7/27/2019 PION Unaudited results for HY ended 30 Jun 13.pdf

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14 - 16 Hermes Road, Southerton, Harare, Zimbabwe

Telephone: (+263) 4 621 000-14, Facsimile: (+263) 4 621 055

www.pioneerafrica.com

TOTAL TRANSPORT & LOGISTICS SOLUTIONS

Notes to the financial statements

1. Accounting policiesThe consolidated financial statements have been prepared in accordance with International Financial Reporting Standards(IFRS) as issued by the International Accounting Standards Board. The policies applied are consistent with those applied inprevious years.

2. Functional currencyItems included in the financial statements of the Group are measured using the currency of the primary economic environmentin which the parent company operates (the functional currency).The financial statements are presented in United StatesDollars (USD) which is the Group's functional and presentation currency.

Directors: P C Chingoka (Chairman), H B W Rudland, A Ushe (CEO)*, G R Smith*, B G Manyenyeni, C Matigimu, T A Taylor, R Costa * Executive

Unaudited FinancialStatements

for the half year ended 30 June 2013

CONSOLIDATED STATEMENT OF CHANGES IN EQUITYfor the half year ended 30 June 2013

Attributable to equity shareholders of the parentNon Share No n

Share distributable Revaluation FCTR -holders Accumulated controlling Totalcapital reserve reserve loans loss interest equity

USD000 USD000 USD000 USD000 USD000 USD000 USD000 USD000

Balance as at 1 January 2012 549 4,762 1,061 (88) 577 (2,727) 999 5,133

Transaction with ShareholdersShareholder loans transferredto equity - - - - 2,298 - - 2,298

Comprehensive (loss)/income(Loss)/Profit for the year - - - - - (907) 345 (562)

Other comprehensive incomeCurrency translation differences - - - (324) - - (324) (648)Revaluation of property, vehiclesand equipment (net of tax) - - 148 - - - - 148

Balance as at 31 December 2012 549 4,762 1,209 (412) 2,875 (3,634) 1,020 6,369

Balance as at 1 January 2013 549 4,762 1,209 (412) 2,875 (3,634) 1,020 6,369

Transactions with shareholdersShareholder loans transferredto equity - - - - - - - -

Comprehensive (loss)/income(Loss)/Profit for the half year - - - - - (918) (241) (1,159)

Other comprehensive incomeCurrency translation differences - - - (61) - - (61) (122)

Balance as at 30 June 2013 549 4,762 1,209 (473) 2,875 (4,552) 718 5,088

Chairman's Statement

The Group had a difficult first six months of 2013 mainly due to the limited liquidity and challenging environment that has prevailed in Zimbabwe during thistime.

Revenue decreased by 9% compared to the same period last year and this has directly caused the operating loss reflected in this statement.

Management however is confident that there will be a turnaround in the last quarter of the year and that this loss will be reduced by year end. This is in additionto advanced plans to increase fleet capacities before the end of the year.

The purchase of Unifreight Limited's operating assets is still awaiting regulatory approval. We are confident that once approval is granted Pioneer CorporationAfrica will not only double its revenue base but will also be able to fully maximize on synergies that exist and provide a more complete transport and logisticssolution to the market.

No dividend has been declared in line with the Group's strategy of debt reduction and investing in working capital.

On behalf of the Board, I would like to thank management, staff and other stakeholders for their support and continued commitment during this time.

P C Chingoka

CONSOLIDATED STATEMENT OF FINANCIAL POSITIONas at 30 June 2013

2013 2012June December

USD 000 USD 000ASSETS

Non current assets 12,685 13,371Property, vehicles and equipment 7,863 8,491Investment Property 4,822 4,880

Current assets 5,653 4,499Inventories 230 327Trade and other receivables 5,022 3,976Cash and bank balances 401 196

TOTAL ASSETS 18,338 17,870

EQUITY AND LIABILITIES

Equity attributable to owners of the parent 4,370 5,349Share capital 549 549Non distributable reserve 4,762 4,762Revaluation reserve 1,209 1,209Foreign currency translation reserve (473) (412)Shareholders loans 2,875 2,875Accumulated loss (4,552) (3,634)

Non controlling interest 718 1,020Total equity 5,088 6,369

Non current liabilities 4,417 4,466Borrowings 2,724 2,290Trade and other payables 317 497Deferred income tax liabilities 1,376 1,679

Current liabilities 8,833 7,035Trade and other payables 8,250 5,917Current income tax liabilities 137 150Borrowings 446 968

TOTAL EQUITY AND LIABILITIES 18,338 17,870

CONSOLIDATED STATEMENT OF COMPREHENSIVE INCOMEfor the half year ended 30 June 2013

2013 2012June June

USD 000 USD 000

Revenue 12,367 13,586

Cost of sales (8,521) (7,785)

Gross Profit 3,846 5,801

Other operating income 150 743

Distribution expenses (125) (146)Administration expenses (5,494) (5,947)Other operating expenses (154) (99)

Operating (loss)/profit (1,777) 352

Financing costs 432 (40)

(Loss)/Profit before taxation (1,345) 312

Income tax credit 308 344

(Loss)/Profit for the half year (1,037) 656

Other comprehensive income:Currency translation differences (122) (8)

Total comprehensive (loss)/income for the half year (1,159) 648

(Loss)/Profit for the half year attributable to:Owners of the parent (857) (329)Non-controlling interest (180) 985

(1,037) 656

Total comprehensive (loss)/income attributable to:Owners of the parent (918) (337)Non-controlling interest (241) 985

(1,159) 648

Basic loss per share (cents) (1.56) (0.60)

CONSOLIDATED STATEMENT OF CASH FLOWSfor the half year ended 30 June 2013

2013 2012June June

USD 000 USD 000

Net cash generated from operating activities 855 (459)Cash generated from operations 883 (390)Interest paid (27) (11)Taxation paid (1) (58)

Net cash utilised in investing activities (311) 306Purchase of property, vehicles and equipment (347) (582)Proceeds from sale of property, vehicles and equipment 36 888

Net cash utilised in financing activities (88) 44Proceeds from borrowings 368 794Repayments of borrowings (456) (750)

Net increase/(decrease) in cash and cash equivalents 456 (109)

Cash and cash equivalents at beginning of year 196 560Net foreign exchange differences (251) -

Cash and cash equivalents at end of half year 401 451