1999/07/16
PROFIT WARNING [JSE Securities Exchange - SENS]
 
16/07/1999 - 20:35:36

WOOLTRU LIMITED
(INCORPORATED IN THE REPUBLIC OF SOUTH AFRICA)
(REGISTRATION NUMBER 05/08278/06)
("WOOLTRU")
PROFIT WARNING
TRUWORTHS INTERNATIONAL LIMITED, A 54,9% HELD SUBSIDIARY OF WOOLTRU LIMITED,
ANNOUNCED ON 13 JULY 1999 THAT IT EXPECTED TO SHOW A REDUCTION IN PROFITS FOR
THE YEAR ENDED 30 JUNE 1999, AS A RESULT OF MATERIAL LOSSES LIKELY TO BE MADE
BY ITS AUSTRALIAN SUBSIDIARY, SPORTSGIRL SPORTSCRAFT GROUP.
WOOLWORTHS HOLDINGS LIMITED, IN WHICH WOOLTRU HAS A 46,7% INTEREST, HAS
ANNOUNCED THAT IT ANTICIPATES SHOWING A DECREASE IN PROFITS FOR THE CURRENT
YEAR.
THE DECLINE BY THESE TWO MAJOR CONTRIBUTORS TO THE GROUP, TOGETHER WITH
GROUPWIDE DEPRESSED PERFORMANCE ARISING FROM EXTREMELY DIFFICULT RETAIL
CONDITIONS IN THE SECOND HALF, WILL RESULT IN WOOLTRU SHOWING A MATERIAL
DECREASE IN PROFITS FOR THE YEAR TO JUNE 1999.
WOOLTRU PRESS RELEASE
WOOLTRU TODAY ISSUED AN ANNOUNCEMENT WARNING SHAREHOLDERS THAT THE GROUP
ANTICIPATED SHOWING A MATERIAL DECREASE IN PROFITS FOR THE YEAR TO JUNE 1999.
TRUWORTHS INTERNATIONAL, THE 54,9% HELD SUBSIDIARY OF WOOLTRU ANNOUNCED THIS
WEEK THAT, DESPITE A STALWART PERFORMANCE FROM ITS SOUTH AFRICAN CORE BUSINESS
IN LINE WITH EXPECTATIONS, IT WAS LIKELY TO SHOW A REDUCTION IN PROFITS FOR THE
YEAR AS A RESULT OF MATERIAL LOSSES IN ITS AUSTRALIAN SUBSIDIARY, SPORTSGIRL
SPORTSCRAFT.   TODAY WOOLWORTHS, THE 46,7% ASSOCIATE OF WOOLTRU, ALSO ANNOUNCED
THAT IT WISHED TO CONFIRM MARKET EXPECTATIONS OF A DECLINE IN HEPS FOR THE YEAR
COLIN HALL, CEO OF  WOOLTRU, BELIEVES THAT THE CORRECTIONAL ACTIVITY BEING
IMPLEMENTED BY BOTH WOOLWORTHS AND TRUWORTHS INTERNATIONAL, COMBINED WITH THE
RECOVERY AT MASSMART HOLDINGS, SHOULD CONTRIBUTE TO IMPROVE RESULTS FOR THE
GROUP FOR THE YEAR ENDING JUNE 2000.
IN ADDITION, TRUWORTHS' RECENTLY IMPLEMENTED AND PLANNED CHANGES AT SPORTSGIRL
SHOULD RESULT IN A MEANINGFUL IMPROVEMENT AT SPORTSGIRL IN THE YEAR TO JUNE
2000.   SOME OF THE CHANGES INTRODUCED INCLUDED NEW KEY EXECUTIVE APPOINTMENTS,
EXTENSION AND REDESIGN OF THE PRODUCT RANGE AND COMPLETE ASSIMILATION OF THE
TRUWORTHS SYSTEMS AND PROCEDURES WHICH WERE PRESENT IN SPORTSGIRL, BUT NOT
IMPLEMENTED TO STANDARD.
WOOLWORTH'S PLANS PERTAINING TO MERCHANDISING AND SYSTEMS PRESENTLY BEING
IMPLEMENTED ARE EXPECTED TO RESULT IN AN IMPROVEMENT IN TRADING PERFORMANCE IN
THE FORTHCOMING YEAR.
"IN FACT", SAYS MR. HALL, "ANY IMPROVEMENT IN TRADING CONDITIONS IN THE SOUTH
AFRICAN MARKET, LARGELY AS A RESULT OF THE REDUCTION IN INTEREST RATES, WILL
ASSIST ALL GROUP COMPANIES TO RESUME SOUND EARNINGS GROWTH IN THE NEXT
FINANCIAL YEAR".
PRODUCED BY: ELIZE BLOM 16-07-1999 07:03 SENS

PUBLISHER : JSE SENS Feed
Source: JSE Securities Exchange - SENS
 
DISCLAIMER: http://www.mcgbfa.com/disclaimer.htm
 
Email
 
Print