South Africa: Huge Group’s audited results show R2.7 million increase in revenues

Mergers, Acquisitions and Financial Results

Huge Group, an AltX listed company specialising in managed telecommunications, last week reported that its revenues for the year ended 28 February 2009 had increased by a further R2.7 million with the auditing of the year-end results.

The results announced in May this year were reviewed by the auditors but not audited because of delays caused by discussions between Huge and the JSE which affected the accounting treatment of derivatives contracts held by the company.

The subsequent audit has increased revenues for the financial year to R608,83 million from the reviewed figure of R605,85 million, following the reallocation of a bad debt provision.

The group’s net asset value per share for the year to February benefited from a marginal upward adjustment to 234.91 cents compared to the 234.7 cents reported in May, with tangible net asset value per share being revised to 31.05 cents from the previous 30.81 cents.

Huge CEO, James Herbst, said that none of the changes were material, and they had no effect on attributable earnings, headline earnings or earnings per share.

Huge Group, South Africa’s leading managed telecommunications company, remains profitable and cash generative, with revenues that are by nature recurring or annuity based. Its cash generated from operations for the year ended 28 February 2009 was R55.7 million.