SEEK AFRICA TRADING (PTY) LTD (Registration Number 2015/368634/07) ‘Annual Financial Statements for the year ended 28 February 2019SEEK AFRICA TRADING (PTY) LTD (Registration Number 2035/368624/07) ‘Annuel Financial Statements for the year ended 28 February 2019 Index The report and statements set out below comprise the annual financial statements presented to the shareholder: General information 2 Report ofthe Compiler 3 Director's Responsibilities and Approval 4 Director's Report 5 Statement of Financial Postion 6 statement of Comprehensive Income 7 statement of Changes Equity 8 stotement of Cash Flows 8 ‘ecounting 10-12 Notes tothe Annual Financial Statements 13-18 Supplementary information Detailed income Statement 15-15, Income Tax Computation aSEEK AFRICA TRADING (PTY) LTD (Registration Number 2015/368634/07) ‘Annual Financial Statements for the year ended 28 February 2019, General Information ‘country of incorporation and Domicile Director Business Address \Value Added Tax Registration Number compilers ‘south Africa OR Muller 9 tleve Junction 1 Corlett Drive ovo Sandton 2196 4110279637 Van Wyk Auditors 462 Grysbok Street waterkloof RidgeReport of the Compiler ‘othe Director of Seek Arica Trading (Pty) Led \We have compiled the accompanying annval financial statements of Seeking Africa Trading (Poy) Ltd based on information you have provided. These annual financial statements comprise the statement of financial position of Seeking Africa Trading (Pry) Ltd as at 28 February 2039, the atement of comprehensive income, the statement of changes in equity and the statement of tazh flows for the year then ended, 2 summary of significant accounting policies and other explanatory information |e performed this compilation engagement in accordance with International Standard on Relatea Services 4410 (Revised), Compilation Engagements, We have applied our expertise in accounting and financial reporting to assist you In the ‘preparation and presentation of these financial statements in accordance with the Internationa) Financial Reporting Standard for Small and Medium-sized Entities anc the requirements of the Companies Act of South Africa, We have complied with relevant ethical requirements including principles of integrity, objectivity, professional competence and due care. ‘These financial statements and the accuracy and completeness of the information used to compile them are your responsibly Since a compilation engagement is not an assurance engagement, we are not regued to veri the accuracy or completeness of the information you provided to us to compile these financial terents, Accordingly, we do not express an audit opinion or a review conclusion on whether these financial statements ere prepared in accordance with the International Financial Reporting | Standard for Small and Meciumsized Entities and the requirements of the Companies Act of | sti vrata so september 2019 repo 462 Gnsbok street, i Watertoot Ridge + Pretoria, winvanapattonens Per Oberoi Gauteng _ Crartered courant (A) cus we szra mis meens e jiepenasion REGISTERED AUDITORS & ACCOUNTANTS WW GEREGISTREERDE OUDITEURS & REKENMEESTERS ‘eovoressocares | Jeni sen er - Shem NENA + Coven PEER A TONG EEA ASEEK AFRICA TRADING (PTY) LTD {Registration Number 2015/368634/07) ‘Anual Financial Statements fr the year enée 28 February 2019 Director's Responsibilities and Approval “he director is required by the South rican Companies Act to maintain adequate accounting records and i resporsile for Pa ea ntegity ofthe annual financial statements and related financial information incused In thls report. Its his ‘Reporubity to ensure tat the anual nani statements saisy the Financial reporting standards a5 to form and Conte eperesent ‘iy the statomert of financial poston, results of operations and business of the company, and ex@iin he a erent and financial postion of the business of the company at the end of the financial year. The annual fnand2) aeeari see based upon appropriate accounting poles easisterly applied throughout the compery and supported! by reasonable and prudent judgements and estimates. “Tne director acknowledges that he is utimately responsible forthe system of internal financial contol established by the Tennsuny and places considerable importance on mintzining a strong control environment. To enable the director te mest Caen ponsblties, he sets standards for Internal control aimed at ceducing the risk of errr or loss In a cost effective eee eer standerds include the proper delegation of responsibilities within a clearly defined framework effective crating procadures ané adequate segregation of dis to ensure an acceptable level of sk These contrls are monitored Siroughont te company ond all eployees are requled to maintain the highest ethical standards n ensuring the companys jusines is conducted in 2 manner thatin all reasonable ciraumstances Is ove reproach. “The focus of risk management inthe company ison identifying, assessing, managing anc! monitoring all known forms of ik creche company, While operating rsk cannot be ful eliminated, the company endeavour to minimise by ensuring hat SSoSonaw intesucure, control, systems and ethical behaviour are applied and managed within pregeermined procedures and constraints ‘The decors of the opinion, based on the Information and explanation gven by management thatthe system of interna) Test provides reasonable essurence thatthe financial records may be relied on forthe preparation ofthe annval Financ! SGiements, However, any system of internal nancial contol can provide only reasonable, and not absolute, assurance gars satel nrartotement or lose, The going-concer basis has been adopted in preparing the annal francial statements, ased caercats and avalable cash resources the director has no reason to believe thatthe company willnot be a going concern in he foreseeable future. The annual financial statements support the viablity of the company. “The compilers ar responsible fr reporting onthe company’s annval financial statements. The compilation report presented on page 3, ‘The annual financial statements asset out on pages 6 to 14 were approved by the drector on 30 September 2019 and were my AL DR MullerSEEK AFRICA TRADING (PTY) LTD {Regain Number 2035/268634/07) fa nana Statement forthe year ended 28 Fabracy 20:9 Director's Report ‘The director presents his report for the year ended 28 February 2038, Review of activities ‘Main business and operations “The prinipal activity of the company is and there were no major changes herein during the year ‘The operating results and statement of financial pasion ofthe company are fully set out inthe attached nancial statements ‘and do notin my opinion require any further comment . Going concern “the annual financial statements heve been prepared on the basis of accounting polices applicable too going concer. This ran os that tune mil be avaible to finance future operations and thatthe reasalion of assets and setiement of lpiities contingent obligations and commitments will occur in the ordinary course of Business . Events after reporting date ‘Av events subsequent to the date of the annual financial statements and for which the applicable financial reporting framework reouie adjustment or disclosure have been adjusted or disclosed. “The directors not aware of any matter or circumstance arising since the end of the financial year tothe date of ts report thet could have a material effect on the finencal position of the company. . Authorised and issued share capital a changes were approved or made tthe authorised or issued share capital ofthe company during the year under review Borrowing limitations In terms of the Memorandum of Incorporation af the company, the director may exercise all the powers of the company to borrow money, a he considers appronriate . Director “he director ofthe company Gurng the year and tothe date of this report isa follows: DR Muller Compiters Van Wyic Auditors were the compilers for the year under review.SEEK AFRICA TRADING (PTY) LTD {Registration Number 2015/368634/07) Finzndal Statements for the year ended 28 February 20:9 Statement of Financial Position Figuresin R Notes 2018 2018 Assets Non-Current Assets Propery, plant and equipment 3 zsmges 2153989 Loans receivable 4 __760320 3431819 curtont Assets levertories s 0,000 Trading investments 6 3,000,000 Trade and other receivables 1 866,980 Cash and can equivalents 3 iz 7 4.337.057 Total Assets 7,768,876 Equity and abilities Equity Issued capital 100 100 Retaines earnings ___sa9056 457.482 asr a2 Non-Current abilities Borrowings 8 soso Current tables “rade and other payables 2 6199560 6414.64 Current taxlibilty 72.460. 272,020 — “otal Equity and abies 776876SEEK AFRICA TRADING (PTY) LTD (Registration Number 2015/368634/07) Financial Statements forthe year ended 28 February 2019 ‘Statement of Comprehensive Income Figures in 2019, 2018 Revenue 19,093,845 24,408,022 Cost of sales (16,139,354) __ (22,670,306) Gross profit 2954491 «1,737,718 (ther income 247,525 : ‘Operating costs (961,120) _(4.301,277) Operating profit, 260,887 36,481 Finance income 12,290 165310 Finance costs __@ _t : Profit before tax 252,885 602,751 Texexpense (vos1s) (468,771) Profit forthe year 181,574 433,580 457482 Retained income at 1 March 2018 Profit fr the year Retained income at 28 February 2019 181574 539,056,SEEK AFRICA TRADING (PTY) LTD (Registration Number 2015/368636/07) Financial Statements for the year ended 28 February 2019 Statement of Changes in Equity Retained Figures in Share capital___earnings. Total Balance at 1 March 2017 100 23502 23,602 ‘Total comprehensive income forthe year Profit for the year aa 933980 433.980. ‘Total comprehensive income forthe year : 333,980 453.980 Balance at 28 February 2018, 457,482. 457,582 Balance at 1 March 2018 300 457.482 457582 Total comprehensive income for the year Profit forthe year 181574 ‘Total comprehensive income for the year Balance at 28 February 2019, 300 381,574SEEK AFRICA TRADING (PTY) LTD (Registration Number 2035/368624/07) Financial Statements for the year ended 28 February 2019 ‘Statement of Cash Flows Fiuresio 8 Noteis) 2019 2018 Cath flows from operating activites Profitforthe year e174 433,980 Adjustments for: Finance costs 2 ‘Income tax 7osit 368,771 Depreciation of property, plant and equipment rms 148,928 Investment income (11,290) (166,310) Profit on disposal of property, plant and equipment (287,526) : Operating cesh flow before working capital changes 770813 505,353 Working capital changes Increase in financial assets = (8,000,000) Increase in inventories : (0,000) Increase in trade and other receivables (237.081) (625617) (DecreaseV/inerease in trade and other payables ___ 15.124) __ 614684 Net eash flows from operations 318,708 3,293,436 Investment income 11,290 166,310 Finance costs ) Texpald ta7606) [et cashflows from operating activities 353,935 3459,745, Cash flows used in investing activities Property, plant and equipment acquired 3 (2.408.684) (2,275,586) Proceeds on eisposals of property, plant and equipment ___seuese || Net cash flows used in investing activities (4,047,032) __ (2,275,586) cash flows from / (used in) financing activities oars raised/(repaid) __2a240 Net cash flows from / (used in) financing activities 24,240 [Net (decrease) / increase in eash and cash equivalents (51,957) ‘cash and cash equivalents at beginning ofthe year 1,041,934 ‘Cash and cath equivalents at end ofthe year 8 390,077SEEK AFRICA TRADING (PTY) LTD (Registration Number 2015/368634/07) Financial Statements for the year ended 28 February 2029 Accounting Policies 1. General information ‘eck Africa Trading (Pty) Ltd sa private company incorporated in South Afi. 2. Summary of significant accounting policies -These annual nani statements have been prepared in accordance with the Intemational Finandal Reporting standards for Sat and Mediom-sized Entities Issued by the Intemational Accounting Standards Board and the cequrements of the Companies het of South Area. The principal accounting poles applied In the preparation ofthese fnancal statements ere serrat below. These policies have been consistently applied to all the years presented, unless otherwise stated, “These financlal statements have been prepared unde the historical cost convention and are presented in South African Rands. 2.1 Revenue recognition revenue comprises the fair value of the consideration received or receivable for the sale of goods and/or services in the Dralnary course ofthe company’s actives, Revenue i shown net of value-added tax, returns, and discounts “The company recognises revenue when: the amount of reverue can be reably measured; tis prebable that future economle pencil low te the entity, and specifi criteria have been met for each of the company's activities, as described below: 2.2 Income tax ‘The tax expense for the year comprises curent and deferred tax. Tax i recognised in profit or loss, except that a change srenctable to an item oF income or expense recognised as other comprehensive income is also recognised direct in other comprehensive income. -the current income tax charge is calculated on the basis of tax rates and laws that have been enacted or substantively enacted by the reporting cate Deferred taxis recognised on differences between the carrying amounts of assets and labilties Inthe financial statements anc ther corresponding tax bases (known as temporary differences) Deferred tax liabilities are recognised for all temporary cTfcrences tnot are expected to increase taxable profit in the future, Deferred tax assets are recogrised forall temporary Giferences that are expected to reduce taxable profit in te future, and any unused tax losses or unused tax cris, DeferreG fax ascots are measured at the highest amount that, on the basis of current or estimated future taxable profits more likely than not to be recovered. “The net carrying amount of deferred tax assets is reviewed at each reporting date and is adjusted to reflect the current _assesement of future taxable profits. Any adjustments are recognised in profit or loss. Deferred taxation Is calculated at the tax ates that are expected to apply to the taxable profit (taxloss) ofthe periods in which ‘tewpects the deferred taxation asset tobe realised or the deferred taxation Hablty to be settled, on the basis of taxrstes that have been enacted or substantively enacted by the end of the reporting period. 123 Property, plant and equipment items of property, plant and equipment are measured at cost ess accumulated depreciation and any accumulated impairment losses.SEEK AFRICA TRADING (PTY) LTD (Registration Number 2015/368634/07) Financial Statements for the year ended 28 February 2019 Accounting Policies ‘costs include costs incurred initially to acquire or construct an item of property, plant and equipment and costs incurred cipseqvently to add to, replace part of, or service it Ifa replacement costs recogrised in the carrying amount of an item of property, plant and equipment, the carving amount ofthe replaced partis derecognise. Depreciation is charged soas to allocate the cost of assets less their residual values over ther estimated useful Ives, ving the Straightline method. The fllowing rates are used fr the depreciation of propery, plant and equipment: “The residval value, depreciation method and useful Ife ofeach asset are reviewed at each annual reporting period if there are inccators present that there has been significant change from the previous estimates. Motor vehicles 25.00% Furniture and fitings 1667% Other fied asset 20.00% Office equipment 33.33% equipment. 32.33% Trailers 20.00% 2.4 Trade and other receivables “trade recehables are recogrised intially atthe transaction price. They are subsequently measured at amortized cost using the Uiective interest rate method, less provision for impairment. A provision for impairment of trade receivables is established cree ere is objective evidence thatthe company will not be able to collect all amaunts due according to the orginal terms ofthe receivables, 2.5 Cath and eash equivalents ‘cash and cash equivalents includes cash on hand, demand deposits and other short-term highly liquid investments with Grginal matures of three months or les. Bank overdrafts are shown under current lables on the statement of finan position, 2.6 Share capital Ordinary shares are classified as equity. culty insruments are measured a the fair value ofthe cash or other resources received or receivable, net ofthe giect costs btissuing the equity instruments. If payments deferred and the ime value of money is material the ital measurement on a present value basis. 2.7 Borrowings Sorrowings are recognised initaly atthe transaction price (that the present value of cash payable to the bank, including iransoction costs), Borrowings are subsequently stated at amortised cost Interest expense fs recognised on the bass of the eifectve interest rate methed ands included in finance costs Sorrowings are cassfed as eurentlabities unless the company has an uncanitional right to defer settlement ofthe abity for atleast 12 months after the reporting date. : WwSEEK AFRICA TRADING (PTY) LTD {Registration Number 2015/368634/07) Financial Statements forthe year ended 28 February 2019 Accounting Pol Trade payables ‘rade payables ae recognised italy t the ansacton price and subsequently measured at amortsed cost using the effective interest rate method.SEEK AFRICA TRADING (PTY) LTD (Registration Number 2015/368634/07) Financial Statements forthe year ended 28 February 2019, Notes to the Annual Financial Statements Figures in Pr Owned assets ‘Motor vehicles uriture and fittings Other fied asset Office equipment TT equipment Traller erty, plant ané equipment cost 2,761,750 100898 115,785 103,669 415,185 92,823 3,501,110 Accumulated 2019 Carrying “The carrying amounts of property, plant and equloment can be reconciled as follows: Owned assets Motor vehicles Furniture ane fittings Other fixed asset Office equipment equipment Trailer Owned assets Motor vehicles Furiture and fittings Other fived asset Office equipment equipment Taller carrying value at beginning of year 187.47 76923 29,314 63,169 242,000 $0430 253,983 carrying value beginning of depreciation value Cost (720,248) 2,081,506 3,714,528 (20,088) 80,854 82,598 (31911) 83,874 100,813 (29,623) 74,086 68,169 (97,331) 318,858 287,705 (20.958) 73,865 92,823 (920,11) 2,670,999 2,306,926 Additions _Disposals_Depreciatior 4,471,733 (114,126) (603,248) 18,000 = (14,069) 14972 (20,412) 35,500 (29,623) 168,479 (93,625) = 03,565) 1,408,684 (114,126) ‘Additions Disposals _Depreciation 1714518 (227,371) 63,950 (3,612) 88,421 (9.847) 68,169 - : 247,708 . (5,705) 92,823 : (2,393) 2,275,586 (448,928) B 2019 2018. Accumulated 2018 Carrying depreciation _| value_ (7am) 4587147 (6575) 76923, (14s) 89314 : 68,69 (5,705, 242,000 (2383) 90420 (52,943) 2,252,983 2019 Carving value at end of year 2,083,506 20,54 83,874 74,086 a1e.ase (77542) 2018 Carrying value at end __of year 1,587,187 76923 99,318 63,169 242,000 90430 2,153,988SEEK AFRICA TRADING (PTY) LTD (Registration Numer 2015/368624/07) Financial Statements for the year ended 28 February 2019 Notes to the Annual Financial Statements Figures inf 2018 2018 4 Loans receivable oan -Seek Group (Pty) Ltd 525,820 : Loan) Muller 35,000 85,000 Loan -FGxStudtos 350000 150,000 760820 235,000 inventories Inventories comorise Other stock 0.000 80,000. 6, Trading investments Investment 3,000,000 3,000,000 +7. Trade and other receivables sundry debtors 349,600 Value Added Tax 517,380 866,980 8. Cash and cash equivalents Favourable cash balances NB Platinum Business 6257232376 nzasy 875.634 Investec Call Account 377590 390077 1,001,934 9, Borrowings Unsecured Loan - Seek Group (Pty Ltd : 77980 oan Director 857,700 12,700 87,700 30,640 40, Trade and other payables ‘Trade creditors - Sundry creditors 6,199,560 6,199,560SEEK AFRICA TRADING (PTY) LTD (Registration Number 2035/368634/07) Financial Statements for the year ended 28 February 2019 Detailed Income Statement_ = Figures in 2018 Gross Revenue sales 6735765 24408022 Bilngs -Revenue Nike Project, 1.895211 Bing - Waterfall __as.a89 19093.845 24,408,022 costof ates Opening stock 20,000 Purchases 16,139,358 72,750304 losing sock (80,000) (20,000) 16139358 22,670308 Gress Profit 3737718 other Income Investment income 11290 165310 Proficon sale of fixed assets 287526 a 258.816 166310 3213307 1508028 . WwSEEK AFRICA TRADING (PTY) LTD (Registration Number 2015/368634/07) Financial Statements for the year ended 28 February 2019 Detailed Income Statement Figures in 201: 2018. Expenditure Accounting fees 86,463 38.064 Advertising 28,450 : Bank charges 13682 21,405 Commission pale 4,000 : Computer expenses 10157 547 Depreciation - Tangible assets yrsaa 148 928 Discount allowed 47883 Donations 2.650 Electricity and water 10,000 : Entertainment 170318 7470 Finance costs 2 General expenses : 19200 Insurance 176938 aor Legal expense 708,588 60,000 Motor vehicle expense 543,712 424051 Office Expense 29,153 z Postage 16,875, 4483 Printing and stationery 7851 1490 Rent Paid 43ae 20814 Repairs and maintenance 3,265 sis Salaries 2778 11080 Security 1.950 - Staff walfare : 723 Storage Costs 30417 Telephone and fox 8.083 93038 Travel -local 24,798 68s Travel overseas 217,757 2a9.972 2961122 1301277 Profit before tax 252,185 602,751 Taxation (7osit) __ (68,773) Profit forthe year 11,574 433,980SEEK AFRICA TRADING (PTY) LTD (Registration Number 2015/368634/07) Financial Statements forthe year ended 28 February 2029 Income Tax Computation Et Figures in ‘Add Back Deduct 2018 2018 Profit bore tax oa.ysa Computed income for te year eons ‘Nocmal tax on R 252,185 at28cin the 168,771 Total per income statement (18,770) Less: Assessed tax payments/refunds 10301 Provisional tax sstpayment 45,500 2nd payment 120260 E Debit credit) balance brought forward 791) (9.20) Total per balance sheet Asset/Uabiliy) (72462) arz911) ieee Ww