Wrap Text
Unaudited financial results for the six months ended 31 March 2019
INDLUPLACE PROPERTIES LIMITED
(Incorporated in the Republic of South Africa)
(Registration number: 2013/226082/06)
JSE share code: ILU ISIN: ZAE000201125
(Approved as a REIT by the JSE)
("Indluplace" or "the company" or "the group")
UNAUDITED FINANCIAL RESULTS
for the six months ended 31 March 2019
Nature of business
Indluplace is the only residential REIT listed on the main board of the JSE. In the almost four
years since listing it has grown its residential portfolio by 269% from 3 690 units to 9 933 units.
It is a focussed South African property fund operating mainly in the inner city area of the large
metropoles. Indluplace ensures that its growing portfolio remains professionally managed to
provide competitive investment returns while providing value for money accommodation to all
its customers.
Summarised distributable income analysis for the period ended:
UNAUDITED FOR UNAUDITED FOR AUDITED FOR
THE 6 MONTHS ENDED THE 6 MONTHS ENDED THE YEAR ENDED
R 31 MARCH 2019 31 MARCH 2018 30 SEPTEMBER 2018
Contractual rental income 265 246 288 282 522 683 563 481 852
Net property expenses (85 779 777) (77 624 882) (146 817 312)
Net property income 179 466 511 204 897 801 416 664 540
DISTRIBUTABLE INCOME
Amount available for distribution 120 477 201 154 738 052 311 483 183
Distributed for the six months ended:
6 months ended - 31 March 120 477 201 154 738 052 154 738 052
6 months ended - 31 September - - 156 745 131
Total distributions 120 477 201 154 738 052 311 483 183
DIVIDEND FOR HALF YEAR ENDED 31 MARCH AND YEAR ENDED 30 SEPTEMBER CENTS CENTS CENTS
6 months ended 31 March 37,49077 48,56125 48,56125
6 months ended 30 September - 49,19113
Total distributions per share 37,49077 48,56125 97,75238
Property expense ratio - net (%) 32,3 27,5 26,1
Net asset value per share (cents) 992,92 1 048,95 1 009,30
SHARES USED IN CALCULATION OF THE DIVIDEND FOR THE HALF YEAR ENDED:
31 March 321 351 669^ 318 645 117^ 318 645 117^
30 September - - 318 645 117^
^ - Per IFRS 2, 22 440 285 shares have been excluded from the number of shares in issue.
COMMENTARY
Revenue
Total revenue includes contractual rental income and expenditure that is recoverable from tenants. Revenue, excluding straight line rental income,
has decreased from R334,7 million at 31 March 2018 to R318,3 million at 31 March 2019. R16,0 million of the decrease relates to the non-renewal of
bulk leases at Highveld View, a property situated in Emalahleni. The balance of R0,4 million relates to lower escalations combined with the additional
rent specials necessary to fill the vacancies on the balance of the portfolio.
Property portfolio FOR THE SIX MONTHS ENDED FOR THE SIX MONTHS FOR THE YEAR ENDED
31 MARCH 2019 ENDED 31 MARCH 2018 30 SEPTEMBER 2018
Buildings 176 171 176
Residential (including student units) Units 9 933 9 662 9 788
Vacancy (%) 8,5 6,3 8,4
GLA - m 2
20 583 17 764 18 163
Retail
Vacancy (%) 1,0 1,5 0,7
RESIDENTIAL UNIT SPREAD % RESIDENTIAL UNIT CATEGORY % EXPOSURE TO HEAD / BULK LEASES %
Johannesburg suburbs 47 Rooms 7 No exposure 86
Johannesburg inner city 31 Bachelor 16 Vanderbijlpark 13
Pretoria/Midrand 10 One bed 20 Other 1
Witbank 5 Two bed 47
Vanderbijlpark 5 Three bed 8
Durban 1 Other 2
Bloemfontein 1
Total 100 Total* 100 Total 100
* Including student units housing 2 655 beds
Vacancies have increased from 6,3% at 31 March 2018, being the comparable reporting period, to 8,5% (5,7% excluding Highveld View) at 31 March 2019.
Vacancies are distorted by the increased vacancies at Highveld View from 8 units at 31 March 2018 to 282 units at 31 March 2019, impacted by the
reduction in employment at Eskom and the consequential non-renewal of bulk residential contracts with contractors.
Property expenses
Property expenses have increased by 7% from R129,8 million at 31 March 2018 to R138,9 million at 31 March 2019 as a result
of higher than inflationary municipal cost increases ranging between 6% and 14% combined with additional fees associated
with non-paying tenants. The net expense ratio of 32,3% is higher than that for previous years, as a result of the increased
municipal costs, combined with the distortion of the partly vacant Highveld View property.
Administration costs
Administration costs have increased from R7,4 million at 31 March 2018 to R9,9 million at 31 March 2019 as a result of increased
professional fees, audit fees, non-executive director fees and staff costs.
Finance income FOR THE 6 MONTHS FOR THE 6 MONTHS FOR THE YEAR ENDED
R ENDED 31 MARCH 2019 ENDED 31 MARCH 2018 30 SEPTEMBER 2018
Interest on share purchase and option scheme 8 913 438 10 263 766 20 627 583
Interest received on cash balances 926 134 4 342 174 6 716 799
Total 9 839 572 14 605 940 27 344 382
Finance income has decreased from R14,6 million for the six months ended 31 March 2018 to R9,8 million for the six months
ended 31 March 2019. The interest received on cash balances has decreased as a result of decreased cash on hand.
Finance charges FOR THE 6 MONTHS FOR THE 6 MONTHS FOR THE YEAR ENDED
R ENDED 31 MARCH 2019 ENDED 31 MARCH 2018 30 SEPTEMBER 2018
Interest paid on secured financial liabilities
and swaps 58 964 953 57 866 129 116 986 602
Interest paid on cash balances - 40 057 184 889
Total 58 964 953 57 906 186 117 171 491
Finance charges increased as a result of less money being deposited into the company's revolving access facilities due to the
need for specific capex projects.
Investment property
The increase in investment property relates to the
acquisition of two additional tranches comprising of 70
units each within the Golden Oaks development for
R56 million. The acquisition was funded with external debt.
Trade and other receivables
Trade and other receivables increased from R97,9 million
at 30 September 2018 to R115,2 million. Trade receivables
of R3,8 million are included in the 31 March 2019 balance,
and while this has increased from 30 September 2018, this
is down on the R4,8 million at 31 March 2018. The other
receivables amount includes R62,5 million of cash, held by
the company's property managers in their trust accounts.
The balance is made up of municipal deposits and the
interest element relating to the loans to participants of the
Indluplace share purchase and option scheme.
The Group applies the IFRS 9 simiplified approach to
measuring expected credit losses using a lifetime expected
credit loss provision for trade receivables. The adoption of
this new standard has not resulted in a significant effect on
the unaudited financial results.
Cash and cash equivalents
Cash and cash equivalents increased from R286 407 at
30 September 2018 to R2,3 million at 31 March 2019.
Secured financial liabilities and derivative instrument
Secured financial liabilities increased from R1,3 billion to R1,4 billion. The acquisition of the additional units in Golden Oaks was
funded by a joint ABSA Bank and Investec Bank facility. Cash in excess of R77 million has been placed in the access facilities.
Interest rates on the facilities are as follows:
MATURITY DRAWN BASE MARGIN
Standard Bank 01 September 2019 150 000 000 Prime less 1,26%
Standard Bank RCF 01 September 2019 27 000 000 Prime less 1,26%
ABSA Bank RCF 04 October 2020 22 853 514 Prime less 1,35%
Investec Bank RCF 04 October 2020 22 853 514 Prime less 1,35%
ABSA Bank 3 year 04 October 2020 342 802 157 3 month JIBAR plus 2,05%
Investec Bank 3 year 04 October 2020 342 802 157 3 month JIBAR plus 2,05%
ABSA Bank 5 year 04 October 2022 257 091 763 3 month JIBAR plus 2,20%
Investec Bank 5 year 04 October 2022 257 091 763 3 month JIBAR plus 2,20%
1 422 494 867
Hedging/SWAPS NATIONAL FIXED RATE
Standard Bank 3 year 150 000 000 10,11%
ABSA Bank 3 year 275 025 021 7,14%
Investec Bank 3 year 275 025 021 7,14%
ABSA Bank 3 year 28 484 987 7,35%
Investec Bank 3 year 28 484 987 7,35%
ABSA Bank 5 year 144 979 382 7,7%
Investec Bank 5 year 144 979 382 7,7%
1 046 978 780
Drawn debt fixed at year end: 73,8%
Average cost of debt at year end: 9,5%
Trade and other payables
Trade and other payables decreased from R77,3 million to R71,7 million for the six month period ending 31 March 2019. Trade
payables and accruals of R15,9 million, prepayment of tenant rentals of R17,9 million and deposits from tenants amounting to
R37,9 million are included in the aforesaid balance.
Changes in directorate
As published on SENS on 8 February 2019 as part of the Group's
ongoing commitment to good governance, Mark Kaplan has
resigned as an executive director of Indluplace with effect from
7 February 2019. Imraan Suleman will remain on the board (as a
non- executive director) but has stepped down from his role as
an executive director of the company, also with effect from
7 February 2019. Yondela Silimela resigned as an independent
non-executive director with effect from 30 April 2019 as she is
relocating abroad.
Prospects
The board acknowledges the difficult environment in which
Indluplace operates. Conditions foreseen at the beginning
of the financial year in October 2018 have turned out to be
considerably worse than anticipated. While vacancies have
been kept largely under control, this has come at substantial
costs in terms of low escalations and costly incentives.
Tenants are under increasing pressure with low salary
increases and rising cost of living expenses. This, together
with the year on year impact of the large vacancies at
Highveld View, has resulted in an interim dividend of
37,49 cents per share, substantially lower than the comparable
2018 interim dividend. Whilst management expects conditions
to remain tough over the second half of the year, the company
expects an improved performance based on the building
specific strategies that have been implemented, the increased
head office team, the continued letting at Highveld View
combined with the historical seasonality experienced in the
residential sector. As a result, dividends per share for the
year ending 30 September 2019 are expected to be down by
approximately 20%, when compared to the prior year.
This forecast has not been reviewed or reported on by
the company's auditors. Given the nature of its business,
Indluplace uses dividend per share as its key performance
measure as it is considered a more relavant performance
meausure than earnings or headline earnings per share.
Payment of dividend for the 6 months ended 31 March 2019
The board of directors has declared a gross dividend of
37,49077 cents per share (dividend number 13) for the
six months ended 31 March 2019, in accordance with the
timetable set out below:
2019
Last date to trade cum dividend Tuesday, 4 June
Shares trade ex dividend Wednesday, 5 June
Record date Friday, 7 June
Payment date Monday, 10 June
Shares may not be dematerialised or rematerialised
between Wednesday, 5 June 2019 and Friday, 7 June 2019,
both days inclusive.
Payment of the dividend will be made to shareholders
on Monday, 10 June 2019. In respect of dematerialised
shares, the dividend will be transferred to the CSDP/
broker accounts on Monday, 10 June 2019. Certificated
shareholders' dividend payment will be deposited on or
about Monday, 10 June 2019.
Tax treatment of dividend
In accordance with Indluplace's status as a REIT,
shareholders are advised that the dividend meets the
requirements of a "qualifying distribution" for the purposes
of section 25BB of the Income Tax Act, No. 58 of 1962
("Income Tax Act"). The distribution on shares will be
deemed to be a dividend, for South African tax purposes, in
terms of section 25BB of the Income Tax Act. The dividend
received by or accrued to South African tax residents
must be included in the gross income of such shareholders
and will not be exempt from income tax (in terms of the
exclusion to the general dividend exemption, contained
in paragraph (aa) of section 10(1)(k)(i) of the Income Tax
Act) because they are dividends distributed by a REIT. This
dividend is, however, exempt from dividends withholding
tax in the hands of South African tax resident shareholders,
provided that the South African resident shareholders
provided the following forms to their Central Securities
Depository Participant ("CSDP") or broker, as the case may
be, in respect of uncertificated shares, or the company, in
respect of certificated shares:
a) a declaration that the dividend is exempt from dividends
tax; and
b) a written undertaking to inform the CSDP, broker or the
company, as the case may be, should the circumstances
affecting the exemption change or the beneficial owner
cease to be the beneficial owner,
both in the form prescribed by the Commissioner for the
South African Revenue Service. Shareholders are advised
to contact their CSDP, broker or the company, as the case
may be, to arrange for the abovementioned documents
to be submitted prior to payment of the dividend, if such
documents have not already been submitted. Dividends
received by non-resident shareholders will not be taxable
as income and instead will be treated as ordinary dividends
which are exempt from income tax in terms of the general
dividend exemption in section 10(1)(k)(i) of the Income Tax
Act. Any dividend received by a non-resident from a REIT
is subject to dividends withholding tax at 20%, unless the
rate is reduced in terms of any applicable agreement for
the avoidance of double taxation ("DTA") between South
Africa and the country of residence of the shareholders.
Assuming dividend withholding tax will be withheld at a
rate of 20%, the net dividend amount due to non-resident
shareholders is 29,99262 cents per share. A reduced
dividend withholding rate in terms of the applicable DTA,
may only be relied on if the non-resident shareholders have
provided the following forms to their CSDP or broker, as the
case may be, in respect of uncertificated shareholders, or
the company, in respect of certificated shareholders:
a) a declaration that the dividend is subject to a reduced
rate as a result of the application of a DTA; and
b) a written undertaking to inform their CSDP, broker or
the company, as the case may be, should the circumstances
affecting the reduced rate change or the beneficial owner
cease to be the beneficial owner,
both in the form prescribed by the Commissioner for the
South African Revenue Service. Non-resident shareholders
are advised to contact their CSDP, broker or the company,
as the case may be, to arrange for the abovementioned
documents to be submitted prior to payment of the
dividend if such documents have not already been
submitted, if applicable.
Shares in issue at the date of declaration of this dividend:
343 791 954
Indluplace's income tax reference number: 9390/649/177
Dividend declaration after reporting date
In line with IAS 10 Events after the Reporting Period, the
declaration of the dividend occurred after the end of the
reporting period, resulting in a non-adjusting event which is
not recognised in the financial statements.
Litigation statement
There are no legal or arbitration proceedings, including
any proceedings that are pending or threatened, of which
Indluplace is aware, that may have or have had in the recent
past, being the previous 12 months, a material effect on the
group's financial position.
Basis of preparation
The unaudited interim group financial statements for the six months ended
31 March 2019 have not been reviewed or reported on by the company's
independent auditors, BDO South Africa Incorporated. The financial
statements have been prepared in accordance with the requirements of
International Financial Reporting Standards, the SAICA Financial Reporting
Guides as issued by the Financial Practices Committee and the Financial
Reporting pronouncement as issued by the Financial Reporting Standard
Council, IAS 34: Interim Financial Reporting, the JSE Listings Requirements and
the requirements of the South African Companies Act, 2008. The accounting
policies are consistent with those of the audited results for the year ended
30 September 2018 except for the first time adoption of IFRS 9 and IFRS 15.
These results have been prepared under the supervision of Terry Kaplan CA
(SA), Indluplace's Financial Director.
Condensed consolidated statement of comprehensive income
FOR THE 6 MONTHS ENDED 31 MARCH 2019
UNAUDITED FOR UNAUDITED FOR AUDITED FOR
THE 6 MONTHS ENDED THE 6 MONTHS ENDED THE YEAR ENDED
R 31 MARCH 2019 31 MARCH 2018 30 SEPTEMBER 2018
PROPERTY PORTFOLIO REVENUE
Contractual rental income 265 246 288 282 552 683 563 481 852
Recoveries 53 086 330 52 167 572 106 293 266
Straight line rental income accrual - - 2 774 044
Total revenue 318 332 618 334 720 255 672 549 162
Operating costs (138 866 107) (129 792 454) (253 110 578)
Administration costs (9 863 929) (7 399 896) (15 864 641)
Net operating profit 169 602 582 197 527 905 403 573 943
Changes in fair values (8 219 217) (10 826 641) (141 851 379)
Profit from operations 161 383 365 186 701 264 261 722 564
Net finance income (49 125 381) (43 300 246) (89 827 109)
Finance charges (58 964 953) (57 906 186) (117 171 491)
Interest received 9 839 572 14 605 940 27 344 382
Profit before taxation 112 257 984 143 401 018 171 895 455
Taxation - - -
Total comprehensive income for the period 112 257 984 143 401 018 171 895 455
RECONCILIATION OF EARNINGS, HEADLINE EARNINGS
Profit for the year attributable to equity holders 112 257 984 143 401 018 171 895 455
Change in fair value of properties - - 148 337 819
Headline profit attributable to equity holders 112 257 984 143 401 018 320 233 274
Number of shares in issue at period end^ 321 351 669 318 645 117 318 645 019
Number of shares in issue used for the calculation of
dividend per share (last quarter)^ 321 351 669 318 645 117 318 645 019
Weighted average number of shares in issue used for the
calculation of earnings and headline earnings per share^ 318 507 028 317 307 598 317 646 864
Basic and diluted earnings per share (cents) 35,25 45,19 54,12
Headline and diluted headline earnings per share (cents) 35,25 45,19 100,81
Dividends per share (cents) 37,49 48,56 97,75
^ - Per IFRS 2, 22 440 285 shares have been excluded from the number of shares in issue.
Condensed consolidated statement of financial position
AS AT 31 MARCH 2019
UNAUDITED FOR UNAUDITED FOR AUDITED FOR
THE 6 MONTHS ENDED THE 6 MONTHS ENDED THE YEAR ENDED
R 31 MARCH 2019 31 MARCH 2018 30 SEPTEMBER 2018
ASSETS
Non-current assets 4 572 079 632 4 615 932 614 4 483 743 613
Investment property 4 344 455 224 4 406 592 316 4 270 425 689
Fair value of investment property portfolio for accounting purposes 4 338 430 866 4 403 342 002 4 264 401 331
Straight line rental income accrual 6 024 358 3 250 314 6 024 358
Computer software 97 620 177 334 184 504
Loans to participants of Indluplace share purchase and option scheme 227 526 788 209 162 964 208 526 646
Derivative instruments - - 4 606 774
Current assets 117 547 077 138 077 238 98 184 154
Trade and other receivables 115 241 520 133 678 368 97 897 747
Cash and cash equivalents 2 305 557 4 398 870 286 407
Total assets 4 689 626 709 4 754 009 852 4 581 927 767
EQUITY AND LIABILITIES
Shareholders' interest 3 190 077 261 3 342 441 976 3 216 099 141
Stated capital 3 051 853 350 3 033 288 346 3 033 167 513
Retained income 118 230 444 289 160 163 162 938 161
Share based payment reserve 19 993 467 19 993 467 19 993 467
Other non-current liabilities 1 250 840 193 1 310 387 193 1 136 849 338
Secured financial liabilities 1 245 494 867 1 295 948 003 1 136 849 338
Derivative instruments 5 345 326 14 439 190 -
Current liabilities 248 709 255 101 180 683 228 979 288
Trade and other payables 71 709 255 101 180 683 77 246 405
Derivative instruments - - 1 732 883
Secured financial liabilities 177 000 000 - 150 000 000
Total equity and liabilities 4 689 626 709 4 754 009 852 4 581 927 767
Number of shares in issue^ 321 351 669 318 645 117 318 645 019^
Net asset value per ordinary share (cents) 992,71 1 048,96 1 009,30
^ - Per IFRS 2, 22 440 285 shares have been excluded from the number of shares in issue.
Statement of changes in equity
FOR THE 6 MONTHS ENDED 31 MARCH 2019
SHARE BASED
R STATED CAPITAL RETAINED INCOME PAYMENT RESERVES TOTAL
Balance at 30 September 2017 2 755 180 753 223 610 815 - 2 978 791 568
Issue of shares 286 716 198 - - 286 716 198
Share buy-backs (8 729 438) - - (8 729 438)
Total comprehensive income for the 6 months - 143 401 018 - 143 401 018
Share based payments - - 19 993 467 19 993 467
Dividends - (77 830 057) - (77 830 057)
Balance at 31 March 2018 3 033 167 513 289 181 776 19 993 467 3 342 342 756
Total comprehensive income for the year - 28 491 437 - 28 491 437
Dividends - (154 738 052) - (154 738 052)
Balance at 30 September 2018 3 033 167 513 162 935 161 19 993 467 3 216 096 141
Issue of shares 18 685 837 - - 18 685 837
Total comprehensive income for the year - 112 257 984 - 112 257 984
Dividends - (156 962 701) - (156 962 701)
Balance at 31 March 2019 3 051 853 350 118 230 444 19 993 467 3 190 077 261
Consolidated statement of cash flow
FOR THE 6 MONTHS ENDED 31 MARCH 2019
UNAUDITED UNAUDITED AUDITED
FOR THE 6 MONTHS ENDED FOR THE 6 MONTHS ENDED FOR THE YEAR ENDED
R 31 MARCH 2019 31 MARCH 2018 30 SEPTEMBER 2018
Net cash generated from utilised in operating activities (59 282 539) 47 375 165 61 460 477
Cash generated from operations 146 805 543 168 505 468 383 855 695
Dividend paid (156 962 701) (77 830 057) (232 568 109)
Finance charges paid (58 964 953) (57 906 186) (117 171 491)
Finance income received 9 839 572 14 605 940 27 344 382
Net cash utilised in investment activities (74 029 535) (1 301 661 591) (1 310 438 501)
Net acquisition and additions to investment property (74 029 535) (1 301 640 750)* (1 312 383 136)*
Net acquisition of computer software - (20 841) (50 900)
Proceeds from disposal of assets - - 1 995 535
Net cash generated from financing activities 135 331 224 1 217 737 201 1 208 316 336
Share issue costs paid (314 305) 130 114 216* 130 004 613*
Proceeds from secured financial liabilities 135 645 529 1 239 348 825 1 210 041 161
Share buy-backs - (8 725 840) (8 729 438)
Repayment of secured financial liabilities - (143 000 000) (123 000 000)
Net movement in cash and cash equivalents 2 019 150 (36 549 225) (40 661 688)
Cash and cash equivalents at the beginning of the period 286 407 40 948 095 40 948 095
Cash and cash equivalents at the end of the period 2 305 557 4 398 870 286 407
* Excludes the non-cash flow effects of the 14 495 938 vendor shares that were issued at R9,65 to part fund the Buffet acquisition
amounting to R139 885 802.
Condensed consolidated segmental analysis
The entity has four reportable segments based on the geographic split of the country which are the entity's strategic business segments.
For each strategic business segment, the entity's executive directors review internal management reports on a monthly basis. All segments
are located in South Africa. There are no single major tenants. The following summary describes the operations in each of the entity's
reportable segments.
UNAUDITED FOR THE 6 MONTHS ENDED 31 MARCH 2019
R GAUTENG FREE STATE MPUMALANGA KWAZULU-NATAL TOTAL
PROPERTY PORTFOLIO REVENUE
Rental income and recoveries 309 147 418 1 629 076 4 459 462 3 096 662 318 332 618
Straight line rental income accrual - - - - -
Total revenue 309 147 418 1 629 076 4 459 462 3 096 662 318 332 618
Operating costs (133 329 063) (529 321) (3 216 772) (1 790 951) (138 866 107)
175 818 355 1 099 755 1 242 690 1 305 711 179 466 511
Administration costs (9 863 929)
Net operating profit 169 602 582
Changes in fair values (8 219 217)
Profit from operations 161 383 365
Net finance (charges)/income (49 125 381)
Finance charges (58 964 953)
Finance income 9 839 572
Profit before taxation 112 257 984
Taxation -
Total comprehensive income for the period 112 257 984
Reportable segment assets 4 041 902 368 26 770 615 252 911 417 51 356 229 4 372 940 629
Corporate segment assets 316 686 080
Reportable segment liabilities (26 470 567) (437 642) (4 559 872) (1 910 656) (33 378 737)
Corporate segment liabilities (1 466 170 711)
4 015 431 801 26 332 973 248 351 545 49 445 573 3 190 077 261
UNAUDITED FOR THE 6 MONTHS ENDED 31 MARCH 2018
R GAUTENG FREE STATE MPUMALANGA KWAZULU-NATAL TOTAL
PROPERTY PORTFOLIO REVENUE
Rental income and recoveries 309 511 233 1 576 359 20 462 512 3 170 151 334 720 255
Straight line rental income accrual - - - - -
Total revenue 309 511 233 1 576 359 20 462 512 3 170 151 334 720 255
Operating costs (123 942 850) (434 218) (3 980 660) (1 434 726) (129 792 454)
185 568 383 1 142 141 16 481 852 1 735 425 204 927 801
Administration costs (7 399 896)
Net operating profit 197 527 905
Changes in fair values (10 826 641)
Profit from operations 186 701 264
Net finance (charges)/income (43 300 246)
Finance charges (57 906 186)
Finance income 14 605 940
Profit before taxation 143 401 018
Taxation -
Total comprehensive income for the period 143 401 018
Reportable segment assets 4 143 982 806 25 158 554 328 075 660 44 405 468 4 541 622 488
Corporate segment assets 212 387 364
Reportable segment liabilities (90 115 581) (1 300 697) (8 494 907) (1 269 498) (101 180 683)
Corporate segment liabilities (1 310 387 193)
4 053 867 225 23 857 857 319 580 753 43 135 970 3 342 441 976
AUDITED FOR THE YEAR ENDED 30 SEPTEMBER 2018
R GAUTENG FREE STATE MPUMALANGA KWAZULU-NATAL TOTAL
PROPERTY PORTFOLIO REVENUE
Rental income and recoveries 623 328 763 3 254 707 35 604 831 7 586 817 669 775 118
Straight line rental income accrual 2 774 043 - - - 2 774 043
Total revenue 626 102 806 3 254 707 35 604 831 7 586 817 672 549 161
Operating costs (238 706 026) (974 552) (9 906 689) (3 523 311) (253 110 578)
387 396 780 2 280 155 25 698 142 4 063 506 419 438 583
Administration costs (15 864 641)
Net operating profit 403 573 942
Changes in fair values (141 851 379)
Profit from operations 261 722 563
Net finance (charges)/income (89 827 109)
Finance charges 27 344 382
Finance income (117 171 491)
Profit before taxation 171 895 454
Taxation -
Total comprehensive income for the period 171 895 454
Reportable segment assets 3 985 836 536 26 770 615 255 188 416 50 326 978 4 318 122 545
Corporate segment assets 263 805 223
Reportable segment liabilities (26 470 567) (1 990 400) (7 206 249) (1 772 465) (37 439 681)
Corporate segment liabilities (1 328 388 944)
3 959 365 969 24 780 215 247 982 167 48 554 513 3 216 099 143
UNAUDITED FOR UNAUDITED FOR AUDITED FOR
THE 6 MONTHS ENDED THE 6 MONTHS ENDED THE YEAR ENDED
R 31 MARCH 2019 31 MARCH 2018 30 SEPTEMBER 2018
RECONCILIATION OF COMPREHENSIVE INCOME FOR THE PERIOD TO DISTRIBUTABLE EARNINGS
Total comprehensive income for the period 112 257 984 143 401 018 171 895 455
Change in fair value of derivative instruments 8 219 217 10 826 641 (6 486 440)
Change in fair value of properties - - 148 337 819
Straight line rental income accrual - - (2 774 044)
Deferred tax thereon - - -
Antecedent dividends - 510 393 510 393
Amount available for distribution 120 477 201 154 738 052 311 483 183
RECONCILIATION OF AMOUNT AVAILABLE FOR DISTRIBUTION FOR THE SIX MONTHS
Amounts available for distribution to shareholders 120 477 201 154 738 052 311 483 183
31 March - - (154 738 052)
Amount available for distribution for the six months/year ended: 120 477 201 154 738 052 156 745 131
Dividend per share (cents) 37,49 48,56 97,75
By order of the Board
9 May 2019
Directors
T Adler (Chairperson)*, C Abrams*^, C de Wit (CEO), T Kaplan (FD),
G Kinross*^ (Lead independent director), S Noik*, A Rehman*^, I Suleman*.
*Non-executive, ^ Independent. All directors are South African.
Registered office
3rd Floor, 1 Sturdee Avenue, Rosebank, Johannesburg, 2196
PO Box 685, Melrose Arch, 2076.
Transfer secretaries
Computershare Investor Services Proprietary Limited
Sponsor
Java Capital
Company secretary
CIS Company Secretaries Proprietary Limited
www.indluplace.co.za
Date: 09/05/2019 07:05:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE').
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