REG - Jardine Strategic Jardine Matheson Hdg - JC&C 2019 Third Quarter Financial Statements
RNS Number : 3905SJardine Strategic Hldgs Ltd06 November 2019
To: Business Editor 6th November 2019
For immediate release
Jardine Cycle & Carriage Limited
2019 Third Quarter Financial Statements and Dividend Announcement
The following announcement was issued today by the Company's 75%-owned subsidiary, Jardine Cycle & Carriage Limited.
For further information, please contact:
Jardine Matheson Limited
Jonathan Lloyd
(852) 2843 8223
Brunswick Group Limited
Ben Fry
(65) 6426 8103
6th November 2019
JARDINE CYCLE & CARRIAGE LIMITED
2019 THIRD QUARTER FINANCIAL STATEMENTS AND DIVIDEND ANNOUNCEMENT
Highlights
· Underlying profit of US$614 million
· Lower contribution from Astra primarily due to a weaker automotive market and lower commodity prices
· Direct Motor Interests impacted by increased competition in Vietnam
· Stable contribution from Other Strategic Interests
"Jardine Cycle & Carriage reported underlying profit of US$614 million for the first nine months of 2019, 9% lower than last year. This was due primarily to lower contributions from Astra in Indonesia and Truong Hai Auto Corporation in Vietnam. Astra is expected to continue to be affected by relatively weak domestic consumption and low commodity prices for the remainder of the year, while benefiting from an improved contribution from financial services and its gold mine operations. JC&C's Direct Motor Interests are expected to continue to face challenging market conditions, while the contribution from Other Strategic Interests is expected to be stable."
Ben Keswick, Chairman
Group Results
Nine months ended 30th September
2019
US$m
Restated†
2018
US$m
Change
%
2019
S$m
Revenue
13,909
13,984
-1
18,991
Underlying profit attributable to
shareholders #
614
674
-9
838
Non-trading items^
115
(300)
nm
157
Profit attributable to shareholders
729
374
95
995
US¢
US¢
S¢
Underlying earnings per share #
155
170
-9
212
Earnings per share
184
95
95
252
Interim dividend per share
18
18
-
25
At
30.9.2019
At
31.12.2018
At
30.9.2019
US$m
US$m
S$m
Shareholders' funds
6,626
6,144
8
9,156
US$
US$
S$
Net asset value per share
16.77
15.55
8
23
The exchange rate of US$1 =S$1.38 (31st December 2018: US$1=S$1.37) was used for translating assets and liabilities at the balance sheet date and US$1=S$1.37 (30th September 2018: US$1=S$1.34) was used for translating the results for the period. The financial results for the nine months ended 30th September 2019 and 30th September 2018 have been prepared in accordance with International Financial Reporting Standards and have not been audited or reviewed by the auditors.
† The accounts have been restated due to changes in accounting policies upon adoption of IFRS 16 Leases, as set out in Note 1 to the condensed financial statements.
# The Group uses 'underlying profit attributable to shareholders' in its internal financial reporting to distinguish between ongoing business performance and non-trading items, as more fully described in Note 4 to the condensed financial statements. Management considers this to be a key performance measurement which enhances the understanding of the Group's underlying business performances.
^ Included in 'non-trading items' are unrealised gain/losses arising from the revaluation of the Group's equity investments.
CHAIRMAN'S STATEMENT
Overview
The performance of Jardine Cycle & Carriage ("JC&C" or "the Group") in the first nine months of 2019 reflected the challenging conditions faced by Astra and Truong Hai Auto Corporation ("Thaco").
The Group's revenue was 1% lower than the comparable period in 2018 at US$13.9 billion and its underlying profit attributable to shareholders was 9% lower at US$614 million. Underlying earnings per share were also down 9% at US¢155. Profit attributable to shareholders increased significantly to US$729 million, due to net non-trading gains of US$115 million from unrealised fair value gains related to non-current investments. For the same period in 2018, there were net non-trading losses of US$300 million from unrealised fair value losses on these investments. Earnings per share were US¢184, compared with US¢95 last year.
The Group's consolidated net debt, excluding Astra's financial services subsidiaries, was US$2.8 billion at the end of September 2019, compared to US$2.2 billion at the end of 2018. The increase was largely due to Astra's additional investments in the Surabaya-Mojokerto toll road and Gojek, as well as capital expenditure in its mining contracting business, and additional investment by JC&C in Thaco. Net debt of US$3.3 billion within Astra's financial services subsidiaries was unchanged from December 2018. JC&C parent company's net debt was US$1.5 billion, compared with US$1.3 billion at the previous year end.
The Board has not declared a dividend for the third quarter ended 30th September 2019 (2018: Nil). Dividends are usually declared on a semi-annual basis for every six-month period ending 30th June (in respect of an interim dividend) and 31st December (in respect of a final dividend).
Group Review
The contribution to JC&C's underlying profit attributable to shareholders by business segments was as follows:
Contribution to JC&C's underlying profit
Nine months ended 30th September
Business segments
2019
US$m
Restated†
2018
US$m
Change
%
Astra
536
582
-8
Direct Motor Interests
79
103
-24
Other Strategic Interests
59
56
6
Corporate Costs
(60)
(67)
-11
Underlying profit attributable to
shareholders
614
674
-9
† The accounts have been restated due to changes in accounting policies upon adoption of IFRS 16 Leases, as set out in Note 1 to the condensed financial statements
Astra
Astra contributed US$536 million to JC&C's underlying profit, 8% lower than the same period last year with the Rupiah exchange rate being stable. Astra reported a net profit equivalent to US$1.1 billion under Indonesian accounting standards. This was mainly due to lower contributions from its automotive and agribusiness divisions, which more than offset higher contributions from the financial services division.
Automotive
Net income from Astra's automotive division was down 14% at US$428 million, mainly due to lower car sales volumes, increased manufacturing costs and foreign exchange translation losses. Highlights were as follows:
· Car sales were 7% lower at 396,000 units. The overall Indonesian wholesale market declined by 12% to 754,000. Astra's market share increased from 50% to 53%, and it launched 14 new models and 7 revamped models during the period.
· Motorcycle sales increased by 5% to 3.7 million units. The Indonesian wholesale market increased by 4% to 4.9 million units and Astra increased its market share slightly to 75%, launching 6 new models and 19 revamped models during the period.
· Astra Otoparts reported a 24% increase in net income at US$36 million, largely due to higher revenue from the replacement market and lower production costs.
Financial Services
Net income from Astra's financial services division increased by 25% to US$304 million mainly due to a larger loan portfolio and an improvement in non-performing loans. Highlights were as follows:
· Consumer finance businesses saw a 7% increase in the amount financed to US$4.5 billion. The net income contribution from the car-focused finance companies increased by 31% to US$78 million, mainly due to lower non-performing loan losses. The net income contribution from the motorcycle-focused finance business increased by 8% to US$132 million, mainly due to a larger loan portfolio.
· Heavy equipment-focused finance operations saw a 17% decrease in the amounts financed to US$220 million. However, the net income contribution grew 27% to US$5 million, with lower loan provisions.
· Permata Bank reported a significant increase in net income to US$77 million due to higher revenue and lower loan impairment levels, attributable to improved loan quality and recoveries from non-performing loans. The bank's gross and net non-performing loan ratios improved to 3.3% and 1.2%, respectively, compared to 4.4% and 1.7% at the end of 2018.
· General insurance company, Asuransi Astra Buana, reported a 6% growth in net income at US$57 million, driven by increased investment income.
Heavy Equipment, Mining, Construction & Energy
Net income from Astra's heavy equipment, mining, construction and energy division decreased by 5% to US$363 million, principally due to foreign exchange translation, where a significant foreign exchange gain was recorded in the prior year. Excluding foreign exchange translation, net income would have been slightly higher. The contributions from the new gold mining operation and improved mining contracting volumes were partly offset by lower heavy equipment sales due to lower coal prices and lower earnings from general contracting business. Highlights were as follows:
· United Tractors reported a 5% decrease in net income to US$610 million.
· Komatsu heavy equipment sales fell 30% to 2,568 units, while parts and service revenues were stable.
· Mining contracting operations recorded a 5% higher overburden removal volume at 750 million bank cubic metres, and a 7% higher coal production at 96 million tonnes.
· Coal mining subsidiaries achieved 11% higher coal sales at 6.4 million tonnes including 0.8 million tonnes of coking coal, but were affected by the lower coal prices.
· Agincourt Resources achieved gold sales of 306,000 oz.
· General contractor Acset Indonusa reported a net loss of US$53 million compared to a net income of US$6 million in the same period of 2018, mainly due to increased project and funding costs for several ongoing contracts.
Infrastructure & Logistics
Net income from Astra's infrastructure and logistics division increased by 38% to US$11 million, mainly due to improved toll road revenue. Highlights were as follows:
· Toll revenue increased due to a 22% higher traffic volume in Astra's 339km of operational toll roads along the Trans-Java network.
· Serasi Autoraya's net income decreased by 23% to US$10 million due to a fall in vehicles under lease and lower used car sales.
Agribusiness
Net income from Astra's agribusiness was down 90% at US$6 million, primarily due to a 16% fall in average crude palm oil prices, despite an increase in crude palm oil and derivatives sales by 10% to 1.7 million tonnes.
Direct Motor Interests
JC&C's Direct Motor Interests contributed US$79 million to the Group's underlying profit, 24% lower than the prior year largely due to a smaller contribution from Thaco. Highlights were as follows:
· In Vietnam, Thaco's US$33 million contribution to the Group's underlying profit was 38% lower than the same period last year. This was due to an 11% decline in Thaco's vehicle sales in the face of the intense competition in the completely-built-up import segment, as tariffs were eliminated following the full implementation of the ASEAN Trade in Goods Agreement in 2018.
· In Singapore, Cycle & Carriage Singapore ("CCS") contributed US$42 million to the Group's underlying profit, slightly higher than the previous year. Its passenger car sales grew by 8% to 11,100 units, despite a 4% decrease in the overall passenger car market. This was, however, partly offset by lower margins due to higher certificate of entitlement costs. CCS' market share increased from 17% to 19%, with the launch of new models and competitive pricing.
· In Indonesia, Tunas Ridean contributed US$14 million to the Group's underlying profit, 8% higher than the previous year. This was due to a stronger contribution from its automotive operations, which was partially offset by a lower contribution from its rental business. Its consumer finance operations were in line with the prior year.
· In Malaysia, Cycle & Carriage Bintang contributed a loss of US$2 million compared to a profit of US$1 million in 2018, when the business benefited from the one-off zero rate of GST from June to August 2018.
Other Strategic Interests
Other Strategic Interests contributed US$59 million to the Group's underlying profit, 6% up on the previous year. Highlights were as follows:
· Siam City Cement's underlying profit contribution of US$19 million was in line with the previous year. Its improved domestic performance was offset by a lower contribution from its regional operations, mainly from South Vietnam.
· The contribution from Refrigeration Electrical Engineering Corporation ("REE") of US$13 million was 3% down on the previous year due to weaker performances from its hydropower investments and its M&E business, which were partially offset by a stronger contribution from real estate.
· The Group's investment in Vinamilk delivered dividend income of US$28 million, compared to US$24 million in the previous year. Vinamilk's profit for the first nine months of the year was up 6% up in local currency terms, due to the rebound of the fast-moving consumer goods sector as well as an increase in Vinamilk's market share.
Corporate Costs
Corporate costs were US$60 million for the period, compared to US$67 million in the previous year. This was primarily due to a lower foreign exchange loss from the translation of foreign currency loans, partly offset by higher net financing charges and overheads.
People
YC Boon, Deputy Chairman, will be retiring from the Board with effect from 31st December 2019. I would like to thank YC for his significant contribution to the Group over many years.
Outlook
Astra is expected to continue to be affected by relatively weak domestic consumption and low commodity prices for the remainder of the year, while benefiting from an improved contribution from financial services and its gold mine operations. JC&C's Direct Motor Interests are expected to continue to face challenging market conditions, while the contribution from Other Strategic Interests is expected to be stable.
Ben Keswick
Chairman
CORPORATE PROFILE
Jardine Cycle & Carriage ("JC&C" or "the Group") is the investment holding company of the Jardine Matheson Group in Southeast Asia. With an investment strategy focused on urbanisation and the growing middle class in the region, JC&C holds long-term, strategic interests in diversified market-leading businesses across Southeast Asia.
The Group has a 50.1% interest in Astra, a diversified group in Indonesia, which is also the largest independent automotive group in Southeast Asia.
JC&C also has significant interests in Vietnam, including 26.6% in Truong Hai Auto Corporation, 24.9% in Refrigeration Electrical Engineering Corporation and 10.6% in Vinamilk. Its 25.5%-owned Siam City Cement also has a presence in South Vietnam, in addition to operating in Thailand, Sri Lanka, Cambodia and Bangladesh.
The other investments in JC&C's portfolio are the Cycle & Carriage businesses in Singapore, Malaysia and Myanmar, and 46.2%-owned Tunas Ridean in Indonesia. These motor businesses are managed by Jardine International Motors.
JC&C is a leading Singapore-listed company, 75%-owned by the Jardine Matheson Group. Together with its subsidiaries and associates, JC&C employs more than 250,000 people across Southeast Asia.
Statement pursuant to Rule 705(5) of the Listing Manual
The directors confirm that, to the best of their knowledge, nothing has come to the attention of the Board of Directors which may render the accompanying unaudited interim financial results for the nine months ended 30th September 2019 to be false or misleading in any material respect.
On behalf of the Directors
Ben Keswick
Director
Vimala Menon
Director
6th November 2019
Jardine Cycle & Carriage Limited
Consolidated Profit and Loss Account for the nine months ended 30th September 2019
Three months ended
Nine months ended
Restated
Restated
30.9.2019
30.9.2018
Change
30.9.2019
30.9.2018
Change
Note
US$m
US$m
%
US$m
US$m
%
Revenue
4,751.9
4,794.7
-1
13,909.0
13,983.5
-1
Net operating costs
2
(4,129.3)
(4,230.1)
-2
(12,206.6)
(12,619.7)
-3
Operating profit
2
622.6
564.6
10
1,702.4
1,363.8
25
Financing income
21.8
23.2
-6
66.2
67.8
-2
Financing charges
(92.3)
(70.3)
31
(270.3)
(180.8)
50
Net financing charges
(70.5)
(47.1)
50
(204.1)
(113.0)
81
Share of associates' and joint
ventures' results after tax
187.5
183.3
2
435.9
456.4
-4
Profit before tax
739.6
700.8
6
1,934.2
1,707.2
13
Tax
3
(142.9)
(158.9)
-10
(398.9)
(424.8)
-6
Profit after tax
596.7
541.9
10
1,535.3
1,282.4
20
Profit attributable to:
Shareholders of the Company
301.4
200.5
50
728.9
373.5
95
Non-controlling interests
295.3
341.4
-14
806.4
908.9
-11
596.7
541.9
10
1,535.3
1,282.4
20
US¢
US¢
US¢
US¢
Earnings per share
4
76
51
50
184
95
95
Jardine Cycle & Carriage Limited
Consolidated Statement of Comprehensive Income for the nine months ended 30th September 2019
Three months ended
Nine months ended
Restated
Restated
30.9.2019
30.9.2018
30.9.2019
30.9.2018
US$m
US$m
US$m
US$m
Profit for the period
596.7
541.9
1,535.3
1,282.4
Items that will not be reclassified to profit or loss:
Asset revaluation surplus
-
-
-
3.0
Remeasurements of defined benefit pension plans
(0.1)
0.3
0.2
(0.7)
Tax on items that will not be reclassified
-
(0.1)
-
0.1
Share of other comprehensive income of associates and
joint ventures, net of tax
0.1
(0.1)
-
0.8
-
0.1
0.2
3.2
Items that may be reclassified subsequently to profit
or loss:
Translation difference
- gain/(loss) arising during the period
(16.5)
(411.4)
268.2
(1,109.0)
Financial assets at FVOCI (1)
- gain/(loss) arising during the period
3.7
(3.4)
18.1
(24.1)
- transfer to profit and loss
(0.2)
0.7
(0.6)
(3.1)
Cash flow hedges
- gain/(loss) arising during the period
(23.7)
19.3
(99.7)
71.0
- transfer to profit and loss
-
-
1.6
0.4
Tax relating to items that may be reclassified
4.5
(4.7)
23.8
(16.5)
Share of other comprehensive income of associates and
joint ventures, net of tax
(21.6)
15.5
(57.7)
28.8
(53.8)
(384.0)
153.7
(1,052.5)
Other comprehensive income for the period
(53.8)
(383.9)
153.9
(1,049.3)
Total comprehensive income for the period
542.9
158.0
1,689.2
233.1
Attributable to:
Shareholders of the Company
288.3
37.5
829.5
(76.3)
Non-controlling interests
254.6
120.5
859.7
309.4
542.9
158.0
1,689.2
233.1
(1) Fair value through other comprehensive income ("FVOCI")
Jardine Cycle & Carriage Limited
Consolidated Balance Sheet at 30th September 2019
Restated
Restated
At
At
At
Note
30.9.2019
31.12.2018
1.1.2018
US$m
US$m
US$m
Non-current assets
Intangible assets
1,781.4
1,630.6
1,079.5
Property, plant and equipment
4,641.9
4,457.5
3,404.5
Investment properties
518.5
587.2
618.6
Bearer plants
500.6
486.8
498.0
Interests in associates and joint ventures
4,825.7
4,250.6
4,280.3
Right-of-use assets
843.0
753.0
762.1
Non-current investments
2,190.0
1,911.2
2,031.8
Non-current debtors
2,875.4
2,867.1
2,824.5
Deferred tax assets
365.7
300.7
322.4
18,542.2
17,244.7
15,821.7
Current assets
Current investments
42.7
50.4
22.7
Properties for sale
362.7
355.8
254.0
Stocks
2,000.3
2,039.7
1,723.8
Current debtors
6,014.6
5,595.5
5,044.9
Current tax assets
182.0
134.9
120.5
Bank balances and other liquid funds
- non-financial services companies
1,696.9
1,711.4
2,398.7
- financial services companies
197.9
187.5
241.1
1,894.8
1,898.9
2,639.8
10,497.1
10,075.2
9,805.7
Total assets
29,039.3
27,319.9
25,627.4
Non-current liabilities
Non-current creditors
294.8
271.4
241.6
Provisions
163.3
146.7
113.7
Non-current lease liabilities
85.1
93.3
89.0
Long-term borrowings
5
- non-financial services companies
2,017.5
1,125.4
845.0
- financial services companies
1,766.5
1,655.2
1,486.4
3,784.0
2,780.6
2,331.4
Deferred tax liabilities
406.2
428.0
212.9
Pension liabilities
278.8
253.0
262.2
5,012.2
3,973.0
3,250.8
Current liabilities
Current creditors
5,154.6
4,951.5
4,152.7
Provisions
98.5
92.8
87.2
Current lease liabilities
41.5
40.5
20.0
Current borrowings
5
- non-financial services companies
2,433.6
2,737.9
2,368.5
- financial services companies
1,757.5
1,824.5
2,153.9
4,191.1
4,562.4
4,522.4
Current tax liabilities
102.7
213.8
135.4
9,588.4
9,861.0
8,917.7
Total liabilities
14,600.6
13,834.0
12,168.5
Net assets
14,438.7
13,485.9
13,458.9
Equity
Share capital
6
1,381.0
1,381.0
1,381.0
Revenue reserve
7
6,584.3
6,202.4
6,171.9
Other reserves
8
(1,339.3)
(1,439.6)
(1,120.1)
Shareholders' funds
6,626.0
6,143.8
6,432.8
Non-controlling interests
9
7,812.7
7,342.1
7,026.1
Total equity
14,438.7
13,485.9
13,458.9
Jardine Cycle & Carriage Limited
Consolidated Statement of Changes in Equity for the three months ended 30th September 2019
Attributable to shareholders of the Company
Attributable
Asset
Fair value
to non-
Share
Revenue
revaluation
Translation
and other
controlling
Total
capital
reserve
reserve
reserve
reserves
Total
interests
equity
US$m
US$m
US$m
US$m
US$m
US$m
US$m
US$m
2019
Balance at 1st July
1,381.0
6,353.2
403.3
(1,713.9)
(15.6)
6,408.0
7,602.6
14,010.6
Total comprehensive income
-
301.4
-
(2.2)
(10.9)
288.3
254.6
542.9
Dividends paid by the Company
-
(70.3)
-
-
-
(70.3)
-
(70.3)
Dividends paid to non-controlling interests
-
-
-
-
-
-
(45.3)
(45.3)
Issue of shares to non-controlling interests
-
-
-
-
-
-
0.8
0.8
Balance at 30th September
1,381.0
6,584.3
403.3
(1,716.1)
(26.5)
6,626.0
7,812.7
14,438.7
2018
Balance at 1st July
1,381.0
6,015.7
403.9
(1,820.5)
9.4
5,989.5
6,836.5
12,826.0
Effect of adoption of IFRS 16
-
(2.8)
-
0.1
-
(2.7)
(2.6)
(5.3)
Balance as at 1st July as restated
1,381.0
6,012.9
403.9
(1,820.4)
9.4
5,986.8
6,833.9
12,820.7
Total comprehensive income
-
200.6
-
(173.6)
10.5
37.5
120.5
158.0
Dividends paid by the Company
-
(70.1)
-
-
-
(70.1)
-
(70.1)
Dividends paid to non-controlling interests
-
-
-
-
-
-
(37.0)
(37.0)
Issue of shares to non-controlling interests
-
-
-
-
-
-
(1.2)
(1.2)
Change in shareholding
-
1.2
-
-
-
1.2
4.4
5.6
Other
-
0.2
-
-
(0.1)
0.1
(0.4)
(0.3)
Balance at 30th September
1,381.0
6,144.8
403.9
(1,994.0)
19.8
5,955.5
6,920.2
12,875.7
Jardine Cycle & Carriage Limited
Consolidated Statement of Changes in Equity for the nine months ended 30th September 2019
Attributable to shareholders of the Company
Attributable
Asset
Fair value
to non-
Share
Revenue
revaluation
Translation
and other
controlling
Total
capital
reserve
reserve
reserve
reserves
Total
interests
equity
US$m
US$m
US$m
US$m
US$m
US$m
US$m
US$m
2019
Balance at 1st January
1,381.0
6,206.2
403.3
(1,852.6)
9.6
6,147.5
7,345.4
13,492.9
Effect of adoption of IFRS 16
-
(3.8)
-
0.1
-
(3.7)
(3.3)
(7.0)
Balance as at 1st January as restated
1,381.0
6,202.4
403.3
(1,852.5)
9.6
6,143.8
7,342.1
13,485.9
Total comprehensive income
-
729.2
-
136.4
(36.1)
829.5
859.7
1,689.2
Dividends paid by the Company
-
(346.8)
-
-
-
(346.8)
-
(346.8)
Dividends paid to non-controlling interests
-
-
-
-
-
-
(402.2)
(402.2)
Issue of shares to non-controlling interests
-
-
-
-
-
-
15.8
15.8
Change in shareholding
-
(0.5)
-
-
-
(0.5)
(2.5)
(3.0)
Acquisition of subsidiary
-
-
-
-
-
-
(0.2)
(0.2)
Balance at 30th September
1,381.0
6,584.3
403.3
(1,716.1)
(26.5)
6,626.0
7,812.7
14,438.7
2018
Balance at 1st January
1,381.0
6,173.7
402.4
(1,521.5)
(1.0)
6,434.6
7,028.4
13,463.0
Effect of adoption of IFRS 16
-
(1.8)
-
-
-
(1.8)
(2.3)
(4.1)
Balance as at 1st January as restated
1,381.0
6,171.9
402.4
(1,521.5)
(1.0)
6,432.8
7,026.1
13,458.9
Total comprehensive income
-
373.8
1.5
(472.5)
20.9
(76.3)
309.4
233.1
Dividends paid by the Company
-
(341.5)
-
-
-
(341.5)
-
(341.5)
Dividends paid to non-controlling interests
-
-
-
-
-
-
(359.6)
(359.6)
Issue of shares to non-controlling interests
-
-
-
-
-
61.0
61.0
Change in shareholding
-
(62.7)
-
-
-
(62.7)
(131.1)
(193.8)
Acquisition of subsidiary
-
-
-
-
-
-
2.0
2.0
Other
-
3.3
-
-
(0.1)
3.2
12.4
15.6
Balance at 30th September
1,381.0
6,144.8
403.9
(1,994.0)
19.8
5,955.5
6,920.2
12,875.7
Jardine Cycle & Carriage Limited
Company Balance Sheet at 30th September 2019
At
At
Note
30.9.2019
31.12.2018
US$m
US$m
Non-current assets
Property, plant and equipment
33.7
34.4
Interests in subsidiaries
1,346.3
1,358.3
Interests in associates and joint ventures
1,140.3
987.0
Non-current investment
193.3
167.6
2,713.6
2,547.3
Current assets
Current debtors
1,182.8
1,229.9
Bank balances and other liquid funds
21.9
52.8
1,204.7
1,282.7
Total assets
3,918.3
3,830.0
Non-current liabilities
Deferred tax liabilities
6.0
6.1
6.0
6.1
Current liabilities
Current creditors
145.1
83.8
Current borrowings
1,553.3
1,379.5
Current tax liabilities
1.5
1.7
1,699.9
1,465.0
Total liabilities
1,705.9
1,471.1
Net assets
2,212.4
2,358.9
Equity
Share capital
6
1,381.0
1,381.0
Revenue reserve
7
551.8
672.6
Other reserves
8
279.6
305.3
Total equity
2,212.4
2,358.9
Net asset value per share
US$5.60
US$5.97
Jardine Cycle & Carriage Limited
Company Statement of Comprehensive Income for the nine months ended 30th September 2019
Three months ended
Nine months ended
30.9.2019
30.9.2018
30.9.2019
30.9.2018
US$m
US$m
US$m
US$m
Profit/(loss) for the period
(18.8)
(13.9)
226.0
156.0
Item that may be reclassified subsequently to profit
or loss:
Translation difference
(46.9)
1.4
(25.7)
(52.3)
Other comprehensive income for the period
(46.9)
1.4
(25.7)
(52.3)
Total comprehensive income for the period
(65.7)
(12.5)
200.3
103.7
Jardine Cycle & Carriage Limited
Company Statement of Changes in Equity for the nine months ended 30th September 2019
For the three months ended 30th September 2019
Share capital
Revenue reserve
Translation reserve
Total equity
US$m
US$m
US$m
US$m
2019
Balance at 1st July
1,381.0
640.9
326.5
2,348.4
Total comprehensive income
-
(18.8)
(46.9)
(65.7)
Dividend paid
-
(70.3)
-
(70.3)
Balance at 30th September
1,381.0
551.8
279.6
2,212.4
2018
Balance at 1st July
1,381.0
653.1
303.4
2,337.5
Total comprehensive income
-
(13.9)
1.4
(12.5)
Dividend paid
-
(70.1)
-
(70.1)
Balance at 30th September
1,381.0
569.1
304.8
2,254.9
For the nine months ended 30th September 2019
Share
capital
Revenue
reserve
Translation
reserve
Total
equity
US$m
US$m
US$m
US$m
2019
Balance at 1st January
1,381.0
672.6
305.3
2,358.9
Total comprehensive income
-
226.0
(25.7)
200.3
Dividend paid
-
(346.8)
-
(346.8)
Balance at 30th September
1,381.0
551.8
279.6
2,212.4
2018
Balance at 1st January
1,381.0
754.6
357.1
2,492.7
Total comprehensive income
-
156.0
(52.3)
103.7
Dividend paid
-
(341.5)
-
(341.5)
Balance at 30th September
1,381.0
569.1
304.8
2,254.9
Jardine Cycle & Carriage Limited
Consolidated Statement of Cash Flows for the nine months ended 30th September 2019
Three months ended
Nine months ended
Restated
Restated
30.9.2019
30.9.2018
30.9.2019
30.9.2018
Note
US$m
US$m
US$m
US$m
Cash flows from operating activities
Cash generated from operations
10
967.1
1,229.5
1,943.0
2,231.3
Interest paid
(63.9)
(43.7)
(184.2)
(118.2)
Interest received
20.3
22.1
62.0
67.9
Other finance costs paid
(31.3)
(20.1)
(87.2)
(49.4)
Income tax paid
(188.0)
(122.5)
(616.5)
(414.9)
(262.9)
(164.2)
(825.9)
(514.6)
Net cash flows from operating activities
704.2
1,065.3
1,117.1
1,716.7
Cash flows from investing activities
Sale of right-of-use assets
1.4
-
1.9
11.8
Sale of property, plant and equipment
7.3
6.0
14.2
14.7
Sale of investments
21.8
50.1
187.6
186.4
Sale of investment properties
0.1
-
0.1
-
Sale of associate
-
-
3.2
-
Sale of subsidiaries
0.2
0.2
0.6
0.6
Purchase of intangible assets
(54.2)
(14.2)
(150.2)
(49.4)
Purchase of right-of-use assets
(4.4)
(0.6)
(36.5)
(4.9)
Purchase of property, plant and equipment
(160.7)
(264.6)
(625.3)
(695.8)
Purchase of investment properties
(1.7)
(0.6)
(11.3)
(24.8)
Additions to bearer plants
(10.9)
(11.9)
(31.6)
(31.4)
Purchase of subsidiaries, net of cash
acquired
-
(49.6)
-
(134.2)
Purchase of associates and joint ventures
(25.7)
(14.1)
(346.3)
(130.5)
Purchase of investments
(48.3)
(57.6)
(326.9)
(626.8)
Dividends received from associates and
joint ventures (net)
23.7
45.5
296.4
324.9
Net cash flows used in investing activities
(251.4)
(311.4)
(1,024.1)
(1,159.4)
Cash flows from financing activities
Drawdown of loans
667.6
637.0
3,066.5
2,727.8
Repayment of loans
(779.4)
(593.4)
(2,464.5)
(2,363.5)
Principal elements of lease payments
(16.2)
(18.2)
(55.1)
(50.1)
Changes in controlling interests in
subsidiaries
-
5.6
(3.0)
(193.8)
Investment by/(payment to) non-controlling
interests
0.8
(1.2)
15.8
61.0
Dividends paid to non-controlling interests
(45.3)
(37.0)
(402.2)
(359.6)
Dividends paid by the Company
-
-
(275.0)
(269.0)
Net cash flow used in financing
activities
(172.5)
(7.2)
(117.5)
(447.2)
Net change in cash and cash equivalents
280.3
746.7
(24.5)
110.1
Cash and cash equivalents at the
beginning of the period
1,614.6
1,901.6
1,881.5
2,639.8
Effect of exchange rate changes
(0.9)
(84.5)
37.0
(186.1)
Cash and cash equivalents at the end of
the period (1)
1,894.0
2,563.8
1,894.0
2,563.8
(1) For the purpose of the Consolidated Statement of Cash Flows, cash and cash equivalents comprise deposits with bank and financial institutions, bank and cash balances, net of bank overdrafts. In the balance sheet, bank overdrafts are included under current borrowings.
Jardine Cycle & Carriage Limited
Notes to the financial statements for the nine months ended 30th September 2019
1 Basis of preparation
The financial statements are consistent with those set out in the 2018 audited accounts which have been prepared in accordance with Singapore Financial Reporting Standards (International) ("SFRS(I)") and International Financial Reporting Standards ("IFRS"). There have been no changes to the accounting policies described in the 2018 audited accounts except for the adoption of IFRS 16 Leases, which is effective from 1st January 2019.
The standard replaces IAS 17 'Leases' and related interpretations and introduces a comprehensive model for the identification of lease arrangements and accounting treatments for both lessors and lessees. The distinction between operating and finance leases is removed for lessee accounting, and is replaced by a model where a lease liability and a corresponding right-of-use asset have to be recognised on the balance sheet for almost all leases by the lessees. The Group's recognised right-of-use assets primarily relate to property leases, equipment and motor vehicles. Prior to 2019, payments made under operating leases were charged to profit and loss on a straight-line basis over the period of the lease. From 1st January 2019, each lease payment is allocated between settlement of the lease liability and finance cost. The finance cost is charged to profit and loss over the lease period. The right-of-use asset is depreciated over the shorter of the asset's useful life and the lease term on a straight-line basis.
In addition, leasehold land which represents payments to third parties to acquire interests in property is now presented under right-of-use assets. Leasehold land is amortised over the useful life of the lease, which includes the renewal period if the lease is likely to be renewed by the Group without significant cost.
The accounting for lessors does not change significantly.
The adoption of IFRS 16 has been accounted for retrospectively and the comparative financial statements have been restated. The adoption has resulted in a decrease in the profit attributable to shareholders for the financial period 9 months ended 30th September 2018 and financial year ended 31st December 2018 by US$1.4m and US$2.0m, respectively.
As at 31st December 2018, the impact on the statement of financial position is as follows:-
US$m
Net assets
Leasehold land use rights
(597.7)
Property, plant and equipment
(29.8)
Interest in associates and joint ventures
(0.7)
Right-of-use assets
753.0
Deferred tax assets
0.4
Debtors
(36.1)
Lease liabilities
(133.8)
Borrowings
37.7
(7.0)
Equity
Shareholders' funds
(3.7)
Non-controlling interests
(3.3)
(7.0)
The preparation of financial statements in conformity with IFRS requires the use of certain critical accounting estimates. It also requires management to exercise its judgment in the process of applying the Group's accounting policies. Estimates and judgments used in preparing the financial statements are regularly evaluated and are based on historical experience and other factors, including expectations of future events that are believed to be reasonable under the circumstances. The resulting accounting estimates will, by definition, seldom equal the related actual results.
The exchange rates used for translating assets and liabilities at the balance sheet date are US$1=S$1.3818 (2018:US$1=S$1.3659), US$1=RM4.1873(2018:US$1=RM4.148), US$1=IDR14,174(2018:US$1=IDR14,481), US$1=VND23,201(2018:US$1=VND23,175) and US$1=THB30.582(2018:US$1=THB32.518).
The exchange rates used for translating the results for the period are US$1= S$1.3654(2018: US$1=S$1.3418), US$1= RM4.1403(2018: US$1= RM3.9937), US$1= IDR14,173(2018: US$1=IDR14,129), US$1= VND23,248 (2018: US$1= VND22,968) and US$1= THB31.2226(2018: US$1=THB32.1433).
2 Net operating costs and operating profit
Group
Three months ended
Nine months ended
Restated
Restated
30.9.2019
30.9.2018
Change
30.9.2019
30.9.2018
Change
US$m
US$m
%
US$m
US$m
%
Cost of sales
(3,771.7)
(3,793.6)
-1
(11,054.6)
(11,161.8)
-1
Other operating income
165.8
86.2
92
352.8
245.5
44
Selling and distribution expenses
(212.0)
(206.3)
3
(627.8)
(618.9)
1
Administrative expenses
(284.3)
(244.9)
16
(831.2)
(742.0)
12
Other operating expenses
(27.1)
(71.5)
-62
(45.8)
(342.5)
-87
Net operating costs
(4,129.3)
(4,230.1)
-2
(12,206.6)
(12,619.7)
-3
Operating profit is determined after including:
Depreciation of property, plant
and equipment (1)
(218.8)
(140.9)
55
(587.8)
(420.8)
40
Depreciation of bearer plants
(6.7)
(6.1)
10
(20.2)
(18.6)
9
Amortisation of intangible assets (1)
(31.9)
(16.5)
93
(118.1)
(49.6)
138
Amortisation of right-of-use assets
(31.4)
(27.1)
16
(85.2)
(76.2)
12
Fair value changes of :
- agriculture produce
(0.5)
(5.1)
-90
2.3
(5.9)
nm
- other investments (2)
92.1
(57.3)
nm
109.2
(295.9)
nm
- derivative not qualifying as hedge
(0.1)
-
nm
(0.1)
-
nm
Profit/(loss) on disposal of:
- intangible assets
(0.1)
-
nm
(0.1)
-
nm
- property, plant and equipment
2.4
2.0
20
1.1
6.6
-83
- right-of-use assets
0.7
-
nm
1.5
0.2
nm
- associates and joint ventures
-
-
nm
0.5
-
nm
- investments
0.2
0.2
-
2.8
3.3
-15
Loss on disposal/write-down of
receivables from collateral vehicles
(14.6)
(12.7)
15
(42.6)
(40.2)
6
Dividend and interest income
from investments
15.2
10.9
39
72.4
66.4
9
Write-down of stocks
(2.1)
(2.6)
-19
(9.9)
(8.6)
15
Writeback/(impairment) of :
- property, plant and equipment
(0.1)
1.7
nm
(0.1)
1.7
nm
Impairment of debtors (3)
(25.5)
(51.7)
-51
(77.7)
(133.0)
-42
Net exchange gain/(loss) (4)
(24.6)
28.8
nm
(21.5)
22.1
nm
nm - not meaningful
(1) Increase in depreciation and amortisation cost mainly relates to the property, plant and equipment and intangible assets of subsidiary acquired in late 2018
(2) Fair value gain/(loss) relates mainly to equity investments in Vinamilk and Toyota Motor Corporation
(3) Decrease in impairment of debtors relates mainly to lower impairment of financing debtors attributable to lower non-performing loan losses
(4) Net exchange loss for three months and nine months ended 30th September 2019 relates mainly to the impact of stronger US dollars on monetary liabilities denominated in US dollars
3 Tax
The provision for income tax is based on the statutory tax rates of the respective countries in which the companies operate after taking into account non-deductible expenses and group tax relief.
4 Earnings per share
Group
Three months ended
Nine months ended
Restated
Restated
30.9.2019
30.9.2018
30.9.2019
30.9.2018
US$m
US$m
US$m
US$m
Basic and diluted earnings per share
Profit attributable to shareholders
301.4
200.5
728.9
373.5
Weighted average number of shares
in issue (millions)
395.2
395.2
395.2
395.2
Basic earnings per share
US¢76
US¢51
US¢184
US¢95
Diluted earnings per share
US¢76
US¢51
US¢184
US¢95
Underlying earnings per share
Underlying profit attributable to
shareholders
206.7
260.8
614.0
673.7
Weighted average number of shares
in issue (millions)
395.2
395.2
395.2
395.2
Basic earnings per share
US¢52
US¢66
US¢155
US¢170
Diluted earnings per share
US¢52
US¢66
US¢155
US¢170
As at 30th September 2018 and 2019, there were no dilutive potential ordinary shares in issue.
A reconciliation of the profit attributable to shareholders and underlying profit attributable to shareholders is as follows:
Group
Three months ended
Nine months ended
Restated
Restated
30.9.2019
30.9.2018
30.9.2019
30.9.2018
US$m
US$m
US$m
US$m
Profit attributable to shareholders
301.4
200.5
728.9
373.5
Less: Non-trading items
Fair value changes of agriculture produce
(0.1)
(1.6)
0.7
(1.7)
Fair value changes of other investments
94.8
(58.7)
114.0
(298.5)
Net gain on disposal of interests in joint ventures
-
-
0.2
-
94.7
(60.3)
114.9
(300.2)
Underlying profit attributable to shareholders
206.7
260.8
614.0
673.7
Non-trading items are separately identified to provide greater understanding of the Group's underlying business performance. Items classified as non-trading items include fair value gains or losses on revaluation of investment properties, agricultural produce and equity investments which are measured at fair value through profit and loss; gains and losses arising from the sale of businesses, investments and properties; impairment of non-depreciable intangible assets and other investments; provisions for closure of businesses; acquisition-related costs in business combinations; and other credits and charges of a non-recurring nature that require inclusion in order to provide additional insight into the Group's underlying business performance.
5 Borrowings
Group
Restated
30.9.2019
31.12.2018
US$m
US$m
Long-term borrowings:
- secured
936.3
1,209.5
- unsecured
2,847.7
1,571.1
3,784.0
2,780.6
Current borrowings:
- secured
1,097.7
1,418.1
- unsecured
3,093.4
3,144.3
4,191.1
4,562.4
Total borrowings
7,975.1
7,343.0
Certain subsidiaries of the Group have pledged their assets in order to obtain bank facilities from financial institutions. The value of assets pledged was US$931.5 million (31st December 2018: US$1,336.9 million).
6 Share capital
Company
2019
2018
US$m
US$m
Three months ended 30th September
Issued and fully paid:
Balance at 1st July and 30th September
- 395,236,288 (2018: 395,236,288) ordinary shares
1,381.0
1,381.0
Nine months ended 30th September
Issued and fully paid:
Balance at 1st January and 30th September
- 395,236,288 (2018: 395,236,288) ordinary shares
1,381.0
1,381.0
There were no rights, bonus or equity issues during the period between 1st July 2019 and 30th September 2019. The Company did not hold any treasury shares as at 30th September 2019 (30th September 2018: Nil) and did not have any unissued shares under convertibles as at 30th September 2019 (30th September 2018: Nil).
There were no subsidiary holdings (as defined in the Listing Manual of the SGX-ST) as at 30th September 2019 (30th September 2018: Nil).
7 Revenue reserve
Group
Company
Restated
Three months ended 30th September
2019
2018
2019
2018
US$m
US$m
US$m
US$m
Movements:
Balance at 1st July
6,353.2
6,015.7
640.9
653.1
Effect of adoption of IFRS 16
-
(2.8)
-
-
Balance at 1st July as restated
6,353.2
6,012.9
640.9
653.1
Defined benefit pension plans
- remeasurements
(0.1)
0.1
-
-
Share of associates' and joint ventures' remeasurements of defined benefit pension plans, net of tax
0.1
-
-
-
Profit/(loss) attributable to shareholders
301.4
200.5
(18.8)
(13.9)
Dividends paid by the Company
(70.3)
(70.1)
(70.3)
(70.1)
Change in shareholding
-
1.2
-
-
Other
-
0.2
-
-
Balance at 30th September
6,584.3
6,144.8
551.8
569.1
Group
Company
Restated
Nine months ended 30th September
2019
2018
2019
2018
US$m
US$m
US$m
US$m
Movements:
Balance at 1st January
6,206.2
6,173.7
672.6
754.6
Effect of adoption of IFRS 16
(3.8)
(1.8)
-
-
Balance at 1st January as restated
6,202.4
6,171.9
672.6
754.6
Defined benefit pension plans
- remeasurements
0.1
(0.1)
-
-
Share of associates' and joint ventures' remeasurements of defined benefit pension plans, net of tax
0.2
0.4
-
-
Profit attributable to shareholders
728.9
373.5
226.0
156.0
Dividends paid by the Company
(346.8)
(341.5)
(346.8)
(341.5)
Change in shareholding
(0.5)
(62.7)
-
-
Other
-
3.3
-
-
Balance at 30th September
6,584.3
6,144.8
551.8
569.1
8 Other reserves
Group
Company
Restated
2019
2018
2019
2018
US$m
US$m
US$m
US$m
Composition:
Asset revaluation reserve
403.3
403.9
-
-
Translation reserve
(1,716.1)
(1,994.0)
279.6
304.8
Fair value reserve
11.8
(1.5)
-
-
Hedging reserve
(41.6)
18.0
-
-
Other reserve
3.3
3.3
-
-
Balance at 30th September
(1,339.3)
(1,570.3)
279.6
304.8
Three months ended 30th September
Movements:
Asset revaluation reserve
Balance at 1st July and 30th September
403.3
403.9
-
-
Translation reserve
Balance at 1st July
(1,713.9)
(1,820.5)
326.5
303.4
Effect of adoption of IFRS 16
-
0.1
-
-
Balance at 1st July as restated
(1,713.9)
(1,820.4)
326.5
303.4
Translation difference
(2.2)
(173.6)
(46.9)
1.4
Balance at 30th September
(1,716.1)
(1,994.0)
279.6
304.8
Fair value reserve
Balance at 1st July
9.6
(0.1)
-
-
Financial assets at FVOCI
- fair value changes
1.8
(1.6)
-
-
- transfer to profit and loss
(0.1)
0.3
-
-
Share of associates' and joint ventures' fair
value changes of financial assets at FVOCI,
net of tax0.5
(0.1)
-
-
Balance at 30th September
11.8
(1.5)
-
-
Hedging reserve
Balance at 1st July
(28.5)
6.2
-
-
Cash flow hedges
- fair value changes
(7.8)
8.9
-
-
- deferred tax
1.5
(2.2)
-
-
Share of associates' and joint ventures' fair
value changes of cash flow hedges, net of tax
(6.8)
5.1
-
-
Balance at 30th September
(41.6)
18.0
-
-
Other reserve
Balance at 1st July and 30th September
3.3
3.3
-
-
Group
Company
Restated
Nine months ended 30th September
2019
2018
2019
2018
US$m
US$m
US$m
US$m
Movements:
Asset revaluation reserve
Balance at 1st January
403.3
402.4
-
-
Revaluation surplus
-
1.5
-
-
Balance at 30th September
403.3
403.9
-
-
Translation reserve
Balance at 1st January
(1,852.6)
(1,521.5)
305.3
357.1
Effect of adoption of IFRS 16
0.1
-
-
-
Balance at 1st January as restated
(1,852.5)
(1,521.5)
305.3
357.1
Translation difference
136.4
(472.5)
(25.7)
(52.3)
Balance at 30th September
(1,716.1)
(1,994.0)
279.6
304.8
Fair value reserve
Balance at 1st January
0.5
15.1
-
-
Financial assets at FVOCI
- fair value changes
8.7
(11.6)
-
-
- deferred tax
(0.1)
0.3
-
-
- transfer to profit and loss
(0.3)
(1.5)
-
-
Share of associates' and joint ventures' fair
value changes of financial assets at FVOCI,
net of tax3.0
(3.7)
-
-
Others
-
(0.1)
-
-
Balance at 30th September
11.8
(1.5)
-
-
Hedging reserve
Balance at 1st January
5.8
(19.4)
-
-
Cash flow hedges
- fair value changes
(37.5)
32.7
-
-
- deferred tax
8.9
(7.9)
-
-
- transfer to profit and loss
0.8
0.2
-
-
Share of associates' and joint ventures' fair
value changes of cash flow hedges, net of tax
(19.6)
12.4
-
-
Balance at 30th September
(41.6)
18.0
-
-
Other reserve
Balance at 1st January and 30th September
3.3
3.3
-
-
9 Non-controlling interests
Group
Restated
Three months ended 30th September
2019
2018
US$m
US$m
Balance at 1st July
7,602.6
6,836.5
Effect of adoption of IFRS 16
-
(2.6)
Balance at 1st July as restated
7,602.6
6,833.9
Financial assets at FVOCI
- fair value changes
1.9
(1.8)
- transfer to profit and loss
(0.1)
0.4
Share of associates' and joint ventures' fair value changes of
financial assets at FVOCI, net of tax
0.5
-
Cash flow hedges
- fair value changes
(15.9)
10.4
- deferred tax
3.0
(2.5)
Share of associates' and joint ventures' fair value changes of cash
flow hedges, net of tax
(15.8)
10.4
Defined benefit pension plans
- remeasurements
-
0.2
- deferred tax
-
(0.1)
Share of associates' and joint ventures' remeasurements
of defined benefit pension plans, net of tax
-
(0.1)
Translation difference
(14.3)
(237.8)
Profit for the period
295.3
341.4
Dividends paid
(45.3)
(37.0)
Issue of shares to non-controlling interests
0.8
(1.2)
Change in shareholding
-
4.4
Other
-
(0.4)
Balance at 30th September
7,812.7
6,920.2
Group
Restated
Nine months ended 30th September
2019
2018
US$m
US$m
Balance at 1st January
7,345.4
7,028.4
Effect of adoption of IFRS 16
(3.3)
(2.3)
Balance at 1st January as restated
7,342.1
7,026.1
Asset revaluation surplus
-
1.5
Financial asset at FVOCI
- fair value changes
9.4
(12.5)
- deferred tax
(0.1)
0.3
- transfer to profit and loss
(0.3)
(1.6)
Share of associates' and joint ventures' fair value changes of
financial assets at FVOCI, net of tax
3.0
(3.7)
Cash flow hedges
- fair value changes
(62.2)
38.3
- deferred tax
15.1
(9.2)
- transfer to profit and loss
0.8
0.2
Share of associates' and joint ventures' fair value changes of cash
flow hedges, net of tax
(44.1)
23.8
Defined benefit pension plans
- remeasurements
0.1
(0.6)
- deferred tax
-
0.1
Share of associates' and joint ventures' remeasurements
of defined benefit pension plans, net of tax
(0.2)
0.4
Translation difference
131.8
(636.5)
Profit for the period
806.4
908.9
Dividends paid
(402.2)
(359.6)
Issue of shares to non-controlling interests
15.8
61.0
Change in shareholding
(2.5)
(131.1)
Acquisition of subsidiary
(0.2)
2.0
Other
-
12.4
Balance at 30th September
7,812.7
6,920.2
10 Cash flows from operating activities
Group
Three months ended
Nine months ended
Restated
Restated
30.9.2019
30.9.2018
30.9.2019
30.9.2018
US$m
US$m
US$m
US$m
Profit before tax
739.6
700.8
1,934.2
1,707.2
Adjustments for:
Financing income
(21.8)
(23.2)
(66.2)
(67.8)
Financing charges (1)
92.3
70.3
270.3
180.8
Share of associates' and joint ventures' results after tax
(187.5)
(183.3)
(435.9)
(456.4)
Depreciation of property, plant and equipment
218.8
140.9
587.8
420.8
Depreciation of bearer plants
6.7
6.1
20.2
18.6
Amortisation of right-of-use assets
31.4
27.1
85.2
76.2
Amortisation of intangible assets
31.9
16.5
118.1
49.6
Impairment/(reversal of impairment) of
- property, plant and equipment
0.1
(1.7)
0.1
(1.7)
Fair value changes of:
- other investments
(92.1)
57.3
(109.2)
295.9
- agricultural produce
0.5
5.1
(2.3)
5.9
(Profit)/loss on disposal of:
- right-of-use assets
(0.7)
-
(1.5)
(0.2)
- property, plant and equipment
(2.4)
(2.0)
(1.1)
(6.6)
- intangible assets
0.1
-
0.1
-
- investments
(0.2)
(0.2)
(2.8)
(3.3)
- associate and joint venture
-
-
(0.5)
-
Loss on disposal/write-down of receivables from
collateral vehicles
14.6
12.7
42.6
40.2
Amortisation of borrowing costs for financial services
companies
2.4
2.3
7.3
7.3
Write-down of stocks
2.1
2.6
9.9
8.6
Impairment of debtors
25.5
51.7
77.7
133.0
Changes in provisions
7.4
8.6
25.1
26.9
Foreign exchange loss
20.3
(27.6)
23.4
(13.8)
149.4
163.2
648.3
714.0
Operating profit before working capital changes
889.0
864.0
2,582.5
2,421.2
Changes in working capital:
Properties for sale
(5.3)
(1.3)
0.8
(77.5)
Stocks
(45.4)
(233.4)
(4.2)
(275.8)
Concession rights
(26.9)
(4.0)
(65.9)
(10.7)
Financing debtors (2)
(62.7)
(86.6)
(308.6)
(232.3)
Debtors (2)
(21.6)
(217.8)
(244.0)
(777.8)
Creditors
233.2
902.6
(38.1)
1,164.8
Pensions
6.8
6.0
20.5
19.4
78.1
365.5
(639.5)
(189.9)
Cash flows from operating activities
967.1
1,229.5
1,943.0
2,231.3
(1) Increase in financing charges mainly due to higher level of net debt
(2) Increase in debtors balance due mainly to higher sales and financing activities
11 Interested person transactions
Aggregate value of all
interested person transactions (excluding transactions less than S$100,000 and transactions conducted under shareholders' mandate pursuant to Rule 920)
Aggregate value of all interested person transactions conducted under shareholders' mandate pursuant to Rule 920 (excluding transactions less than S$100,000
US$m
US$m
Name of interested person
Three months ended 30th September 2019
Zungfu Company Ltd
- human resource capital management services
-
0.1
Jardine Matheson Limited
- management support services
-
1.0
Jardine International Motors Limited
- management consultancy services
-
0.6
Jardine International Motors (S) Pte. Limited
- management consultancy services
-
0.2
-
1.9
Nine months ended 30th September 2019
Hongkong Land Ltd
- management support services
-
0.2
Zungfu Company Ltd
- human resource capital management services
-
0.1
Jardine Matheson Limited
- management support services
-
3.1
Jardine International Motors Limited
- management consultancy services
-
0.6
Jardine International Motors (S) Pte. Limited
- management consultancy services
-
0.2
-
4.2
12 Additional information
Group
Three months ended
Nine months ended
Restated
Restated
30.9.2019
30.9.2018
Change
30.9.2019
30.9.2018
Change
US$m
US$m
%
US$m
US$m
%
Astra International
Automotive
85.6
91.4
-6
197.1
233.6
-16
Financial services
52.7
44.9
17
152.4
122.4
25
Heavy equipment, mining,
construction & energy
65.0
75.8
-14
182.3
194.5
-6
Agribusiness
2.1
10.9
-81
2.5
33.5
-93
Infrastructure & logistics
2.5
3.9
-36
5.2
4.0
30
Information technology
1.1
1.3
-15
2.7
3.7
-27
Property
0.3
(0.9)
nm
2.6
(1.4)
nm
209.3
227.3
-8
544.8
590.3
-8
Less: Withholding tax on dividend
0.1
0.1
-
(9.1)
(8.6)
6
209.4
227.4
-8
535.7
581.7
-8
Direct Motor Interests
Singapore
13.2
14.5
-9
42.0
41.5
1
Malaysia
(1.7)
0.6
nm
(2.4)
1.3
nm
Indonesia (Tunas Ridean)
4.1
3.9
5
14.0
13.0
8
Myanmar
(1.0)
(1.4)
-29
(3.8)
(2.9)
31
Vietnam
- automotive
9.5
15.3
-38
31.8
48.8
-35
- real estate
0.3
-
nm
0.7
4.0
-83
9.8
15.3
-36
32.5
52.8
-38
Less: Central overheads
(0.8)
(1.0)
-20
(3.2)
(2.3)
39
23.6
31.9
-26
79.1
103.4
-24
Other Strategic Interests
Siam City Cement
7.0
6.0
17
19.1
19.2
-1
Refrigeration Electrical Engineering
8.9
9.1
-2
12.7
13.1
-3
Vinamilk
-
-
nm
27.8
23.8
17
15.9
15.1
5
59.6
56.1
6
Corporate costs
Central overheads
(6.5)
(5.3)
23
(18.0)
(15.5)
16
Dividend income from other
investments, net of tax
-
-
nm
2.7
2.7
-
Net financing charges
(10.6)
(8.6)
23
(30.7)
(22.7)
35
Exchange differences
(25.1)
0.3
nm
(14.4)
(32.0)
-55
(42.2)
(13.6)
210
(60.4)
(67.5)
-11
Underlying profit attributable to
shareholders
206.7
260.8
-21
614.0
673.7
-9
nm - not meaningful
13 Others
The results do not include any pre-acquisition profits and have not been affected by any item, transaction or event of a material or unusual nature.
No significant event or transaction other than as contained in this report has occurred between 1st October 2019 and the date of this report.
The Company confirms that it has procured undertakings from all its directors and executive officers under Rule 720(1) of the Listing Manual.
- end -
For further information, please contact:
Jardine Cycle & Carriage Limited
Joey Ho
Tel: 65 64708115
The full text of the Financial Statements and Dividend Announcement for the period ended 30th September 2019 can be accessed through the internet at 'www.jcclgroup.com'.
This information is provided by RNS, the news service of the London Stock Exchange. RNS is approved by the Financial Conduct Authority to act as a Primary Information Provider in the United Kingdom. Terms and conditions relating to the use and distribution of this information may apply. For further information, please contact rns@lseg.com or visit www.rns.com.ENDQRTUVOKRKSAARAA
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