SENWES ANNUAL FINANCIAL STATEMENTS 2022
13 . DISCONTINUED OPERATIONS 13.1 Discontinued operations : 2022
Suidwes IT Solutions 2 ( Pty ) Ltd (" SWITO 2 ") Senwes as the legal and beneficial owner of its IT-division within Senwes Ltd , disposed of its business to a separate legal entity , SWITO 2 , during the current financial year with effective date of 1 November 2021 . SWITO 2 is fully owned by Africum ( Pty ) Ltd ( a fully owned indirect subsidiary of Senwes Ltd ). The operations of the IT-division within Senwes Ltd is therefore disclosed as discontinued for the current financial year and comparative period . Refer to note 6.1 for further details .
COMPANY |
|
2022 R ' m |
2021 R ' m |
Services rendered |
14 |
8 |
Revenue |
14 |
8 |
Cost of sales |
- |
- |
Gross profit |
14 |
8 |
Distribution , sales and administrative expenses |
( 10 ) |
( 8 ) |
Profit before tax from operations |
4 |
- |
Tax |
- |
- |
Profit after tax |
4 |
- |
Summarised cash flows are as follows : Generated from operating activities |
|
4 |
- |
Used in investing activities |
|
- |
- |
Used in financing activities |
|
( 4 ) |
- |
Net increase in cash flows |
|
- |
- |
Senwes Seed ( division ) Senwes as the legal and beneficial owner of its seed division within Senwes Ltd , offering seed processing services , is in the final negotiation phase for the terms in concluding a sale of the Senwes Seed operations to a third party . A resolution was adopted by the Senwes board of directors resolving that the CEO and CFO are duly authorised to sign and conclude the sale agreement of the operations . The expected effective date of the transaction is 1 November 2022 . The operations of the seed division within Senwes Ltd are therefore disclosed as discontinued for the current financial year and comparative period .
GROUP and COMPANY |
|
2022 R ' m |
2021 R ' m |
Services rendered |
19 |
20 |
Revenue |
19 |
20 |
Cost of sales |
( 2 ) |
( 2 ) |
Gross profit |
17 |
18 |
Distribution , sales and administrative expenses |
( 15 ) |
( 19 ) |
Profit /( loss ) before tax from operations |
2 |
( 1 ) |
Tax |
- |
- |
Profit /( loss ) after tax |
2 |
( 1 ) |
Summarised cash flows are as follows : Generated from operating activities |
|
1 |
6 |
Used in investing activities |
|
( 1 ) |
( 6 ) |
( Used in )/ generated from financing activities |
|
- |
- |
Net increase in cash flows |
|
- |
- |
The major asset class of the division classified as held for sale as at 30 April are as follows :
Assets |
|
|
|
Property , plant and equipment |
|
19 |
- |
Total non-current assets held for sale |
|
19 |
- |
13.2 Discontinued operations : 2021
Agri Credit Solutions ( Pty ) Ltd (" ACS ") Senwes as the legal and beneficial owner of its credit division within Senwes Ltd , offering credit and finance solutions to its customers , disposed of its business to a separate legal entity ( Agri Credit Solutions ( Pty ) Ltd , formerly Suidwes Landbou ( Pty ) Ltd ) with effective date of 1 December 2020 . ACS is fully owned by Senwes through Suidwes Holdings ( Pty ) Ltd ( a fully owned subsidiary of Senwes Ltd ) ( 83,3 %) and a shareholding by Senwes itself of 16,7 %. The operations of the credit division within Senwes Ltd are therefore disclosed as discontinued for the current financial year and comparative period . Refer to note 6.1 for further details .
COMPANY 2022 R ' m
Finance income |
-
|
155 |
Revenue |
-
|
155 |
Cost of generating finance income |
-
|
( 91 ) |
Gross profit |
-
|
64 |
Distribution , sales and administrative expenses |
-
|
( 17 ) |
Profit before tax from operations |
-
|
47 |
Tax |
-
|
( 13 ) |
Profit after tax |
-
|
34 |
Summarised cash flows are as follows : Generated from /( utilised by ) operating activities |
|
-
|
665 |
Used in investing activities |
|
-
|
- |
( Used in )/ generated from financing activities |
|
-
|
( 665 ) |
Net increase in cash flows |
|
-
|
- |
2021 R ' m
48
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