Edutech changes loss into earnings

Johannesburg, 31 May 2002

Nova Education and Technology Holdings (Edutech) says it has endured the tests posed by challenging conditions in an important year.

"The 2001/02 financial year was a year of great importance to Edutech as the foundations were laid to become a leading player in the broader education sector and in the process to generate positive revenue from the various subsidiaries to the benefit of shareholders," says chairman CJ Booyens.

The group reported headline earnings per share of 0.49c for the year to 28 February 2002 compared with a 39c loss the previous year.

"From a close study of the marketplace, it is clear that business conditions can be regarded as daunting for a fledgling company," Booyens says.

"However, it can be reported that Edutech has endured the tests these challenging conditions have posed and that substantial progress can be identified."

He adds that "tough and protracted negotiations" led to rolling out additional business units to enhance revenue opportunities, although no contribution was made to the latest results.

"The 2002/03 financial year will mark the period during which Edutech will become a fully functional group of companies that will be able to successfully enhance the inherent synergies that exist among them."