Pinnacle Technology Holdings has discovered that its full-year net profit was in fact about half of what it previously reported.
<B>Salient figures</B>
Pinnacle Technology Holdings` restated results for the year to 30 June 2003.
Previous year`s figures in parentheses.
Revenue: R417.82m (R358.55m)
Operating profit before interest: R17.36m (R12.53m)
Net profit before tax: R13.01m (R7.8m)
Net profit: R2.41m (R6.51m)
EPS: 1.62c (4.38c)
HEPS: 4.78c (4.38c)
Current assets: R106.54m (R123.29m)
Cash and equivalents: R11.44m (R8.13m)
Current liabilities: R70.34m (R99m)
Cash flow from operations: R6.67m (R30.28m)
The group said previously that its net profit for the year to end-June had declined by 26% from R6.51 million to R4.85 million.
However, CEO Arnold Fourie says when the annual report was being drawn up, a number of errors were discovered, particularly with regard to the deferred tax calculation and allocations of items in the cash flow statement.
Net profit has been restated at R2.41 million, representing a 63% decline from the previous year.
Headline earnings per share were erroneously recorded at 6.33c. However, the restated figure of 4.78c compares with a prior year figure of 4.38c. Restated earnings per share of 1.62c (erroneously recorded at 3.26c) compare with a prior year figure of 4.38c.
Fourie says the correct financial statements will be incorporated in the annual report.
This is scheduled to be mailed to shareholders next week.
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