According to a statement by Zeder, in August last year, shareholders voted in favour of acquiring the rights to the management agreement from PSG Group in exchange for the issue of 207,7 million Zeder shares, representing a 12% equity interest.
This agreement did not meet the criteria for intangible assets in terms of International Financial Reporting Standards (IFRS), and was consequently accounted for in the income statement as a non-recurring headline expense, the statement said.
Zeder continues to use the sum of the parts (SOTP) value and recurring headline earnings per share benchmarks to provide management and investors with a realistic and transparent way of evaluating Zeder’s performance, according to the statement. Zeder’s SOTP value as at 31 March 2017 will be between R8,62/share and R9,11/share.
“For the year ended 28 February 2017, the recurring headline earnings per share will be between 42,2 cents and 43 cents, or between 0,5% lower or 1,4% higher [year-on-year],” the statement said.
“The headline loss per share will be between 47 cents and 48 cents, compared to the headline earnings per share of 36,5 cents reported for the [corresponding period last year], while the attributable loss per share will be between 48,5 cents and 49,7 cents, compared to 52,5 cents [in 2016].”
The company’s audited results for the year ended 28 February 2017 will be published this week.
