dedicated to value massmart reviewed consolidated results for the 53 weeks ended 29 december 2013...
TRANSCRIPT
Dedicated to ValueMassmart Reviewed Consolidated Results for the 53 weeks ended 29 December 2013
Presentation to Investors, Analysts and Media
February 2014
Divisional Performance
Massdiscounters
> Game SA. Comp sales still low (-2.1%):
- Sales & margin pressure from trading environment, Electronics & clearance
- Very positive customer response to Fresh & Dry Groceries (+20% comps)
- Profit significantly below prior year (expense growth > sales growth)
> Game Africa. Good performance (total sales +22%, own currency +15%)
- Steady economic environment
- Some US$-denominated expense pressure
- Profit growth below sales growth
> DionWired. Great performance (total sales +20%):
- Product inflation now. Category slowing down from low product innovation
- Profit growth below sales growth
53 weeks
52 weeks growth
Comp growth
Inflation
Sales R16.7bn 5.7% 1.0% 0.5%
Massdiscounters continued
53 weeks 52 weeks52 weeks
growth
Sales R16.7bn R16.3bn 5.7%
PBIT R367m R327m -46%
PBIT margin 2.2% 2.0%
> Food / Fresh conversions: 17 converted / opened in 2H. Now in 48 stores, with 13 planned for FY14
> New-look Game stores trading well (nine in FY13 and 30 in FY14)
> Mark Huxtable joined as IT Director and Alan van der Bergh to join as Food Director
> Trading space +7.7% in FY13
> Eight new African stores in FY14-FY15 in Angola, Nigeria, Namibia, Kenya, Mocambique, Ghana & Zambia
Massdiscounters Strategic Plans
> Broadly, Game SA has three problem areas and our response is:
- Sales: introduce Food, reduce Electronics’ participation, new categories (Baby & Clothing), customer value proposition, review store portfolio. Wait out the tough environment
- Margin: greater Food participation, greater F&R reliance to reduce slow-moving stock & mark-downs, private label
- Expenses: leverage RDC investment
> Game Africa:
> More stores. More Food. More property ownership
> DionWired:
> Online. Manage store size & portfolio
Masswarehouse
> Very good trading performance in tough environment
> Pleasing comp sales growth in all categories
> New stores in Alberton, Jhb, in April and Amanzimtoti, Durban, in Sept (a relocation):
> Alberton making significant profit contribution but affecting Germiston & Crown Mines stores
> Amanzimtoti trading well but initially higher costs
> Food Retail / Fresh offering now in 15 stores. Increases customer visits & spend per basket
53 weeks
52 weeks growth
Comp growth
Inflation
Sales R19.7bn 12.0% 4.0% 2.1%
Masswarehouse continued
> Inventory levels slightly higher due to new stores – will stabilise
> Fruitspot sales +38%. Now have combination of new & original key management. Playing growing intra-Group role in Gauteng
> Store pre-opening costs R25m (LY R31m)
> Trading space +9.3% in FY13, now 19 stores. Seven new stores (& two relocations) since Sept ’11. No new stores in FY14
> Group cannibalisation? A new Makro store’s sales in 2nd year are approx. R800m, of which < R100m comes from Group stores
53 weeks 52 weeks52 weeks
growth
Sales R19.7bn R19.3bn 12.0%
PBIT R990m R940m 7.6%
PBIT margin 5.0% 4.9%
Masswarehouse Strategic Plans
> Get new stores to trading maturity
> Widen Baby category
> Enhance Food Retail offering
> Commercial customers
> Online: B2B & B2C
> Supply Chain & Inventory optimisation
> Leverage CRM
Massbuild
> Another great performance:
> Good comp sales growth in Warehouse & Express
> Profit growth well ahead of sales growth
> Refocused Trade Depot:
> FY13: closed four stores and converted five stores to Express
> Converted to Division’s SAP IT platform
> A core of 15 large stores, regionally dominant, focused on Building Materials including Roof Trusses. Represent approx. 70% of original sales
> New store openings: six Builders, eight Express & two Superstores. Trading space +3.7%
53 weeks
52 weeks growth
Comp growth
Inflation
Sales R9.6bn 10.3% 8.2% 4.1%
Massbuild continued
> Format innovation: two new Builders Superstores focused on lower-income customers. Positive sales & profit performance. Four more in FY14
> Africa: Builders Warehouse performing well in Botswana (two) & Mocambique (two). Closed 10 Kangela satellite stores
> Opened RDC in Midrand, Jhb, in April ‘13. Superb team execution. New net operating costs of R33m in FY13. Indent opportunity
> R63m of store pre-opening costs & closure costs (LY R9m)
> Lizelle Peterson joined as FD
> Nine new stores in 2014, including in Mocambique (two)
53 weeks 52 weeks52 weeks
growth
Sales R9.6bn R9.4bn 10.3%
PBIT R508m R468m 16.7%
PBIT margin 5.3% 5.0%
Massbuild Strategic Plans
> New stores roll-out, including Matola in Mocambique (with Game)
> Trade Depot: inventory range, IT platform value extraction, contractors
> Optimise Superstore offering & grow
> Leverage RDC including W Cape
> Focus on Trade Customers & B2B
> Grow Southern Africa store footprint
Masscash
> Tough trading environment:
- Wholesale comp sales +4.1% and Retail +7.8%
- Competition from independently-owned ex-Metro sites
- Unexpectedly low product inflation, but now increasing
> Disorderly market decline but now settling. Trading normalised
> Opened new Wholesale store in Xai Xai, Mocambique
> Opened one Wholesale & five Cambridge. Closed three Wholesale & two Cambridge stores. Trading space +0.6%
53 weeks
52 weeks growth
Comp growth
Inflation
Sales R26.3bn 4.5% 3.8% 4.2%
Masscash continued
> Despite good cost control, sales & margin pressure caused profits to decline in Wholesale
> Masscash Retail trading well. New stores trading above expectation. Strong Cambridge customer brand loyalty & price perception
> New executives in Wholesale: Anton Smith (Shield & Saverite) and Marlon Reddy (IT)
> FY14: seven new Cambridge stores
53 weeks 52 weeks52 weeks
growth
Sales R26.3bn R25.8bn 4.5%
PBIT R281m R260m -3.5%
PBIT margin 1.1% 1.0%
Masscash Strategic Plans
> Close smaller or less profitable stores. Closed three Cambridge stores in Q1 FY14
> New store roll-out
> Improve Supply Chain & Logistics capability in Wholesale
> Focus on Saverite
> Grow Southern Africa store footprint
Store Portfolio
> Massdiscounters: opened 11 and closed four Game stores; opened three DionWired stores;
> Makro: opened Alberton and Amanzimtoti; closed Rossburgh
> Massbuild: Opened six Warehouse; opened five and closed two Express; closed three and sold one Trade Depot; opened two Superstores. Five Trade Depot converted to Express
> Masscash stores: Retail – opened five, closed two. Wholesale – one opened, three closed
Massdiscounters Makro Massbuild Masscash Total
December ’12 133 18 85 121 357
Opened 14 2 13 6 35
Closed -4 -1 -5 -5 -15
Sold - - -1 - -1
December ’13 143 19 92 122 376
SA Retail Environment
Shoprite SA
Cashbuild
Masscash
PnP
Makro
Massbuild
Woolies
0 2 4 6 8 10 12 14 16
Recent Comparable Sales Growth
% Growth
Higher Income Customers
Lower Income Customers
Sources: company announcements for six months to Dec 13. Cashbuild comps estimated from Q1 & Q2 updates. PnP sales for six month to Aug 13
Category Competitors
Sources: company announcements for six months to Dec 13. Hi-Fi & Incredible Connection show Total sales. PnP sales for six months to Aug 13
HiFi & IC
Game SA
Shoprite SA
PnP
Makro
-15 -10 -5 0 5 10
Recent Comparable Sales Growth
% Growth
Core Profit Growth
Rm’s 2013 2012 Change
Operating Profit (52 wks) 2 002 1 708 17%
Exclude Forex -68 +232 -
Exclude Transaction cost in LY - +140 -
Adjusted Operating Profit 1 934 2 080 -7%
Exclude store open / close costs +117 +70
“Core” Operating Profit 2 051 2 150 -5%
December 2013Financial Performance
Income Statement:
Brief Overview of 53 weeks to December 2013
> Total 53 week sales growth of 9.8%
> Total & comparable 52 week sales growth of 7.5% & 3.8%
> Gross margin decreased to 18.5% (PY: 18.6%)
> Comparable expenses of 7.2% > comparable sales growth
> Good results – Makro & Massbuild
> Poor result – Game SA
> Operating profit before interest & forex increased by 7.5%
> 15 December net sales loss of approximately R200 million
> Real comparable volume growth
2012 2011Total %
Chg Comp
% Inflation %
2013 Rm
(53 weeks)
2012Rm
Total %Change
Comp %
(52 weeks)
Inflation %
Massdiscounters 16 740 15 408 8.6 1.0 0.5
Masswarehouse 19 675 17 201 14.4 4.0 2.1
Massbuild 9 584 8 561 11.9 8.2 4.1
Masscash 26 264 24 669 6.5 3.8 4.2
Total 72 263 65 839 9.8 3.8 2.7
Sales
> African businesses sales growth:
• South African Rand grew by 16.6%
• African Local Currencies grew by 10.9% 92%
8%
S.A Sales
Non - S.A Sales
Higher inflation will be driven by:
> Weak Rand
> Food inflation
Low inflation in General Merchandise
Sales Inflation
YTD Sales Inflation to December 2013 %
General Merchandise 0.1
Home Improvement 3.7
Food & Liquor 4.1
Total 2.7
2013(53 weeks)
2012
Gross Profit (Rm) 13 337 12 276
As % of Sales 18.5% 18.6%
> Margins decreased due to a combination of: - Increased contribution from Game Africa
- Improved margin performance in Massbuild
Both of which were offset by
- Difficult trading conditions in Wholesale Food
- Greater overall Food contribution at a lower margin
- General Merchandise margins in Game SA under pressure
Gross Profit
2013(53 weeks)
2012
Operating Costs (Rm) 11 501 10 407*
As % of Sales 15.9% 15.8%
> Operating costs (excl. forex) increased by 10.5% (52 week +9.2%)
> Walmart integration costs - treated as normal operating cost
> Employment costs increased 15.7% (52 week +14.3%)
> Depreciation & occupancy costs up 10.6% & 11.3%, respectively
> Pre-opening and closure costs of R117m (December 2012: R70m)
> Comparable expenses increased by 7.2%
Operating Costs (excluding forex)
* Excludes the R140 million transaction costs
2013(53 weeks)
2012
Employment Costs (Rm) 5 423 4 686
As % of Sales 7.5% 7.1%
> Total increase of 15.7% (52 week +14.3%)
> Comparable increase of 9.5%
> Re-allocation of integration costs
> Increase in staff (FTEs) of 4.2%
• Result of new stores, HO skills & one new RDC
Employment Costs (47% of total costs)
2013(53 weeks)
2012
Occupancy Costs (Rm) 2 555 2 296
As % of Sales 3.5% 3.5%
> Total increase of 11.3% (52 week +10.8%)
> Comparable increase of 8.7%
> 4.8% net new trading space
> 5.9% net new total space (trading and DC)
> High inflation - rates, services & electricity
> Costs should reduce as % of sales from 2014
Occupancy Costs (22% of total costs)
2013(53 weeks)
2012
Depreciation (Rm) 731 661
As % of Sales 1.0% 1.0%
> Increased by 10.6% (52 week +10.6%)
• Growth higher than sales growth but stabilising
• New stores & RDC opened in the period
• Owned Makro properties
Depreciation (6% of total costs)
> Rand weakness compared to African currency basket
> Prior year devaluation of the Malawian Kwacha
Forex Gains & Losses
2013 Rm
(53 weeks)
2012 Rm
Massdiscounters 82 (241)
Other (14) 9
Total Forex Gain/ (Loss) 68 (232)
EBITDA
2013 Rm
(53 weeks)
2012 Rm
Change%
Operating profit before forex 2 085 1 940 7.5
Depreciation & amortisation 731 661
Impairment of assets 41 21
EBITDA before forex 2 857 2 622 9.0
> Lower tax rate due to:
• Decreased proportion of non-deductible expenditure
• No STC in current year
> Effective tax rate to normalise just below 30%
Tax Charge
2013 (53 weeks)
2012
Total tax (Rm) 555 549
Effective tax rate 29.3% 34.8%
2013 (53 weeks)
2012
Rm Days Rm Days
Net Stock 10 115 63 9 691 66
Trade Creditors 13 702 75 12 601 75
> Stock increased 4.4%. Stock days down slightly:
• Improvement in all Divisions other than Massdiscounters
• Game SA over-stocked - soft comparable sales
> Trade Creditors days in line with prior year
> Working capital funding continues to be a key focus area
Stock & Creditors
> Trade debtors are well controlled throughout the Group
> Bad debts of 0.04% of sales are closely monitored (2012: 0.09%)
> No significant concentration of debtors
Debtors
2013 (53 weeks)
2012
Rm Days Rm Days
Gross Trade Debtors 1 919 8.6 1 777 8.6
> Includes:
• The opening of Makro Alberton & Amanzimtoti
• The opening of the Builders Warehouse RDC
• Acquisition of Makro properties
Net Capital Expenditure
2013 Rm
2012 Rm
Net investment to maintain operations 752 629
Investment to expand operations and businesses acquired 1 554 1 035
Total Capital Expenditure 2 306 1 664
> Capex amounts to 3.2% of sales (December 2012: 2.6%)
> Capex, excluding business and property acquisitions, amounts to 1.85% of sales
Capex
Dec 2008 Dec 2009 Dec 2010 Dec 2011 Dec 2012 Dec 2013 -
500
1,000
1,500
2,000
2,500
0.0%
0.5%
1.0%
1.5%
2.0%
2.5%
3.0%
3.5%
Makro properties
Businesses acquired
Investment to expand operations
Net investment to maintain operations
Total capex % of sales
Total capex % of sales excluding business and property acquisitions
Rm
Sales Split between Owned and Leased Assets
> Sales from owned assets represents 27.3% (December 2012: 12.6%)
Dec 2012 Dec 2013
Owned
Leased
Cash flow Statement
2013Rm
2012 Rm
Operating cash before working capital movements 2 984 2 681
Working capital movements 752 (775)
Cash generated from operations 3 736 1 906
Net interest and tax paid (987) (728)
Investment income 79 0.1
Net investment to maintain operations (752) (629)
Free cash flow 2 076 549Dividends paid (913) (864)Investment to expand operations and businesses acquired (1 554) (1 035)
Cash outflow before Financing (391) (1 350)
2013 (cents)
2012 (cents)
Dividend per share 421 421
> Dividend Policy cover = 1.55x
> Final cash dividend declared of 275 cents per share
Dividends
CEO Review
> Underlying profit performance -7%> Strong performances from Massbuild and Masswarehouse> Tough trading environment for Wholesale> With hindsight, MDD ended better than expected in a weak market> Balance sheet and cashflows strong> Investments in Food Retail and Supply Chain started to realise
value> Successful store openings across SA and Africa> Significant market share gains in Food Retail> Outperformed everyone in Electronics
Business Performance Summaryyear in review
Environment
Global Trendsspecific implications for retail businesses
Click icon to add picture
Expectation of convenience and ease of shop
eCommerce/technology changing customer shopping behavior and experience
Customer demand for greater quality and value
Demand for total shopping solutions
Customer seeking products they can trust
Cost pressures
Portfolio approach needed
Competition responding aggressively
Emerging middle class & continuousrise of women’s purchasing influence
Economic headwinds, income disparity & rising costs
Gov’t Intervention, stakeholder influence and role of institutions
Disparity of growth rates
eCom/Technology and transparency
Massmart Implications
Growing consumer expectations for doing good business
Economic Conditionschallenges facing the SA consumer
Increasing Unemployment *
Access to Credit
Rand Depreciation **
GDP Growth Rate *
Sources:* Stats SA** INET BRIDGE
Durable Goods
Semi-Durable Goods
10%
10%Real Household Expenditure Growth *
Consumer Confidence Index **
2004 2013
1/21/14
Real household expenditure is under pressure and trending downward
Consumer confidence index hit a 10-year low; seeing a correlation between confidence and GM sales
Impact of the Economy changing the way consumers spend
-20-15-10
-505
1015202530
Sources:* SARB** BER & FNB
Impact of the Economy changing where consumers spend their money
Source:Stats SA
Massmart Shoppers different shopping patterns by income groups
> Massmart has offerings across all income levels
> The highest and lowest income consumers contribute equally to Group sales:- The top 1% of households by income (Category A) accounts for 17% of retail
expenditure- Equivalent to that spent by the bottom 78% of households by income
(Category E)
> Higher-income consumers are less impacted by the economic conditions
> Lower-income consumers are under extreme constraints; focused on basics and flipping sources of credit
> Expenditure by middle-income consumers on public and controlled price goods is crowding out spending on discretionary goods
Economics Impacting Key Categoriesretail conditions
Massmart has traditionally been strong in
serving the wholesale food customers and
is a market leader in general merchandise.
Both of these categories are impacted:
General Merchandise
•Changes in mix cause over -stocks and therefore margin pressure•Demand for hi-tech and multi-media categories is decreasing
Wholesale Food
•Industry declining•Independents changing the way of operating•Suppliers changing distribution strategies
37.0%
16.5%
34.4%
12.1%
General MerchandiseHome ImprovementFood - WholesaleFood - Retail
General Merchandise in the MarketplaceMassmart sales performance relative to the market
Sep-12 Oct-12 Nov-12 Dec-12 Jan-13 Feb-13 Mar-13 Apr-13 May-13 Jun-13 Jul-13 Aug-13 Sep-13 Oct-13 Nov-13 Dec-13
Massmart GM retail outperforms GM specialists
STATSSa: Retailers in household furniture,appliances and equipment
Massmart GM (excl. cell and Home Improvement)
Sources:MassmartStats SA
> Although the GM category is under pressure, Massmart sales are ahead of the market
> Massmart GM outperforming more specialised GM retailers
Wholesale Food in the MarketplaceMassmart performance relative to the market
> Independents picked up the better ex-Metro stores; mostly inland
> Distribution patterns have changed as a result
> Suppliers have invested in new channels
> Export markets have grown
> Massmart has gained market share in Liquor and lost a bit in Dry Grocery
> Massmart has held market shares overall
Strategic Priorities
Strategic Priorities
Protect and Grow Our Core
Businesses
• General Merchandise
• Wholesale Food
Diversify Our Sales Mix
• Fresh / Retail• Home
Improvement• Private Brands• Clothing
Expand Our Reach
• Africa• eCommerce• New Stores
Built on a Foundation of Trust
Strategic Prioritiesprotect and grow in core markets
Wholesale TradingStore portfolio review
Grow in AfricaSupplier JBP process
Drive Comp Sales
Repositioning of General Merchandise Consolidating Ranges Shrinking Store Sizes Wider Ranges Online Widening Ranges Higher Quality Choices New Categories (Baby)
Refocus Range on Middle-incomeOPP OwnershipRe-allocate Space
Store Location Optimisation Brand Consolidation New Low-Income Consumer Brand Complete Contractor Solutions
Maximize Returns in Wholesale Food
Reducing 3rd Party Distribution Growing Commercial Business Exporting Opportunities B2B eCommerce Expansion
Optimise Store
Portfolio Deepening Customer Value Supplier Partnerships
Strategic Priorities
Protect and Grow Our Core
Businesses
• General Merchandise
• Wholesale Food
Diversify Our Sales Mix
• Fresh / Retail• Home
Improvement• Private Brands• Clothing
Expand Our Reach
• Africa• eCommerce• New Stores
Built on a Foundation of Trust
Strategic Prioritiesdiversify our sales mix
Wholesale TradingStore portfolio review
Grow in AfricaSupplier JBP process
Drive Comp Sales
Grow in Fresh Retail across all income levels:
MakroGame
Cambridge Food
Win in the Home Improvement Category with
Builders:New Superstore
EDLP model
Clothing:Trialing George in Makro and Game
with Baby and Essentials to test
future apparel categories
Increase Private Label participation
across the Group and Divisions to deliver trusted items at a great
value
Strategic Priorities
Protect and Grow Our Core
Businesses
• General Merchandise
• Wholesale Food
Diversify Our Sales Mix
• Fresh / Retail• Home
Improvement• Private Brands• Clothing
Expand Our Reach
• Africa• eCommerce• New Stores
Built on a Foundation of Trust
Strategic Prioritiesexpand our reach
Wholesale TradingStore portfolio review
Grow in AfricaSupplier JBP process
Drive Comp Sales
Grow Outside of SADedicated African team and
Forum establishedCity (Power Center) and Country
Strategies in placeSmall format opened in Nigeria –
ValuMart7 stores scheduled to open in
2014
Servicing Customer 2.0Global Leverage of Walmart.com
Skills AcquisitionNew Makro site launch
eCommerce Forum across Functions and Brands
B2B eCommerce through Builders and Makro
Strategic Prioritiesexpand our reach with new stores
Wholesale TradingStore portfolio review
Grow in AfricaSupplier JBP process
Drive Comp Sales
Number of Stores
New Area(square metres)
Compound Annual Growth %
Massdiscounters 33 124,703 8.1%
Masswarehouse 1 17,500 2.9%
Masscash 27 83,850 6.6%
Massbuild 28 87,496 6.7%
Total Group 89 313,549 6.6%
Massmart Store Pipeline 2014 - 2016
Group Growth Figures 2014 2015 2016
Area Growth 85,050 122,500 105,999
% Growth 6.15% 8.22% 6.49%
No of Stores 26 32 31
Building Trusta framework to operate by
After government, business is the least trusted institution globally
Massmart has embarked on a conscious journey to become sub-Saharan Africa’s most trusted retailer
We have adopted a trust framework that comprises 8 trust focus areas
Products and Services
Innovation
Workplace
Governance
Citizenship
Leadership
Organisation Effectiveness
Performance
Building Trust
Our strategic plans are built to deliver a trust-worthy brand. Listed below are a few additional ways we build trust within our organisation:
Leadership• Massmart Corporate University• 50 New Graduates• CEO’s Women’s Council
Citizenship• An amount of R50m is committed for 2014 • Lethabo Milling company - hopes to launch a private label maize
meal• Annual Report has been Delivered to the Commission
Governance• Compliance policies and monitoring in place across all businesses
Organisational Effectives• Leveraging the ASDA model of We Operate 4 Less to drive
efficiencies
Prospects
> For the 8 weeks to 23 February 2014, total sales increased by 9.5% and comparable sales increased by 7.7%
> A much stronger start to the financial year than we anticipated> Whilst too early to be confident about this new trend, the strong start
suggests a better overall performance this year than last > Whilst we remain cautious about the economy, we are much more
positive about the business as we reap the rewards from the operational focus of last year
Massmart’s 2014 Prospects
Conclusion
> Good 2013 performance given the economic conditions> Excited about the beginning of 2014 sales> Transaction, integration and supply chain investments are completed> Over the initial growing pains of entering the food retail business> Strong growth plan> Strong operational disciplines in place to deliver results> Cautious about the economy> Confident about the company
Conclusion
Thank You & Questions
Additional FinancialData
Reviewed Results for 53 Weeks Ending December 2013
Dec 2013
RmDec 2012
RmRevenue 72 513 66 051 Sales 72 263 65 840 Cost of sales (58 926) (53 563)Gross profit 13 337 12 277 Other income 250 211 Depreciation and amortisation (731) (661)Impairment of assets (42) (22)Employment costs (5 424) (4 687)Occupancy costs (2 555) (2 297)Foreign exchange profit / (loss) 68 (232) Walmart transaction, integration and related costs - (349)Other operating costs (2 750) (2 533)Operating profit 2 153 1 707Net finance costs (255) (127)Profit before taxation 1 898 1 580 Taxation (555) (550)Profit for the period 1 343 1 030
Tax Rate Reconciliation
Dec 2013
%
Dec 2012
%
Standard tax rate 28.0 28.0
Non-taxable income and disallowed expenses (2.0) (2.1)
Allowances on lease premiums and improvements (0.3) (0.5)
Assessed loss not utilised 1.4 1.5
Withholding tax 0.1 (0.7)
STC - 3.5
Other – including foreign tax adjustments and transaction related costs
2.1 5.1
Group tax rate 29.3 34.8
Headline Earnings Reconciliation
Dec 2013 Rm
Dec 2012 Rm
Attributable earnings 1 283.0 972.3
Impairment of assets 41.6 21.6
Loss on disposal of fixed assets 11.9 16.4
Loss on disposal of business 1.8 16.5
Fair value adjustment on assets classified as held for sale
- 8.3
Tax effects on adjustments (3.8) (8.1)
Headline earnings 1 334.5 1 027.0
Capex Per Category
Dec 2013 Rm
Dec 2012 Rm
Investment to expand operations and businesses acquired (1 307) (1 069)
Land and buildings/leasehold improvements (807) (100)
Vehicles (35) (40)
Fixtures, fittings, plant and equipment (428) (492)
Computer hardware (33) (20)
Computer software (2) (24)
Other (2) (9)
Businesses acquired - (384)
Net investment to maintain operations (752) (629)
Land and buildings/leasehold improvements (35) (56)
Vehicles (39) (29)
Fixtures, fittings, plant and equipment (517) (321)
Computer hardware (70) (90)
Computer software (96) (136)
Other 5 3
Number of Shares
‘000
At December 2012 216 910
Shares issued 199
At December 2013 217 109
Weighted-average at December 2013 216 935
Diluted weighted average at December 2013 219 268