Interim Results- Part 2

Jardine Matheson Hldgs Ld 30 July 2003 ------------------------------------------------------------------------ Jardine Matheson Holdings Limited Notes ------------------------------------------------------------------------ 1. Accounting Policies and Basis of Preparation The unaudited interim condensed financial statements have been prepared in accordance with IAS 34 - Interim Financial Reporting. There have been no changes to the accounting policies described in the 2002 annual financial statements. As in 2002, the Group is required to account for leasehold land in respect of investment and other properties at amortized cost in order to comply with IFRS. This treatment does not reflect the generally accepted accounting practice in the territories in which the Group has significant leasehold interests, nor how management measures the performance of the Group. Accordingly, the Group has presented supplementary financial information on pages 10 to 14 and pages 17 to 18 prepared in accordance with IFRS as modified by the revaluation of leasehold properties. The Directors continue to review the appropriateness of the Group's accounting policies and disclosures in the light of developments in IFRS. The Group's reportable segments are set out in note 2 and are described on pages 5 to 9. 2. Revenue Prepared in accordance with IFRS Six months ended 30th June 2003 2002 US$m US$m --------------------------------- By business: Jardine Pacific 580 774 Jardine Motors Group 954 1,047 Dairy Farm 1,660 1,802 Mandarin Oriental 90 112 Cycle & Carriage 916 - Other activities 1 - -------- -------- 4,201 3,735 -------- -------- 3. Operating Profit Prepared in accordance with IFRS Six months ended 30th June 2003 2002 US$m US$m --------------------------------- By business: Jardine Pacific 13 15 Jardine Motors Group 28 13 Dairy Farm 46 24 Mandarin Oriental 7 23 Cycle & Carriage 32 - -------- -------- 126 75 Discontinued operation - Woolworths in Dairy Farm - 16 Net profit on disposal of Woolworths in Dairy Farm - 225 Corporate and other interests (21) (3) -------- -------- 105 313 -------- -------- 4. Share of Results and Associates and Joint Ventures Prepared in accordance with IFRS Six months ended 30th June 2003 2002 US$m US$m --------------------------------- By business: Jardine Pacific 30 38 Jardine Motors Group 7 6 Jardine Lloyd Thompson 26 24 Hongkong Land 22 21 Dairy Farm 7 15 Mandarin Oriental 2 7 Cycle & Carriage 128 42 -------- -------- 222 153 Decrease in fair value of investment properties - (3) -------- -------- 222 150 -------- -------- 5. Tax Prepared in accordance with IFRS Six months ended 30th June 2003 2002 US$m US$m --------------------------------- Company and subsidiary undertakings 24 24 Associates and joint ventures 59 44 -------- -------- 83 68 -------- -------- Tax on profits has been calculated at rates of taxation prevailing in the territories in which the Group operates and includes United Kingdom tax of US$8 million (2002: US$6 million). 6. Earnings Per Share Basic earnings per share are calculated on net profit of US$88 million (2002: US$195 million) and on the weighted average number of 367 million (2002: 378 million) shares in issue during the period. The weighted average number excludes the Company's share of the shares held by subsidiary undertakings and the shares held by the Trustee under the Senior Executive Share Incentive Schemes. Diluted earnings per share are calculated on the weighted average number of 369 million (2002: 379 million) shares after adjusting for the number of shares which are deemed to be issued for no consideration under the Senior Executive Share Incentive Schemes based on the average share price during the period. Additional basic and diluted earnings per share reflecting the revaluation of leasehold properties are calculated on net loss of US$200 million (2002: net profit of US$32 million) as shown in the supplementary financial information. Additional basic and diluted earnings per share are also calculated based on underlying earnings. The difference between underlying net profit and net profit/(loss) is reconciled as follows: Prepared in accordance with Prepared in accordance IFRS as modified by revaluation with IFRS of leasehold properties Six months ended 30th June Six months ended 30th June 2002 2003 2003 2002 US$m US$m US$m US$m ---------------------------- ---------------------------- 101 113 Underlying net profit 122 109 Decrease in fair value of investment properties ------- ------- ------- ------- - - - Hongkong Land (310) (189) (1) (2) - other (2) (1) ------- ------- ------- ------- (1) (2) (312) (190) Discontinued operation ------- ------- ------- ------- - net profit of Woolworths in 5 - Dairy Farm - 5 - net profit on disposal of 119 - Woolworths in Dairy Farm - 119 ------- ------- ------- ------- 124 - - 124 Sale and closure of businesses ------- ------- ------- ------- (14) - - Cica - (14) 3 1 - other 1 3 ------- ------- ------- ------- (11) 1 1 (11) Asset impairment ------- ------- ------- ------- (18) (13) - Hongkong Land - - (2) (7) - other (7) (2) ------- ------- ------- ------- (20) (20) (7) (2) Fair value (loss)/gain on conversion option component of 4.75% 3 (7) Guaranteed Bonds due 2007 (7) 3 ' - 3 Gain on restructuring of debt 3 - (1) - Realization of exchange losses* - (1) ------- ------- ------- ------- 195 88 Net profit/(loss) (200) 32 ------- ------- ------- ------- * Arising on repatriation of capital from foreign subsidiary undertakings, associates and joint ventures. 7. Dividends Prepared in accordance with IFRS Six months ended 30th June 2003 2002 US$m US$m ----------------------------------- Final dividend in respect of 2002 of USc22.20 (2001: USc18.70) per share 136 115 Less Company's share of dividends paid on the shares held by subsidiary undertakings (54) (44) -------- -------- 82 71 -------- -------- An interim dividend in respect of 2003 of USc7.80 (2002: USc7.80) per share amounting to a total of US$48 million (2002: US$48 million) is declared by the Board. The net amount after deducting the Company's share of the dividends payable on the shares held by subsidiary undertakings of US$19 million (2002: US$19 million) will be accounted for as an appropriation of revenue reserves in the year ending 31st December 2003. 8. Notes to Consolidated Cash Flow Statement Prepared in accordance with IFRS Six months ended 30th June 2003 2002 (a) Purchase of subsidiary undertakings US$m US$m ----------------------------------- Purchase of shares in Jardine Strategic - 37 Purchase of shares in Mandarin Oriental 7 17 Repurchase of own shares in Dairy Farm 178 130 Store acquisitions in Dairy Farm 27 - Other 5 10 -------- -------- 217 194 -------- -------- (b) Purchase of associates and joint ventures in the six months ended 30th June 2003 included Cycle & Carriage's increased interest in Astra of US$87 million. Purchase of associates and joint ventures in the six months ended 30th June 2002 included investment in Mandarin Oriental, New York of US$15 million. Prepared in accordance with IFRS Six months ended 30th June 2003 2002 (c) Sale of subsidiary undertakings US$m US$m ----------------------------------- Goodwill 2 2 Tangible assets 9 143 Associates and joint ventures 1 2 Other investments - 1 Deferred tax assets - 8 Pension assets 3 - Current assets 65 192 Current liabilities (46) (151) Long-term borrowings - (65) Deferred tax liabilities (1) (4) Other non-current liabilities - (7) Outside interests - (1) -------- -------- Net assets disposed of 33 120 Cumulative exchange translation differences - 14 (Loss)/profit on disposal (2) 212 -------- -------- Sale proceeds 31 346 Adjustment for accrual of disposal costs and deferred consideration - 4 Adjustment for carrying value in other investments (20) - Cash and cash equivalents of subsidiary undertakings disposed of (1) 3 -------- -------- Net cash inflow 10 353 -------- -------- Net cash inflow in 2003 of US$10 million included Jardine Motors Group's sale of dealerships in the United Kingdom of US$8 million. Net cash inflow in 2002 of US$353 million included Jardine Motors Group's sale of Cica of US$72 million and Dairy Farm's sale of Woolworths, New Zealand of US$274 million. (d) Sale of other investments in the six months ended 30th June 2003 included a distribution from Edaran Otomobil Nasional of US$36 million following its asset divestment in 2002. 9. Capital Commitments and Contingent Liabilities At 31st At 30th June December 2003 2002 2002 US$m US$m US$m --------------------------- (a) Capital commitments 229 200 198 ------- ------- ------- (b) Contingent liabilities - guarantees in respect of facilities made available to associates and joint ventures 115 124 116 - other guarantees - 5 - ------- ------- ------- Various Group companies are involved in litigation arising in the ordinary course of their respective businesses. Having reviewed outstanding claims and taking into account legal advice received, the Directors are of the opinion that adequate provisions have been made in the financial statements. The interim dividend of USc7.80 per share will be payable on 15th October 2003 to shareholders on the register of members at the close of business on 22nd August 2003, and will be available in cash with a scrip alternative. The ex-dividend date will be on 20th August 2003, and the share registers will be closed from 25th to 29th August 2003, inclusive. Shareholders will receive their cash dividends in United States Dollars, unless they are registered on the Jersey branch register where they will have the option to elect for Sterling. These shareholders may make new currency elections by notifying the United Kingdom transfer agent in writing by 25th September 2003. The Sterling equivalent of dividends declared in United States Dollars will be calculated by reference to a rate prevailing on 2nd October 2003. Shareholders holding their shares through The Central Depository (Pte) Limited ('CDP') in Singapore will receive United States Dollars unless they elect, through CDP, to receive Singapore Dollars or the scrip alternative. - end - For further information, please contact: Jardine Matheson Limited Norman Lyle (852) 2843 8216 Matheson & Co Limited Martin Henderson (44) 20 7816 8135 Golin/Harris Forrest Katherine Wang (852) 2501 7984 Weber Shandwick Square Mile Richard Hews/ Christian San Jose (44) 20 7067 0700 This and other Group announcements can be accessed through the Internet at 'www.jardines.com'. With reference to the rights issue of ordinary shares announced by Cycle & Carriage Limited on 29th July 2003, these materials are not an offer of securities for sale into the United States. The securities may not be offered or sold in the United States unless they are registered or exempt from registration and any public offering of securities to be made in the United States will be made by means of a prospectus that may be obtained from the issuer and that will contain detailed information about the issuer and management, as well as financial statements. Note to Editors The Jardine Matheson Group With its broad portfolio of market-leading businesses, the Jardine Matheson Group is an Asian-based conglomerate with extensive experience in the region. Its business interests include Jardine Pacific, Jardine Motors Group, Hongkong Land, Dairy Farm, Mandarin Oriental, Cycle & Carriage and Jardine Lloyd Thompson. These companies are leaders in the fields of engineering and construction, consumer marketing, motor trading, property, retailing, hotels and insurance broking. The Group's strategy is to build its operations into market leaders across Asia Pacific, each with the support of Jardine Matheson's extensive knowledge of the region and its long-standing relationships. Through a balance of cash producing activities and investment in new businesses, the Group aims to produce sustained growth in shareholder value. Incorporated in Bermuda, Jardine Matheson has its primary share listing in London, with secondary listings in Singapore and Bermuda. It has a sponsored American Depositary Receipt programme. Jardine Matheson Limited operates from Hong Kong and provides management services to Group companies, making available senior management and providing financial, legal, human resources and treasury support services throughout the Group. This information is provided by RNS The company news service from the London Stock Exchange

Companies

Jardine Matheson Holdings Ltd (Singapore Reg) (JAR)
UK 100
FTSE quotes by TradingView

Latest directors dealings

All directors dealings today