
|
|
|
Weighted average American Depositary Share ('000)
|
|
|
|
|
|
|
|
|
|
-in issue at March 31
|
|
31,714
|
|
|
31,366
|
|
|
31,714
|
|
|
31,366
|
|
|
-weighted average
|
|
31,714
|
|
|
31,149
|
|
|
31,714
|
|
|
31,149
|
|
|
-diluted weighted average
|
|
32,056
|
|
|
32,355
|
|
|
32,056
|
|
|
32,355
|
|
|
# Amount less than $0.01.
|
|
|
|
|
|
|
|
|
|
|
NOTES TO CONDENSED CONSOLIDATED FINANCIAL RESULTS
1. Basis of preparation and accounting policies
Financial results for the fourth quarter of fiscal year 2015
In addition to the Group’s financial results for the year ended March
31, 2015, additional financial information in respect of the fourth
quarter of fiscal year 2015 has been presented together with the
relevant comparative information. The quarterly information comprises a
condensed consolidated income statement, a reconciliation of adjusted
earnings to profit for the period (note 3), a reconciliation of Adjusted
EBITDA to profit for the period (note 4 and 5) and other financial and
operating data (note 6).
The accounting policies used in preparing the financial results for the
fourth quarter of fiscal year 2015 are consistent in all material
respects with those applied in the preparation of the Group’s annual
financial statements for the year ended March 31, 2014.
The quarterly financial results have not been audited or reviewed by the
Group’s external auditors.
The condensed unaudited Group quarterly financial results do not include
all the information and disclosures required in the annual financial
statements and should be read in conjunction with the Group’s annual
financial statements for the year ended March 31, 2015, which have been
prepared in accordance with IFRS.
2. Presentation currency and convenience translation
The Group’s presentation currency is South African Rand. In addition to
presenting these condensed consolidated financial results for the
quarter ended March 31, 2015 in South African Rand, supplementary
information in U.S. Dollars has been prepared for the convenience of
users of this report. Unless otherwise stated, the Group has translated
U.S. Dollar amounts from South African Rand at the exchange rate of
R12.0907 per $1.00, which was the R/$ exchange rate reported by
Oanda.com as at March 31, 2015. The U.S. Dollar figures may not compute
as they are rounded independently.
|
3. Reconciliation of adjusted earnings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
South African Rand
|
|
United States Dollar
|
|
|
|
Three months
ended
|
|
Three months
ended
|
|
Three months
ended
|
|
Three months
ended
|
|
Figures are in thousands unless otherwise stated
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Profit for the period attributable to owners of the parent
|
|
52,440
|
|
|
50,384
|
|
|
4,337
|
|
|
4,168
|
|
|
Net foreign exchange gains
|
|
(21,887
|
)
|
|
(5,408
|
)
|
|
(1,810
|
)
|
|
(447
|
)
|
|
Income tax effect on the above component
|
|
8,194
|
|
|
1,619
|
|
|
678
|
|
|
134
|
|
|
Adjusted earnings attributable to owners of the parent
|
|
38,747
|
|
|
46,595
|
|
|
3,205
|
|
|
3,855
|
|
|
|
|
|
|
|
|
|
|
|
|
Attributable adjusted earnings per share
|
|
|
|
|
|
|
|
|
|
-basic (R/$)
|
|
0.05
|
|
|
0.06
|
|
|
#
|
|
#
|
|
-diluted (R/$)
|
|
0.05
|
|
|
0.06
|
|
|
#
|
|
#
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted earnings per American Depositary Share
|
|
|
|
|
|
|
|
|
|
-basic (R/$)
|
|
1.22
|
|
|
1.50
|
|
|
0.10
|
|
|
0.12
|
|
|
-diluted (R/$)
|
|
1.21
|
|
|
1.44
|
|
|
0.10
|
|
|
0.12
|
|
|
# Amount less than $0.01.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
4. Reconciliation of Adjusted EBITDA to Profit for the Period
|
|
|
|
South African Rand
|
|
United States Dollar
|
|
|
|
Three months
ended
|
|
Three months
ended
|
|
Three months
ended
|
|
Three months
ended
|
|
Figures are in thousands unless otherwise stated
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA
|
|
83,937
|
|
|
84,601
|
|
|
6,940
|
|
|
6,994
|
|
|
Add:
|
|
|
|
|
|
|
|
|
|
Net realized foreign exchange losses
|
|
5,866
|
|
|
—
|
|
|
487
|
|
|
—
|
|
|
Decrease in provision for restructuring costs
|
|
—
|
|
|
17
|
|
|
—
|
|
|
1
|
|
|
|
|
|
|
|
|
|
|
|
|
Less:
|
|
|
|
|
|
|
|
|
|
Depreciation (1)
|
|
(16,993
|
)
|
|
(12,803
|
)
|
|
(1,405
|
)
|
|
(1,059
|
)
|
|
Amortization (2)
|
|
(11,232
|
)
|
|
(8,343
|
)
|
|
(929
|
)
|
|
(690
|
)
|
|
Impairment of property, plant and equipment
|
|
4
|
|
|
35
|
|
|
*
|
|
3
|
|
|
Share-based compensation costs
|
|
(1,637
|
)
|
|
(843
|
)
|
|
(135
|
)
|
|
(70
|
)
|
|
Net loss on sale of property, plant and equipment and intangible
assets
|
|
(142
|
)
|
|
(74
|
)
|
|
(12
|
)
|
|
(6
|
)
|
|
Restructuring costs
|
|
(622
|
)
|
|
—
|
|
|
(51
|
)
|
|
—
|
|
|
Non-recurring initial public offering costs
|
|
—
|
|
|
(166
|
)
|
|
—
|
|
|
(14
|
)
|
|
Net realized foreign exchange gains
|
|
—
|
|
|
(1,312
|
)
|
|
—
|
|
|
(104
|
)
|
|
Operating profit
|
|
59,181
|
|
|
61,112
|
|
|
4,895
|
|
|
5,055
|
|
|
Add: Finance income/(costs) - net
|
|
23,701
|
|
|
6,614
|
|
|
1,961
|
|
|
547
|
|
|
Less: Taxation
|
|
(30,771
|
)
|
|
(17,347
|
)
|
|
(2,545
|
)
|
|
(1,435
|
)
|
|
Profit for the period
|
|
52,111
|
|
|
50,379
|
|
|
4,310
|
|
|
4,167
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Includes depreciation of property, plant and
equipment (including in-vehicle devices).
|
|
(2) Includes amortization of intangible assets
(including product development costs).
|
|
* Amount less than $1,000
|
|
5. Reconciliation of Adjusted EBITDA margin to Profit for the
Period margin
|
|
|
|
Three months
ended
|
|
Three months
ended
|
|
|
|
March 31,
|
|
March 31,
|
|
|
2015
|
|
2014
|
|
|
|
Unaudited
|
|
Unaudited
|
|
Adjusted EBITDA margin
|
|
22.8
|
%
|
|
24.3
|
%
|
|
Add:
|
|
|
|
|
|
Net realized foreign exchange losses
|
|
1.6
|
%
|
|
—
|
|
|
Decrease in provision for restructuring costs
|
|
—
|
|
|
0.0
|
%
|
|
|
|
|
|
|
|
Less:
|
|
|
|
|
|
Depreciation
|
|
(4.6
|
%)
|
|
(3.7
|
%)
|
|
Amortization
|
|
(3.1
|
%)
|
|
(2.4
|
%)
|
|
Impairment of property, plant and equipment
|
|
0.0
|
%
|
|
0.0
|
%
|
|
Share-based compensation costs
|
|
(0.4
|
%)
|
|
(0.2
|
%)
|
|
Net loss on sale of property, plant and equipment and intangible
assets
|
|
(0.0
|
%)
|
|
(0.0
|
%)
|
|
Restructuring costs
|
|
(0.2
|
%)
|
|
—
|
|
|
Net realized foreign exchange gains
|
|
—
|
|
|
(0.4
|
%)
|
|
Operating profit margin
|
|
16.1
|
%
|
|
17.6
|
%
|
|
Add: Finance income/(costs) - net
|
|
6.5
|
%
|
|
1.9
|
%
|
|
Less: Taxation
|
|
(8.4
|
%)
|
|
(5.0
|
%)
|
|
Profit for the period margin
|
|
14.2
|
%
|
|
14.5
|
%
|
|
6. Other operating and financial data
|
|
|
|
|
|
|
|
|
|
|
|
South African Rand
|
|
United States Dollar
|
|
|
|
Three months
ended
|
|
Three months
ended
|
|
Three months
ended
|
|
Three months
ended
|
|
Figures are in thousands except for subscribers
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
March 31,
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
|
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Unaudited
|
|
Subscription revenue
|
|
266,292
|
|
232,609
|
|
22,025
|
|
19,239
|
|
Adjusted EBITDA
|
|
83,937
|
|
84,601
|
|
6,940
|
|
6,994
|
|
Cash and cash equivalents
|
|
945,381
|
|
830,449
|
|
78,191
|
|
68,685
|
|
Net cash
|
|
924,912
|
|
798,898
|
|
76,498
|
|
66,075
|
|
Capital expenditure incurred
|
|
30,573
|
|
31,925
|
|
2,529
|
|
2,640
|
|
Subscribers
|
|
512,344
|
|
450,502
|
|
512,344
|
|
450,502
|
|
For more information please visit our website at: www.mixtelematics.com
|
|
|
|
Mix Telematics Limited
|
|
(Incorporated in the Republic of South Africa)
|
|
(Registration number 1995/013858/06)
|
|
JSE share code: MIX NYSE code: MIXT ISIN: ZAE000125316
|
|
(“MiX Telematics” or “the Company” or “the Group”)
|
|
|
|
Registered office
|
|
Matrix Corner, Howick Close, Waterfall Park, Midrand
|
|
|
|
Directors
|
|
SR Bruyns* (Chairman), SB Joselowitz (CEO), EN Banda*, CH Ewing*, RA
Frew*, MJ Lamberti*, ML Pydigadu, CWR Tasker, AR Welton*
|
|
* Non-executive
|
|
|
|
Company secretary
|
|
Java Capital Trustees and Sponsors Proprietary Limited
|
|
|
|
Auditors
|
|
PricewaterhouseCoopers Inc.
|
|
|
|
Sponsor
|
|
Java Capital
|
|
|
|
May 26, 2015
|
Contact: