Landboubesighede Prestasiemetingsopname 2007 ... · 2007 2006 3.91 keer Debiteure as persentasie...

Bedryf / IndustryLandbou / Agriculture

PwC

Landboubesighede Prestasiemetingsopname 2007 Agribusinesses Benchmarking Survey 2007

PricewaterhouseCoopers het redelike professionele sorg en noukeurigheid aan die dag gelê met die saamstel, verwerking en rapportering van die inligting. Die data is egter van derdepartybronne afkomstig en is nie onafhanklik deur PricewaterhouseCoopers geverifieer, bevestig of geoudit nie. PricewaterhouseCoopers verskaf geen waarborge en doen geen voorstelle ten opsigte van die inligting se juistheid en of dit geskik is vir die doel waarvoor gebruikers dit inspan nie.

PricewaterhouseCoopers kan nie deur enige gebruiker van die verslag of enige ander persoon of entiteit aanspreeklik gehou word wat die inligting se juistheid of enige weglatings of foute in die inhoud daarvan betref nie, ongeag die oorsaak van sulke onakkuraatheid. Voorts sal PricewaterhouseCoopers onder geen omstandighede aanspreeklik gehou kan word vir die gevolglike, toevallige of strafbare skade aan enige persoon of entiteit ten opsigte van enige saak sover dit hierdie inligting betref nie.

PricewaterhouseCoopers has exercised reasonable professional care and diligence in the collection, processing, and reporting of this information. However, the data used is from third party sources and PricewaterhouseCoopers has not independently verified, validated or audited the data. PricewaterhouseCoopers makes no representations or warranties with respect to the accuracy of the information, nor whether it is suitable for the purposes to which users put it.

PricewaterhouseCoopers shall not be liable to any user of this report or to any other person or entity for any inaccuracy of this information or any errors or omissions in its content, regardless of the cause of such inaccuracy, error or omission. Furthermore, in no event shall PricewaterhouseCoopers be liable for consequential, incidental or punitive damages to any person or entity for any matter relating to this information.

ContentsInhoudsopgawe

Bladsy / Page

Hooftrekke 2 Salient featuresVoorwoord 3 PrefaceBestuursopsomming 9 Executive summaryGebruik van die publikasie 18 Use of this publicationDie Bedryf 19 The IndustryWinsgewendheid 22 Profitability1.1 Bate-omsetkoers 22 1.1 Asset turnover rate1.2 Netto inkomste samestelling 24 1.2 Net profit composition1.3 Bate-opbrengskoers 27 1.3 Asset yield rate1.4 Netto winspersentasie 34 1.4 Net profit percentage1.5 Bruto winspersentasies 36 1.5 Gross profit percentages1.6 Rentedekking 39 1.6 Interest cover1.7 Silobenutting 40 1.7 Silo utilisation1.8 Silotariewe 41 1.8 Silo tariffs1.9 Direkteursvergoeding 42 1.9 Directors’ remuneration1.10 Werkswinkeltarief 42 1.10 Workshop tariff1.11 Departementele personeelkoste 42 1.11 Departmental personnel costs1.12 Rekenaarkoste 44 1.12 Computer costsBalansstaatstruktuur 47 Balance sheet structure2.1 Totale bate samestelling 47 2.1 Total asset composition2.2 Ekwiteit en aanspreeklikhede samestelling

51 2.2 Equity and liability composition

2.3 Bedryfskapitaalverhouding 54 2.3 Operating capital ratio2.4 Ekwiteitsverhoudings 55 2.4 Equity ratios2.5 Voorraad 57 2.5 Stock2.6 Debiteure 61 2.6 DebtorsMetodologie 65 MethodologyOor PricewaterhouseCoopers 67 About PricewaterhouseCoopersNotas 72 Notes

Landboubesighede Prestasiemetingsopname 2007 / Agribusinesses Benchmarking Survey 2007 1

2 Landboubesighede Prestasiemetingsopname 2007 / Agribusinesses Benchmarking Survey 2007

Hooftrekke / Salient features

Deelnemers / ParticipantsAantal deelnemers /Participants number

Omset van deelnemers - (R miljard) /Turnover of participants (R billion)

21

2007 2006 2005

1911

20.515.4

8.1

Tendense / Tendencies

Omset - Handel /Turnover - Trade

Omset - Onderdele /Turnover - Spare parts

27%

2007 2006

Omset - Implemente /Turnover - Implements

Graan - Transaksies /Grain - Transactions

10%

28%-12%

43%-32%

-6%67%

Netto winspersentasie van omset /Net profit percentage of turnover

Bruto winspersentasie - Handel /Gross profit percentage - Trade

2007 2006

6.8%

Bruto winspersentasie - Direktes /Gross profit percentage - Directs

Bruto winspersentasie - Onderdele /Gross profit percentage - Spare parts

Bruto winspersentasie - Implemente /Gross profit percentage - Implements

7.4%

4.0%3.2%

17.5%17.3%

22.3%24.7%

9.8%6.6%

Rentedekking /Interest cover

Silobenutting /Silo utilisation

2007 2006

3.91 keer

Debiteure as persentasie van totale bates /

Debtors as percentage of total assets

3.89 keer

41%43%

51.3%64.8%

Ekwiteitsverhouding /Equity ratio

Voorraadomsetsnelheid /Stock turnover ratio

2007 2006

46.7%

Debiteuredae /Debtors’ days

50.2%

6.1 keer5.4 keer

94104

Netto wins /Net profit

24%-5%


Voorwoord Preface

Landbou-oorsig

Die landbou is en bly die lewensaar van ’n land se ekonomie. Dié waarheid is geanker in die verskynsel dat landbou, tesame met primêre voedselverwerking, by verre die grootste verskaffer van werksgeleenthede ter wêreld is.

Strategiese rol

Selfs in lande waar die rol van landbou gekwyn het as gevolg van dalende bevolkingsgetalle en die opkoms van veral tersiêre sektore, word die strategiese rol van die landbou deur middel van ’n verskeidenheid van vorms van staatsondersteuning erken (meestal deur subsidies).

Suid-Afrika is geen uitsondering op die gebied van die strategiese belangrikheid van dié bedryfstak nie.

Die volgende tabel verskaf ’n bondige aanduiding van die strategiese rol wat die landbou in die Suid-Afrikaanse ekonomie speel, asook in die breër gemeenskap.

Tabel 1: Strategiese rol van landbouBelangrike bron van buitelandse valutaverdiensteGrootste bron van werkskepping in die ekonomieVoedsel-sekuriteitInsette vir sekondêre voedselverwerkingVerhoed oormatige verstedelikingBydrae tot omgewingsbewaringBydrae tot BBPBydrae tot belastingbasisSurplusproduksie voorkom hoë inflasie

Die landbou is uiteraard ’n ekonomiese bedryfstak met boerderye wat deesdae nie wesenlik van ander sakebedrywighede ten opsigte van die grondliggende eienskappe van bestuur verskil nie. Een van die kernaspekte van goeie bestuur is om oor voldoende en betroubare kennis van die mark te beskik. Publikasies soos hierdie lewer ’n belangrike bydrae tot die uitbou van bruikbare kennis oor saketoestande in die landboubedryf.

Indien die landbousektor in komende jare groter inslag in die opstel en inwerkingstelling van ‘n landboubeleid wil verkry, sal dit nodig wees vir individuele landboubesighede om tersaaklike opnames

Agricultural overview

Agriculture is and will always be the lifeline of the economy of any country. The truth of this statement is demonstrated by the fact that agriculture, along with primary food processing, is the biggest job creation mechanism in the world.

Strategic role

Even in countries where agriculture has contracted as a result of declining population growth and the rise of tertiary sectors in particular, the strategic role of agriculture is acknowledged via various forms of state support (mostly through subsidies).

South Africa is no exception when it comes to the strategic importance of this branch of industry.

The following table provides a brief indication of the strategic role of agriculture in the South African economy and further afield.

Table 1: Strategic role of agricultureImportant source of foreign exchange earningsLargest source of job creation in the economyFood securityInputs for secondary food processingPrevents excessive urbanisationContributes to nature conservationContribution to the GDPContribution to the tax baseSurplus production prevents high inflation

Agriculture is a branch of industry with farming operations that nowadays are no different from other business enterprises with regard to the fundamental characteristics of business management. One of the core aspects of good management is to have available sufficient and reliable knowledge of the market. Publications such as this one make an important contribution to extending relevant and useful knowledge about business conditions in the agricultural industry. For the agricultural sector to add weight to its voice when it comes to the design and implementation of agricultural policy, it will be necessary for individual agricultural businesses to support relevant surveys


Voorwoord Preface

te ondersteun en ook om meer betrokke te raak by hulle onderskeie streeksorganisasies. Sodoende kan die georganiseerde landbou meer verteenwoordigend wees en sy stempel tot ’n groter mate op beleidskwessies afdruk.

Geen plaasvervanger vir voedsel

Ter wille van deeglikheid in die motivering van ’n meer doeltreffende landboubeleid, is dit nodig om te beklemtoon dat daar wel plaasvervangers vir die oorgrote meerderheid van nie-voedselprodukte bestaan. ’n Huis kan van klip, hout, sement, staal of ’n verskeidenheid van ander vervaardigde materiale gebou word. Daar is egter geen plaasvervanger vir voedsel nie. Daarsonder ly ’n mens eenvoudig honger.

Afrika sukkel al vir dekades lank om die mas met die verhoging van produktiwiteit in die landbou op te kom en kan gerus kers by Asië en Suid-Amerika gaan opsteek. Laasgenoemde streke het tussen 1980 en 2000 die gemiddelde opbrengs van graangewasse per hektaar met onderskeidelik 43% en 60% verhoog. Afrika se toename oor dieselfde tydperk was ’n skrale 3%.

Redes vir dié sukkelvertoning sluit die volgende in:

Gebrekkige infrastruktuur.

Swak opleiding.

’n Gebrek aan subsidiëring.

Maatskaplik-politieke onstabiliteit.

Onvoldoende navorsing en ontwikkeling.

Hoë vlakke van landbousubsidies in Europa en Amerika.

Onsekerhede rondom grondbesit.

Struikelblokke

Suid-Afrika het tot ’n groot mate daarin geslaag om hierdie probleme te systap en het tot onlangs oor ’n landboubeleid beskik wat in vele opsigte doeltreffend was. In onlangse jare het daar egter heelwat struikelblokke op die landboupad gekom, veral ten opsigte van die gebrek aan subsidies, hoë rentekoerse, onsekerheid rondom grondhervorming en probleme met die Landbank.

Verder bestaan daar geen ander wesenlike bedryfstak wat in só ’n groot mate aan natuurkragte uitgelewer is

•

•

•

•

•

•

•

and to become involved in their respective regional organisations. This will allow organised agriculture to become more representative and will ensure that it has a greater impact on policy issues.

No substitute for food

For the sake of thoroughness in motivating a more efficient agricultural policy, it is necessary to emphasize that substitutes do exist for the vast majority of non-food products. A house can be constructed from rock, wood, cement, steel or a variety of other fabricated materials. Conversely, there is no substitute for food. Without food we will starve.

Africa has been struggling for decades to succeed in increasing agricultural productivity and would be well advised to look to Asia and South America. In the years from 1980 to 2000 these regions respectively increased their average yields of grain crops per hectare by 43% and 60%. The growth in Africa was a meagre 3%.

Reasons for this poor performance include the following:

Inadequate infrastructure.

Poor training.

A lack of subsidies

Social-political instability.

Insufficient research and development.

High levels of agricultural subsidies in Europe and the US.

Uncertainties regarding land reform.

Obstacles

South Africa managed to a large degree to sidestep these problems and until recently had an agricultural policy that was successful in many respects. In recent years, however, several obstacles cropped up in the agricultural field, especially in respect of the lack of subsidies, high interest rates, uncertainties about land reform and problems with the Land Bank.

In addition there is no other material industrial branch that is subject to the forces of nature to such a large extent. No manufacturer of steel, clothing or vehicles

•

•

•

•

•

•

•


nie. Geen vervaardiger van staal, klere of voertuie gee ’n duit om vir afwykings in die temperatuur van die see-oppervlakte in die ekwatoriale Stille Oseaan nie. Vir ’n boer in Suid-Afrika kan dié inligting egter ’n aanduiding wees van bo- of ondergemiddelde reënval wat in die kort- en middeltermyn verwag kan word.

Op ’n meer positiewe noot, is dit duidelik dat die landbou begin om baat te vind by die verstommende tempo van ekonomiese groei in Asië, wat in onlangse jare tot ’n ongekende toename in die vraag na kommoditeite aanleiding gegee het.

Tabel 2 toon dié goeie nuus vir produsente sedert die begin van 2005. Die pryse van tafeldruiwe, canola en grondbone het ook onlangs mooi toegeneem. Ander faktore het uiteraard ook tot die skittervertoning van meeste sleutelgewasse bygedra, veral ten opsigte van onlangse droogtetoestande in die suidelike halfrond.

Tabel 2: % toename in die pryse van sleutelgewasseJanuarie 2005 tot November 2007

ToenameVoergars 156%Sonneblom 142%Koring 123%Witmielies 123%Geelmielies 119%Sojabone 103%Bron: Graan SA

Gelukkig is die huidige koers in die toename van koste-insette nie naastenby van dieselfde omvang nie, hoewel rentekoerse tans die grootste vlieg in die salf is. Tabel 3 verskaf inligting aangaande die koers van toename (op ’n jaargrondslag) van belangrike koste-insette in vervaardiging, waarvan heelwat ook op die landbou van toepassing is.

Dit is hieruit duidelik dat dubbelsyfer-inflasie tans ’n werklikheid in die landbousektor is. Met ’n olieprys van om en by $100 dollar per vat en ’n sentrale bank wat met ’n beperkende monetêre beleid volhou, is dit onwaarskynlik dat die koers van toename in landbou-insetkoste binnekort gaan daal.

Voorwoord Preface

cares a hoot about fluctuations in the temperature of the sea surface in the equatorial Pacific Ocean. For a farmer in South Africa, though, this information can be an indication to expect above or below average rainfall patterns in the short to medium term.

On a more positive note, it is clear that agriculture is beginning to benefit from the staggering rate of economic growth in Asia, that in recent years has led to an unparalleled increase in the demand for commodities.

Table 2 reflects this good news for producers since the beginning of 2005. Prices of table grapes, canola and ground nuts have also shown a particularly good increase recently. Other factors naturally also contributed to the brilliant performance of most key crops, particularly if the recent drought conditions in the southern hemisphere are considered. Table 2: % increase in the prices of key crops

January 2005 to November 2007Increase

Feed grain 156%Sunflower 142%Wheat 123%White maize 123%Yellow maize 119%Soya 103%Source: Graan SA

Fortunately, cost inputs are not increasing at nearly the same rates at the moment, although interest rates are currently the biggest cause for concern. Table 3 contains data relating to the rate of increase (on a yearly basis) in important cost inputs in manufacturing, much of which is relevant to agriculture as well.

It is clear from this that double-digit inflation is a reality in the agricultural sector at present. With the oil price at a level of just below $100 a barrel and a central bank that is maintaining a restrictive monetary policy, it is unlikely that the rate of increase in agricultural input costs will start dropping soon.


Tabel 3: Prysstygings in landbou (jongste %-verandering op jaarbasis)Voedsel 20.2%Finansiering van bedryfskapitaal 16.7%Diesel 13.5%Lone en salarisse 10.1%Kunsmis 9.1%Masjinerie (algemene gebruik) 8.8%Elektriese masjinerie 7.5%Vervoertoerusting 6.9%Metaalprodukte 4.8%Masjinerie vir gespesialiseerde gebruik 4.8%Gemiddeld 10.2%Geweegde gemiddeld (vir landbou) 10.8%Bronne: Stats SA, SAPIA, Absa, Ekonostrat

Dit bly ’n ongelukkige teenstrydigheid dat die monetêre owerhede regstreeks tot hoër inflasie aanleiding gee wanneer rentekoerse verhoog word (as gevolg van duurder behuisings- en finansieringskoste). Verder lei dit ook onregstreeks tot hoër inflasie deurdat bedryfstakke waar vraagtoestande afplat, stygende oorhoofse eenheidskoste ervaar. Sowel dié primêre as sekondêre uitwerking sal grotendeels op die verbruiker afgewentel word.

Gelukkig wil dit voorkom asof die produksieprysindeks (PPI) reeds ’n boonste draaipunt bereik het. Daar bestaan tradisioneel ’n sloering van sowat ses maande tussen die PPI en die verbruikersprysindeks (VPI), wat beteken dat rentekoerse moontlik teen die tweede kwartaal van 2008 kan begin afplat.

Verder vertoon die makro-ekonomiese prentjie rooskleurig. Suid-Afrika beleef tans die langdurigste ononderbroke groeifase in die land se geskiedenis. Die huidige opwaartse fase van die konjunktuursiklus is in sy 100ste maand meer as dubbel die tydperk van die vorige rekord van 44 maande.

Die vraag-kant van die ekonomie is ongetwyfeld potensieel sterk genoeg om ekonomiese groei tot die amptelike teiken van 6% te lig, maar dit sal nog ’n klompie jare duur voordat wesenlike struikelblokke aan die aanbodkant van die ekonomie aangespreek is.

Gelukkig vir die landbou het sake-vooruitsigte ook in onlangse maande mooi herstel van die lae vlakke waarop dit aan die begin van die winter beweeg het.

Voorwoord Preface

Table 3: Price increases in agriculture(latest % change on an annual basis)Food 20.2%Financing of production capital 16.7%Diesel 13.5%Wages and salaries 10.1%Fertilisers 9.1%Machinery (general use) 8.8%Electric machinery 7.5%Transport equipment 6.9%Metal products 4.8%Machinery for specialised use 4.8%Average 10.2%Weighted average (for agriculture) 10.8%Sources: Stats SA, SAPIA, Absa, Ekonostrat

It remains an unfortunate contradiction that the monetary authorities contribute directly to higher inflation when interest rates are raised, due to more expensive housing and financing costs. A levelling off in demand conditions also results indirectly in higher inflation in that industry branches experience rising overhead unit costs. Both the primary and secondary effects will largely be filtered down to consumers.

On the upside, it would appear that the production price index (PPI) has already reached its upper turning point. Traditionally there is a delay of some six months between the PPI and the consumer price index (CPI), meaning that interest rates may start levelling off by the second quarter of 2008.

The macro-economic picture is promising. South Africa is experiencing its longest uninterrupted growth phase in the country’s history. The current upward phase of the business cycle is in its 100th month - that is more than double the period of the previous record of 44 months.

On the demand side the economy is undoubtedly potentially strong enough to raise economic growth to the official target of 6%, but it will take a number of years to address and resolve a number of obstacles on the supply side.

Fortunately for agriculture, business prospects have improved in recent months from the low levels experienced in the beginning of winter.


Volgens die jongste indeks van sakevertroue in die landbousektor, wat deur die Landboubesigheidskamer en die Nywerheidsontwikkelingskorporasie opgestel word, het die vierde kwartaal se vlak van vertroue met 9.1% toegeneem, na ’n styging van 8.6% in die derde kwartaal.

Van die wêreld se voorste weernavorsers is vol vertroue dat bogemiddelde reënval in die suidelike halfrond se huidige somer sal voorkom. Rentekoerse is naby aan ’n boonste draaipunt en het nog nie daarin geslaag om huishoudelike besteding wesenlik in te perk nie.

Met die wêreldbeker vir sokker wat om die draai is en die vooruitsig van ongekende groei in toerisme, lê daar bes moontlik ’n hele klompie vet jare vir die landbou en wag.

Dr Roelof BothaEkonomiese raadgewer / Economic Advisor:

PricewaterhouseCoopers

Voorwoord Preface

According to the latest index of business confidence in the agricultural sector, drafted by the Agricultural Business Chamber and the Industrial Development Corporation, during the fourth quarter the level of confidence increased by 9.1%, after an increase of 8.6% in the third quarter.

A number of foremost weather researchers globally are confident that above-average rainfall can be expected in the southern hemisphere this summer. Interest rates are approaching their upward turning point and have not yet succeeded in materially curbing domestic spending.

With the soccer world cup looming, and prospects of an unparalleled boom in tourism, agriculture can expect bumper results in the next few years.


Bestuursopsomming Executive summary

Hierdie verslag is die derde amptelike prestasiemetingsopname van landboumaatskappye/-koöperasies (verder na verwys as landboubesighede) deur PricewaterhouseCoopers. Dit handel oor die finansiële resultate van landboubesighede wat hoofsaaklik verantwoordelik is vir die verskaffing van insette tot en dienste aan landbouprodusente waaroor in 2007 verslag gedoen is.

Die eerste uitgawe van dié prestasiemetingsopname twee jaar gelede het bestaan uit die resultate van 11 landboubesighede met ’n totale omset van R8.06 miljard. Altesame 19 landboubesighede, met ’n gesamentlike omset van R15.4 miljard, het aan verlede jaar se opname deelgeneem. Hierdie jaar is daar 21 deelnemers met ’n gesamentlike omset van R 20.5 miljard. Hiervoor ons innige dank.

Die opname bied ‘n vergelyking tussen die resultate van landboubesighede in streke met uiteenlopende klimaatsomstandighede, grootte en finansiële jaareindes teen die agtergrond van vertroulikheid. Inligting vir die samestelling van die prestasiemetingsprofiel is verkry vanuit vraelyste wat deur deelnemers self voltooi is, asook vanuit hul finansiële state. Die inligting is gedurende November 2007 ingesamel.

Ekonomiese toestande

Die algemene Suid-Afrikaanse ekonomiese omgewing van die tydperk onder oorsig kan as uiters positief beskryf word. Dit was hoofsaaklik aan relatief lae inflasie- en rentekoerse te danke, te midde van positiewe ekonomiese groei. Hiervoor behoort die owerhede met sy makro-ekonomiese en fiskale beleid, asook hul moed om doelgerig regstellende stappe te doen, gelukgewens te word.

Die inflasiekoers en gevolglik ook rentekoerse het egter oor die laaste gedeelte van die periode hoër begin neig. Dit, tesame met die inwerkingtreding van die nuwe Kredietwetgewing, kan ‘n demper op toekomstige ekonomiese groei plaas, hoewel die handhawing van ’n hoë groeikoers steeds moontlik is.

Terwyl die breë ekonomiese groei aanleiding tot reële groei in werkskepping gegee het, was daar ’n afname in die landbou. Dit dui dan ook op die druk wat tans in dié sektor ervaar word rakende winsgewendheid en die gevolglike disinvestering uit die sektor.

This report is the third official benchmarking survey of agricultural companies/cooperatives (later referred to as agribusinesses) by PricewaterhouseCoopers. It deals with the financial results of those agribusinesses that are mainly responsible for providing inputs and services to agricultural producers reported on in 2007.

The first edition of this benchmarking survey two years ago comprised the results of 11

agribusinesses with a total turnover of R8.06 billion. Altogether 19 agribusinesses with a combined turnover of R15.4 billion participated in last year’s survey. This year there were 21 participants with a combined turnover of R20.5 billion. We express our sincere appreciation for their participation.

The survey provides a comparison of the results of agribusinesses in regions with diverging climate conditions, sizes and financial year-ends, against a background of confidentiality. Information for the compilation of the performance measurement profile was obtained from questionnaires completed by the participants themselves, as well as from their financial statements. The information was collected during November 2007.

Economic conditions

The general South African economic environment during the period under review can be described as extremely positive. This was due mainly to relatively low inflation and interest rates, amid positive economic growth. For this the authorities, with their macro-economic and fiscal policies, as well as their courage to continue determinedly with affirmative action, must be congratulated.

However, the inflation rate and consequently also interest rates started rising later in this period. That, along with the commencement of the new Credit Act, may put a lid on future economic growth, although it may still be possible to maintain a high growth rate.

While general economic growth led to real growth in job creation, there was a decline in agriculture. This is symptomatic of the pressure currently experienced on profitability and the resulting disinvestment from this sector.



Die randwisselkoers het terselfdertyd wisselvallig teenoor die geldeenhede van Suid-Afrika se vernaamste handelsvennote vertoon met ‘n appresiasie van tot 15%. Terwyl ‘n stewiger geldeenheid oor die algemeen positief is vir die ekonomie, is dit nie noodwendig op die korttermyn voordelig vir produsente wie se inkomste regstreeks in buitelandse geldeenhede verdien word, of wie se inkomste deur invoerpariteit bepaal word nie. Die internasionale oliepryse bly egter op ongemaklike hoë vlakke en ondanks die versagtende uitwerking van ’n stewiger wisselkoers, bly binnelandse pryse steeds styg.

Landboutoestande

Nadat graanpryse twee jaar gelede op rekord lae vlakke was met oorproduksie aan die orde van die dag, is produksie mettertyd afgeskaal om ’n herstel mee te bring. Dit is gedoen om net in ‘n hoë reënvalseisoen probleme met die gehalte van die graan te ervaar. Die afskaling in produksie het egter graanpryse gestabiliseer. Die lae mieliepryse van sowat twee jaar gelede het aanleiding gegee tot die laagste mielie-aanplantings in tien jaar. Die laer aanbod van mielies en die uitwerking van droogtetoestande het uiteraard ‘n gunstige uitwerking op pryse gehad. Die internasionale markte het ook ‘n buitengewone jaar beleef waar die uitwerking van etanolvervaardiging die mielieprys na vlakke van tot oor die $4 per bushel laat styg het.

Die verwagting rakende die pas afgelope produksieseisoen was belowend wat produsente genoop het om weer graan op grootskaal aan te plant. Dit is gedoen ten einde die gunstige ondervogtoestande te benut met die oog op hoër opbrengste om die vorige twee seisoene se verliese uit te wis. Ongelukkig het die natuur weer eens verras met ‘n ongekende droogte en langdurige hittetoestande. Die resultaat was dat ondergemiddelde swak oeste verwag is met alleenlik kleiner gebiede wat beter opbrengste gelewer het.

Die styging in graanpryse het nietemin verligting gebring in gevalle waar die opbrengste nie normaal was nie. Met wêreldvoorraadvlakke van graan wat baie laag is, ‘n al hoe groter vraag na mielies vir die bio-brandstofbedryf in die VSA en ‘n baie laer opbrengs op aanplantings vir die komende oesseisoen, kan graanpryse verder styg.

At the same time, the rand exchange rate performed unsteadily against the currencies of South Africa’s main trading partners, with an appreciation of up to 15%. While a firmer monetary unit in general has a positive effect on the economy, it is not necessarily beneficial in the short term for producers who earn their income directly in foreign currencies, or whose income is determined by import parity. The international oil prices remain at uncomfortably high levels, though, and despite the alleviating effect of a firmer exchange rate, local prices keep rising.

Agricultural conditions

After grain prices dropped to record lows two years ago with overproduction all around, production was scaled down gradually to effect recovery. This was done in such a way that problems with the quality of grain would crop up only in a high rainfall season. However, grain prices were stabilised by the scaling down of production. The low maize prices of two years ago gave rise to the lowest maize plantings in ten years. The lower supply of maize combined with the effects of drought conditions inevitably had a favourable effect on prices. International markets also experienced an exceptional year, where the effect of ethanol production pushed the maize price to levels of more than $4.

Expectations regarding the past production season were promising, leading producers to start once more with large-scale grain plantings. The idea was to exploit the favourable soil moisture conditions with a view to greater yields, in order to counter the losses of the previous two seasons. Unfortunately nature once more surprised in the form of an unparalleled drought and extended heat conditions. The result was that underaverage poor crops were expected, with only smaller areas giving better yields.

The rise in grain prices nevertheless brought relief in cases where the yields were not normal. With global grain stock levels being very low, an increasing demand for maize for the biofuel industry in the USA and a significantly lower yield on plantings for the coming harvest season, grain prices may rise further.


Aanduidings is dat daar nou baie mielies aangeplant gaan word, indien die weer dit toelaat. Die relatiewe goeie prysvlakke en die heersende swak plantomstandighede vir koring, kan koringprodusente na mielies laat omskakel. Dit kan weer tot ’n oorskot van mielies in die volgende seisoen aanleiding gee.

Hiermee saam het die produsente van vleis, wol en sybokhaar ’n goeie jaar beleef. Terselfdertyd is daar ook vooruitsigte vir verdere prysstygings in wol en sybokhaar.

Die suiwelbedryf het in die laaste paar jaar meer stabiel vertoon en het in die voorafgaande tydperk baie voordeel uit lae voerpryse getrek. Gedurende die tydperk onder oorsig het die pryse in die bedryf egter baie geskommel.

In die Wes-Kaap is gemiddelde tot bogemiddelde koring-, gars- en canola-oeste behaal ondanks droogte-, wind- en reënskade tydens oestyd in sekere gebiede. Peste, siekteplae en weerstandbiedende onkruid, wat toenemend probleme in die Wes-Kaap veroorsaak, sal egter al meer indringende aandag verg.

Plaaslike koringproduksie is steeds nie voldoende vir plaaslike verbruik nie en daar kan aanvaar word dat nagenoeg een miljoen ton koring ingevoer sal moet word om aan die vraag te voldoen. Kommerwekkend is die feit dat plaaslike SAFEX-koringpryse deurlopend beduidend onder invoerpariteitspryse van ingevoerde Argentynse en Amerikaanse koring verhandel het. Produsente se winsgewendheid bly dus onder druk.

Meganisasie is ‘n uiters mededingende mark met hoë koste verbonde aan dienslewering van onderdele en werkswinkels.

Die laer graanaanplantings van die vorige seisoen het ‘n regstreekse invloed op die afset van trekkers en ander landboumasjinerie gehad. Tydens die stroopseisoen was die vraag na stroperonderdele soos laers, V-bande en kettings steeds aansienlik laer as normaalweg. Met die verhoging in graanpryse en die toename in aanplantings van die afgelope seisoen, het die vraag na onderdele, trekkers en ander landboumasjinerie begin verbeter.


Indications are that there will be substantial plantings of maize, weather permitting. The relatively good price levels and current poor planting conditions for wheat may induce wheat farmers to switch to maize. This in turn may lead to an surplus of maize in the next season.

Along with this, producers of meat, wool and mohair had a good year. At the same time there are prospects of further price increases in wool and mohair.

In the last few years, the dairy industry displayed a more stable performance, benefiting substantially from low feed prices in the preceding period. During the period under review, however, the prices in the industry fluctuated greatly.

In the Western Cape average to above-average harvests of wheat, barley and canola were achieved despite drought, wind and rain damage during harvest time in certain areas. However, pests, diseases and resistant weeds, which have become increasingly problematic in the Western Cape, will need more intensive attention in future.

Local wheat production is still not sufficient for local consumption and it can be expected that about one million tonnes of wheat will have to be imported to satisfy demand. Of concern is the fact that local SAFEX wheat prices kept trading much below parity prices of imported Argentinean and American wheat. Producer profitability therefore remains under pressure.

Mechanisation is a most competitive market with high costs when it comes to service delivery relating to spare parts and workshops.

Lower grain plantings during the previous season had a direct influence on the sales of tractors and other agricultural machinery. During the harvesting season the demand for harvester spares such as bearings, V-belts and chains remained significantly lower than usual. With the increase in grain prices and increased plantings during the past season, the demand for spare parts, tractors and other agricultural machinery started improving.


Meganisasie-voorraadvlakke is in gevalle verder verlaag, veral wat ouer en tweedehandse sogenaamde “dooie” voorraad betref. Dit is hoofsaaklik as gevolg van laasgenoemde dat dit nie weer vanjaar nodig was om bykomende afskrywings te doen om groter mededinging te bewerkstellig nie.

Finansiering

Kredietverskaffing aan produsente om produksiemiddele aan te koop, toon in enkele gevalle ’n dalende neiging. Heersende landboutoestande het weer eens druk geplaas op die volume produksiemiddele wat aangekoop is. Rente-inkomste was aansienlik laer as gevolg van kleiner oorlaatskuld nadat die oeste ingesamel is, sowel as renteterugskrywings.

Finansiering staan sentraal in ’n strategie vir groei en bied selfs groter potensiaal ondanks die risiko’s wat opgesluit is in landboufinansiering. Negatiewe finansiële invloede op die landbousektor, veroorsaak deur ongunstige landbou-ekonomiese en weeromstandighede het groterwordende uitdagings gestel aan die omgewing waarbinne krediet verleen word.

Benewens die normale faktore wat landboufinansiering beïnvloed, het die nuwe Kredietwet op 1 Junie 2007 in werking getree. Hierdie wetgewing het nuwe uitdagings aan die kredietverleningsomgewing gestel. Ten einde aan te pas by die uitdagings van ‘n snelveranderende omgewing behoort nuwe produkte ontwikkel te word om aan die produsent die geleentheid te bied om optimale kontantvloei- en risikobestuur in sy onderneming te kan toepas.

Toekomsblik

Die Suid-Afrikaanse landbouprodusent gaan in die toekoms al meer deur buitelandse mededinging beïnvloed word. Dit is duidelik dat die Westerse produsent voortdurend gesubsidieer gaan word, terwyl nie veel beskerming in Suid-Afrika verwag kan word tot tyd en wyl sleutelkwessies, soos grondhervorming, nie vordering toon nie. Suid-Afrika gaan dus nie op ‘n gelyke speelveld met die Europeërs en Amerikaners meeding nie. Die grootste bedreiging lê egter in die Suid Amerikaanse state wat sonder subsidies daarin slaag om doeltreffend met graan op internasionale markte met Suid-Afrika mee te ding. Dit blyk ook dat Suid-Afrika in die volgende dekade groter mededinging uit Afrika kan verwag.


In certain cases mechanisation stock levels dropped further, especially as regards older and second-hand so-called “dead” stock. It is due mainly to the latter that it was unnecessary to again depreciate additionally this year to effect increased competition.

Financing

Credit provision to producers to purchase production resources showed a declining trend in a few cases. Current agricultural conditions once again put pressure on volumes purchased. Income from interest was much lower as a result of decreased carry-over debts after harvesting, as well as interest writebacks.

Financing is pivotal to a strategy for growth, and offers even greater potential despite the risks contained in agricultural financing. Negative financial influences on the agricultural sector, caused by unfavourable agri-economic and weather conditions, created increasing challenges to the environment in which credit is provided.

Besides the usual factors influencing agricultural financing, the new Credit Act became effective as from 1 June 2007. This legislation will pose new challenges to the credit provision environment. In order to adapt to the challenges of a rapidly changing environment, new products should be developed to present producers with the opportunity to apply optimal cash-flow and risk management in their businesses.

The future

In future the South African agricultural producer will increasingly be influenced by foreign competition. It is clear that the Western producer will be subsidised on a continuous basis while this type of protection cannot be expected in South Africa until there has been marked progress with key issues such as land reform. South Africa, therefore, will not compete on a level playing field with the Europeans and Americans. However, the biggest threat may come from the South American states that succeed without any subsidies in competing with South Africa in the international grain markets. It would also appear as if South Africa can expect more competition from African countries in the next decade.


Op eie bodem is daar egter ruimte vir versigtige optimisme met produksiefaktore wat tot ’n mate gestabiliseer het. Daar is dus goeie vooruitsigte met betrekking tot pryse vergeleke met die vorige jaar.

Internasionale koringpryse het dramaties gestyg as gevolg van onder meer die Australiese droogte en die dalende internasionale koringvoorrade as gevolg van groter verbruik. Die landbou se kontantvloei behoort gevolglik te verbeter, mits die oeste normaal is.

Ontleders voorspel dat wêreldgraanpryse in die volgende paar jaar relatief hoog gaan bly, hoofsaaklik as gevolg van lae voorraadvlakke en die invloed van die bio-brandstofbedryf.

Aan die negatiewe kant is hoë brandstofpryse, asook aanduidings dat rentekoerse in ‘n opwaartse fase beweeg, faktore wat produksiekoste negatief kan beïnvloed.

Gegewe huidige landboutoestande heers daar oor die algemeen ‘n groter optimisme by produsente.

Vernaamste bevindinge

Die volgende bevindinge berus op data wat van die landboubesighede ontvang en verwerk is. Dit verteenwoordig ‘n bewese en omvattende oorsig van hierdie sektor in die bedryf. Die vernaamste bevindinge kan soos volg opgesom word:

Areas van grootste sukses

Die omset van die bedryf het met 51% teenoor die vorige jaar gestyg, terwyl debiteure met net 19% toegeneem het. Die verhoogde omset kan toegeskryf word aan verwagte beter landbou-omstandighede en inisiatiewe om omset te vergroot. Die matige styging van debiteure in verhouding tot omset kan toegeskryf word aan verbeterde kredietbeheer, wat daarmee ook ‘n daling in oorlaatskuld meegebring het.

Die afskaling van produksie het groter stabiliteit in graanpryse meegebring. ‘n Beter balans in graanvoorraad is hierdeur bewerkstellig.

Insetkoste het weereens baie gestyg. Boerdery- wins het egter baie verbeter deurdat die pryse van sleutelgewasse wesenlik toegeneem het.

•

•

•


Locally there is room for some optimism in view of production factors having stabilised to an extent. This means that prospects are good with regard to prices compared to the previous year.

International wheat prices have increased dramatically, inter alia as a result of the drought in Australia and the decreasing international wheat stocks due to increased consumption. This should lead to a better cash flow in agriculture, providing crops are normal.

Analysts predict that world grain prices will remain relatively high for the next few years, mainly as a result of low stock levels and the influence of the biofuel industry.

On the negative side high fuel prices, as well as indications that interest rates are moving into an upwards phase, are factors that may have a negative influence on production costs.

Given the current agricultural conditions, greater optimism is evident among producers.

Main findings

The following findings are based on data received from the agribusinesses and processed. They represent a proven and comprehensive review of this sector in the industry. The main findings may be summarised as follows:

Most successful areas

The turnover of the industry increased by 51% as against the previous year, while debtors increased by only 19%. The increased turnover may be attributed to expected improvements in agricultural conditions and initiatives for growing turnover. The moderate increase in debtors relative to turnover may be attributed to improved credit control, resulting at the same time in lower carry-over debt.

A downscaling in production resulted in increased stability in grain prices. This brought about a better balance in grain stocks.

Input cost has again increased substantially. Fortunately the prices of key crops showed a much bigger increase, resulting in much improved profitability.

•

•

•


Alhoewel landboubesigheid in sy geheel vanjaar baie verbeter het, het die droogte in sekere gebiede ‘n demper op die bedryf se winsgewendheid geplaas.

Kompetisie in die mark

Op internasionale gebied het die Suid Amerikaanse lande groot suksesse deur verhoogde produktiwiteit behaal, terwyl die laer Safex pryse plaaslik produsente se winsgewendheid onder druk geplaas het. Subsidiëring deur Westerse lande van landbou-insetkoste benadeel ook plaaslike produsente se mededingendheid.

Plaaslik het groter landboubesighede hul handelsbedrywighede uitgebrei, en insetmateriaal is teen meer mededingende pryse aangebied.

Inkomste verdien uit die opberging van graan was die grootste bron van inkomste van landboubesighede. Groter mededinging ten opsigte van opbergingstariewe het hierdie inkomste onder druk geplaas.

Gebiedsintegriteit wat gegeld het onder die vorige koöperatiewe bedeling, geld nie meer nie, en landboumasjinerie en –toerusting word landwyd teen laer mededingende pryse aangebied.

Belangrike ontwikkelinge

Die relatief lae inflasie en gepaardgaande rentekoerse vir die tydperk waaroor verslag gedoen word, is ongelukkig nou geskiedenis. Rentekoerse word drasties aangepas, terwyl stygende oliepryse tydelik deur die sterkte van die rand versag word.

Die wêreldvoorraadvlakke van graan is laag terwyl daar ‘n al hoe groter vraag na mielies is vir bio-brandstof. Die vraag na kommoditeite weens die ekonomiese groei in Asië ondersteun tans ook graanpryse.

Die produksieprysindeks het hopelik sy hoogste draaipunt bereik, maar die dubbelsyfer inflasie in die landbou is kommerwekkend teen die agtergrond van die verdere styging in rentekoerse.

Kleiner aanplantings bring relatief laer omsette van landboumasjinerie en implemente mee. Die nuwe Kredietwet het aanvanklik ook ‘n demper op verkope geplaas.

•

•

•

•

•

•

•

•

•


The profitability of agribusinesses improved substantially this year, but the drought in certain areas suppressed the profitability of the industry.

Competition in the market

Internationally, the South American countries achieved big successes by attaining increased productivity, while the lower Safex prices locally put producers’ profitability under pressure. Western countries’ subsidising of agricultural input costs is impairing local producers’ competitiveness.

Locally, the bigger agribusinesses have extended their trade businesses, while input materials were offered at competitive prices.

Income earned from storing grain was the biggest source of income of agribusinesses. Increased competitiveness in respect of storage tariffs placed put income under pressure.

Territorial integrity prevalent under the previous co-operative dispensation no longer exists, and agricultural machinery and equipment are offered at lower competitive prices country-wide.

Important developments

The relatively low inflation and accompanying interest rates for the period under review are, sadly enough, something of the past. Interest rates are being drastically adjusted, while increasing oil prices are temporarily being softened by the strength of the rand.

Global stock levels of grain are low while there is an increasing demand for maize for biofuel. The demand for commodities due to the economic growth in Asia currently also support grain prices.

The production price index has hopefully reached its zenith, but double-figure inflation in the agricultural sector is cause for concern against the background of further increases in interest rates.

Smaller plantings translate to relatively lower turnovers in agricultural machinery and implements. The new Credit Act initially also suppressed sales.

•

•

•

•

•

•

•

•

•


Breë Basis Swart Ekonomiese Bemagtiging (SEB)

Die Generiese Praktykkodes van die Departement van Handel en Nywerheid moedig aankope van besighede met ’n bevredigende SEB-status aan. Sodoende word verseker dat die proses van transformasie deur die mark, eerder as statutêre vereistes gedryf word.

Dit is duidelik dat die Suid-Afrikaanse sakegemeenskap, en spesifiek die landbousektor, begin om op hierdie bepaling te reageer. Dit is reeds algemene praktyk in verskeie besighede om die SEB-nakoming van verskaffers in besluite rakende aankope voorop te stel. Vir landboubesighede sal die druk om te transformeer dus toenemend vanuit die landbou-waardeketting afkomstig wees.

As deel van die 2007-prestasiemetingsopname onder landboubesighede, is vrae met betrekking tot persepsies rondom SEB aan die deelnemers gestel. Ingesteldhede ten opsigte van SEB was oor die algemeen positief.

’n Gestruktureerde en goed deurdagte strategie tot die proses van transformasie is kardinaal vir sukses. Dit is daarom verblydend dat die oorgrote meerderheid van die deelnemers aangedui het dat hul reeds ’n SEB-plan het. Meer as die helfte van die deelnemers het boonop reeds die plan begin implementeer.

Die konsep van Vaardigheidsontwikkeling en Billike Indiensneming word deur die meeste deelnemers as die elemente beskou waaraan die hoogste prioriteit gegee behoort te word. Voorkeuraankope en maatskaplik-ekonomiese ontwikkeling word ook as baie belangrik geag en ’n kleiner getal deelnemers beskou eienaarskap en bestuursbeheer in hierdie stadium as ’n prioriteit. Slegs 15% van die deelnemers het aangedui dat hulle al sewe elemente van die SEB-telkaart as prioriteit beskou.

Deelnemers is gevra wat hulle as die grootste dryfveer vir SEB-implementering beskou. Die meerderheid beskou die bykomende sakegeleenthede vanuit SEB-nakoming as die grootste dryfveer, terwyl dit ook as belangrik beskou word om by te dra tot die regering se inisiatiewe vir transformasie. Druk vanaf lisensiëringsinstansies en kliënte word nie tans as die hoofdryfvere beskou nie.


Broad-Based Black Economic Empowerment (BEE)

The generic practice codes of the Department of Trade and Industry encourage procurement from businesses with a satisfactory BEE status. This ensures that the process of transformation is driven by market forces rather than by statutory requirements.

It is clear that the South African business community, and specifically the agricultural sector, has started to react to these requirements. It is already common practice in several businesses to regard BEE compliance by suppliers as a priority in decisions regarding procurement. For agribusinesses the pressure to transform will therefore come increasingly from the agricultural value chain .

As part of the 2007 benchmarking survey among agribusinesses, questions regarding perceptions around BEE were put to the participants. Attitudes in respect of BEE were positive in general.

A structured and well considered strategy for the process of transformation is essential for it to be successful. It is therefore most promising that the majority of participants have indicated that they already have a BEE plan in place. More than half of the participants have already started implementing their BEE strategy.

The concepts of skills development and employment equity are regarded by most of the participants as the elements to be given the highest priority. Preferential procurement and socio-economic development are also regarded as very important, and a smaller number of participants regard ownership and management control as a priority at this stage. Only 15% of participants indicated that they regard all seven elements of the BEE scorecard as a priority.

Participants were asked what they regarded as the biggest incentive for the implementation of BEE. The majority regard additional business opportunities from BEE compliance as the biggest incentive, while it was also regarded as important to contribute to the government’s initiatives for transformation. Pressure from licensing authorities and clients was not regarded as the main incentives at present.



Die vaardigheidsvlakke van bemagtigde individue, die aanloklikheid van die stedelike omgewing en die landboubesighede se finansiële posisie word deur deelnemers beskou as die belangrikste struikelblokke in die vermoë van die landboubedryf om te transformeer.

Die finalisering van die Generiese Kodes in Februarie 2007 het egter duidelikheid oor die implementering van SEB verskaf. Die AgriSEB-handves is egter nog nie gefinaliseer nie en kan moontlik aan verandering en verdere onderhandeling onderworpe wees. Daar word onder andere steeds oorweging geskenk aan hoe doelwitte ten opsigte van grondhervorming met ander SEB-teikens versoen kan word.

Dringende aangeleenthede

Beter samewerking tussen die georganiseerde landbou en die regering is noodsaaklik vir die sukses van die landbou. Die Agri SEB-handves moet gefinaliseer word en grondhervorming moet versoen word met die SEB-teikens.

Die afname van werkgeleenthede in die landbou moet gestuit word. Dit kan bewerkstellig word sodra bogenoemde aspekte aangespreek word.

Hoë rentekoerse moet in toom gehou word, sodat daar nie ‘n demper op uitbreiding geplaas word nie.

Die groeifase van die land se ekonomie moet deurvloei na die landbousektor. Die toename in sakevertroue moet oorgedra word na die produsent, sodat die land se ekonomie in geheel weer daarby kan baat.

Ons vertrou dat hierdie normvergelyking en kommentaar ’n bydrae sal lewer tot die suksesvolle bestuur van landboubesighede. Ons verwelkom terugvoer oor die verslag en sien daarna uit om die prestasiemeting met u te bespreek.

•

•

•

•

Kobie BekkerNasionale Landboubesigheid – Industrieleier /

National Agri Business – Industry LeaderPricewaterhouseCoopers Ing. / Inc.

Januarie / January 2008

The skills levels of empowered individuals, the attraction of the urban areas and the agribusinesses financial position were singled out by participants as the most important hurdles in the ability of the agricultural industry to transform.

The finalisation of the generic codes in February 2007 delivered greater clarity on the implementation of BEE.

However, the AgriBEE Charter has not been finalised yet, and may be subject to further change and negotiations. How objectives in respect of land reform can be reconciled with other BEE targets remains one of the facets to receive attention.

Urgent matters

Improved co-operation between organised agriculture and the government is crucial for the success of the agricultural sector. The AgriBEE Charter has to be finalised and land redistribution must be reconciled with BEE targets.

Shrinking employment in agriculture must be countered. This can be effected as soon as the above-mentioned factors have been addressed.

High interest rates must be kept in check, so as not to suppress expansion.

The growth phase of the country’s economy must flow through to the agricultural sector. The increase in business confidence must be transferred to producers, in order that the country’s economy can benefit as a whole.

We trust that this benchmarking and commentary will contribute to the successful management of agribusinesses. We welcome feedback on the report and look forward to discussing the benchmarking with you.

•

•

•

•


Gebruik van die publikasie

Use of this publication

Die prestasiemetingsopname is in ooreenstemming met sy doel ontwerp, naamlik om maatstawwe aan deelnemende landboubesighede te bied op grond waarvan hulle hul eie prestasies met die norme in die landboubedryf kan vergelyk. Die publikasie bevat gemiddeldes, soos hieronder uiteengesit.

’n Los bylae wat elke deelnemer se individuele resultate verskaf, sal aan die betrokke uitvoerende hoofde voorsien word.

Die tendense van die bedryf in sy geheel, groter landboubesighede en kleiner landboubesighede, waar moontlik, word onderskeidelik bespreek. Die verdeling tussen groter en kleiner landboubesighede is gedoen op grond van die betrokke onderneming se omset, wat onderskeidelik groter of kleiner as R330 miljoen bedra. Dit is dus vir ’n gebruiker moontlik om sy betrokke instansie se individuele prestasie op twee vlakke te meet. Tabelle word grafies voorgestel en van toeliggende notas voorsien.

Dit is belangrik om deurentyd in gedagte te hou dat die term “bedryf” vir die doeleindes van hierdie publikasie uitsluitlik as ’n kollektiewe beskrywing vir die hele groep landboubesighede gebruik word wat aan die opname deelgeneem het.

Die publikasie bied ’n samevattende oorsig van die bedryf wat bestaan uit die gemiddeldes van die inligting

The benchmarking survey was designed in terms of its objective, namely to present a set of standards to participating agribusinesses as a benchmark for comparing their own achievements with norms in the agricultural industry. This publication contains averages, as explained below.

A loose supplement providing the individual results of each participant will be provided to each chief executive.

Trends in the industry in its entirety, larger as well as smaller agribusinesses, are discussed individually where possible. The distinction between larger and smaller agribusinesses was made according to the turnover of the business concerned, totalling more or less than R330 million respectively. It is therefore possible for the user to measure its own achievements on two levels. Tables are presented graphically and provided with explanatory notes.

It is important to keep in mind throughout that the term “industry” for the purposes of this publication is used exclusively as a collective description for the entire group of agribusinesses participating in the survey.

The publication offers a brief overview of the industry, consisting of the averages of the information obtained


Die Bedryf The Industry

Sentraal-Suid Koöperasie Beperk / Sentraal-Suid Co-operative Limited SwellendamNWK Beperk / NWK Limited LichtenburgOos Vrystaat Kaap Bedryf Beperk / Oos Vrystaat Kaap Operations Limited LadybrandSenwes Beperk / Senwes Limited KlerksdorpSuidwes Beleggings Beperk / Suidwes Investments Limited LeeudoringstadVrystaat Koöperasie Beperk ReitzKaap Agri Beperk / Kaap Agri Limited Malmesbury

wat van alle deelnemers aan die projek verkry is. Dit is soos volg saamgestel:

1. Rekenkundige gemiddelde2. Geweegde gemiddelde

’n Rekenkundige gemiddelde is ’n eenvoudige berekening waarvolgens die relevante inligting van die deelnemers bymekaar getel word en deur die aantal deelnemers gedeel word. In hierdie berekening dra elke deelnemer se inligting dieselfde gewig.

’n Geweegde gemiddelde verteenwoordig ’n berekening waar ’n gewig gekoppel word aan elkeen van die deelnemers se resultate en grootte. In die grafieke word daar na as “geweegde gemiddelde” verwys. Die “geweegde gemiddelde” is die resultaat van net die groot, of net die klein deelnemers. Daar was egter gevalle waar daar ten opsigte van kleiner besighede te min deelnemers was om die resultate sinvol te maak. In sulke gevalle is die resultate van die groot en kleiner besighede saamgevoeg en word die term “geweegde gemiddelde bedryf” gebruik.

PricewaterhouseCoopers se internasionale beleid is dat geen resultate van prestasiemetingsopnames verstrek mag word tensy daar minstens sewe deelnemers is nie. Gevolglik word geen resultate gepubliseer waar minder as die vereiste getal deelnemers die nodige inligting verskaf het nie.

Hou ook in gedagte dat die inligting van alle deelnemers nie noodwendig in al die vergelykings ingesluit is nie. In sommige gevalle is sekere inligting van bepaalde deelnemers nie binne berekening van gemiddeldes gebring nie weens grondige redes wat uitsluiting regverdig of noodsaak.

Deelnemers

Die volgende landboubesighede het aan die prestasiemetingsopname deelgeneem. Ons dank aan hul verteenwoordigers vir hul tyd, insette en steun wat die publikasie moontlik gemaak het.

from all participants in the project. It was compiled as follows:

1. Mathematical mean2. Weighted average

A mathematical mean is a simple calculation where the relevant information of participants is added and divided by the number of participants. In this calculation the information of every participant carries the same value.

A weighted average represents a calculation where a weight is linked to the results and size of each participant. In the graphs we refer to this as the “weighted average “. The “weighted average” is the result of either the large or the small participants only. However, there were cases in respect of smaller businesses where there were too few participants to produce meaningful results. In these cases the results of the big and smaller businesses were combined and the term “weighted industry average“ was used.

The international policy of PricewaterhouseCooopers is that no results of benchmarking surveys may be made available unless there were at least seven participants. Accordingly no results are published where fewer than the prescribed number of participants provided the necessary information.

Please keep in mind, too, that the information of all the participants was not necessarily included in all the comparisons. In some cases certain information relating to specific participants was not considered in determining averages, due to valid reasons justifying or necessitating exclusion.

Participants

The following agribusinesses participated in the benchmarking survey. We thank their representatives for their time, inputs and support in making this publication possible.


NOORD-KAAPNORTHERN CAPE

WES-KAAP WESTERN CAPE

NOORD-WESNORTH WEST

VRySTAATFREE STATE

OOS-KAAPEASTERN CAPE

KWAzULU-NATAL

GAUTENG

MPUMALANGA

LIMPOPO

KaapstadCape Town Port Elizabeth

Oos-LondenEast London

Durban

Nelspruit

Polokwane

Pretoria

Johannesburg

Potchefstroom

Bloemfontein

Upington

Moorreesburg

Malmesbury

Villiersdorp Swellendam

GeorgeMosselbaai

Laingsburg

OudtshoornAvontuur Humansdorp

Grahamstown

Queenstown

Middelburg

Victoria Wes/Victoria West

Douglas

Springbok

Ladybrand

BethlehemReitz

Kroonstad

Ladysmith

Leeudoringstad

Klerksdorp

Vryburg

Lichtenburg

Brits

Ermelo

Piet Retief

Die Bedryf The Industry

BKB Beperk / BKB Limited Port ElizabethGWK Beperk / GWK Limited DouglasMGK Besigheidsbeleggings Beperk / MGK Business Investments Limited BritsKlein Karoo Koöperasie Beperk / Klein Karoo Co-operative Limited OudtshoornGraanboere Groep Beperk / Grain Farmers Group Limited MoorreesburgVilliersdorp Koöperasie Beperk VilliersdorpKaroo Vleisboere (Koöperatief) Beperk Victoria-Wes / Victoria WestTuinroete Agri Beperk / Tuinroete Agri Limited Mosselbaai / Mossel BayDie Humansdorpse Koöperasie Beperk HumansdorpOos-Kaap Landboukoöperasie Beperk / East Cape Agricultural Co-operative Limited

Queenstown

Koup Produsente Koöperasie Beperk LaingsburgLangkloof Boerekoöperasie Beperk / Langkloof Boere Co-operative Limited AvontuurKLK Landbou Beperk UpingtonCape Mohair and Wool Port Elizabeth


Winsgewendheid Profitability

1.1 Bate-omsetkoers

Die bate-omsetkoers word bereken deur die totaal van verkope uit te druk as ’n verhouding van die totale bates wat aangewend is om sodanige omset te genereer.

Die landboubedryf

Die toets vir die doeltreffende bestuur van bates in die landboubedryf word deur die bate-omsetkoers weerspieël.

Weens die plattelandse ligging van die deelnemers in hierdie opname, word ’n relatiewe duur belegging vereis om uiteindelik ’n gewensde/redelike omset te genereer.

Vir die doeleindes van die prestasiemeting is omset die syfer soos weerspieël deur die geouditeerde state. Slegs die kommissie op direkte verkope word hierby ingesluit. Voorraadafskrywings en betalingskortings toegestaan word by die koste van verkope bygereken vir prestasiedoeleindes. Daarteenoor word omset bygewerk met handelskortings toegestaan.

Bate-omsetkoers / Asset turnover rate

Geweegde gemiddelde - Bedryf /Weighted average - Industry

Rekenkundige gemiddelde - Bedryf /Mathematical mean - Industry

1.51

2007 2006 2005

1.371.40

1.621.50

1.52

In die tydperk onder oorsig is gemiddeld R1.51 (2006: R1.37) in omset genereer vir elke R1 wat deur die landboubedryf in bates belê is. Dit verteenwoordig ’n toename van 10% ten opsigte van die belegging in geïnvesteerde bates. Die omset het egter in die geheel met 51% gestyg, tekenend van die verwagte verbetering in landboutoestande in vergelyking met die vorige tydperk.

1.1 Asset turnover rate

The asset turnover rate is calculated by expressing the sales total as a ratio of the total assets applied to generate the relevant turnover.

The agricultural industry

The test for efficient asset management in the agricultural industry is reflected by the asset turnover rate.

Due to the rural location of the participants in this survey, it requires a relatively expensive investment ultimately to generate a desired/reasonable turnover.

For the purposes of the benchmarking, turnover is the figure as reflected by the audited statements. Only the commission on direct sales is included in the calculation. Stock write-offs and payment discounts granted are added to the cost of sales for benchmarking purposes. Conversely, trade discounts are included in turnover figures.

In the period under review, on average R1.51 (2006: R1.37) in turnover was generated for every R1 of asset investment by the agricultural industry. This represents an increase of 10% with regard to investment in invested assets. However, total turnover increased by 51%, which is in line with the expected improvement in agricultural conditions compared to the previous period.


Die stygings en dalings in omset van die verskillende departemente in vergelyking met die voorafgaande tydperk was soos volg:

2007 2006

Handel 27% styging 10% styging

Onderdele 28% styging 12% daling

Implemente 43% styging 32% daling

Graanhantering en – verhandeling 67% styging 6% daling

Slegs 20% (2006: 30%) van deelnemers het nie ’n genoegsame omset in randwaarde behaal om die waarde van hul belegging in bates te realiseer nie. Hierteenoor was 40% (2006: 25%) daartoe in staat om ’n omset te bewerkstellig wat dubbel die omvang van hul belegging in bates was.

Die faktore wat daartoe aanleiding gegee het

Die handelsafdelings van landboubesighede het by verwagtings van ’n belowende produksieseisoen baat gevind, asook by ’n aggressiewe benadering by veral die groter landboubesighede om handelsafdelings uit te brei. Dit moet egter in ag geneem word dat die produksieprysindeks vir die landbou gedurende die tydperk met gemiddeld 25.5% (2006: 15%) toegeneem het, terwyl die produksieprysindeks vir ingevoerde landboukommoditeite met ‘n ontstellende 33.7 % gestyg het.

Die tendens van die vorige tydperk dat groter hoeveelhede graan vir langer tydperke teruggehou is, het silo-inkomste en -benutting aansienlik ondersteun. Sterk mededinging in opbergingstariewe het egter die inkomste uit hierdie bron onder druk geplaas.

Groter landboubesighede

Die bate-omsetkoers vir groter landboubesighede het in die tydperk onder oorsig van R1.49 tot R 1.63 gestyg vir elke R1 wat in bates belê is, ’n verhoging van 9%. Die omset in geheel het met 51% teenoor die vorige tydperk toegeneem.


The increases and decreases in turnover of the various departments, compared to the previous period, were as follows:

2007 2006

Trade 27% increase 10% increase

Spare parts 28% increase 12% decrease

Implements 43% increase 32% decrease

Grain handling and sales 67% increase 6% decrease

Only 20% (2006: 30%) of the participants did not attain an adequate turnover in rand value to realise the value of their investment in assets. Compared to this, 40% (2006: 25%) succeeded in generating a turnover that was double their investment in assets.

Factors contributing to the above

The trade divisions of agribusinesses benefited from expectations of a promising production season, as well as from the aggressive approach of particularly the larger agribusinesses in expanding trade divisions. However, mention must be made of the fact that the production price index for agriculture revealed an average increase of 25.5% (2006: 15%) during this period, while the production price index for imported agricultural commodities rocketed by an alarming 33.7%.

The trend of the previous period that bigger quantities of grain were held back for longer periods, created considerable support for silo income and utilisation. On the other hand, strong competition in storage tariffs put pressure on income from this source.

Larger agribusinesses

In the period under review, the asset turnover rate for larger agribusinesses rose from R1.49 to R1.63 for every R1 invested in assets, an increase of 9%. Overall turnover increased by 51% compared to the previous period.


Die stygings en dalings in omset van die verskillende departemente in vergelyking met die voorafgaande tydperk was soos volg:

2007 2006

Handel 30% styging 9% styging

Onderdele 27% styging 15% daling

Implemente 41% styging 32% daling

Graanhantering en – verhandeling 67% styging 6% daling

Bate-omsetkoers / Asset turnover rate

Rekenkundige gemiddelde /Mathematical mean

Geweegde gemiddelde /Weighted average

1.631.49

1.45

1.621.41

1.37

2007 2006 2005


Kleiner landboubesighede

Die omset van kleiner besighede het in die tydperk onder oorsig R1.25 miljard bedra teenoor R1.08 miljard in die vorige tydperk. Dit verteenwoordig ‘n styging van 16%.

Die omset per R1-belegging in bates het met 5% vanaf R1.48 tot R 1.41 gedaal. Beleggings in aandele is egter uitgesluit by die somtotaal van die bates vir die doel van hierdie berekening, aangesien dit ’n wesenlike bate-item in sommige van die besighede se balansstate uitmaak.

1.2 Netto inkomste samestelling

Die drie belangrikste komponente van landboubesighede se netto inkomste is handelsbedrywighede, netto finansieringsinkomste en dividende ontvang.

Handelsbedrywighede sluit in “tradisionele bedrywighede” wat handelsvoorraad, onderdele, meganisasie, werkswinkels, graanhantering en versekering. Dit is die belangrikste deel van die onderneming se bedrywighede wat die grootste bydrae tot netto inkomste lewer.

The increases and decreases in turnover of the various departments, compared to the previous period, were as follows:

2007 2006

Trade 30% increase 9% increase

Spare parts 27% increase 15% decrease

Implements 41% increase 32% decrease

Grain handling and sales 67% increase 6% decrease

Smaller agribusinesses

In the period under review, the turnover of smaller businesses contributed R1.25 billion compared to R1.08 billion in the previous period. This represents an increase of 16%

The turnover per R1 of investment in assets decreased by 5% from R1.48 to R1.41. However, investments in shares were excluded from the total figure of the assets for purposes of this calculation, as it constitutes a material asset item in the balance sheets of some of these businesses.

1.2 Net profit composition

The three most important components of the net income of agribusinesses are trade operations, net financing income and dividends received.

Trade operations include “traditional operations” such as trading stock, spare parts, mechanisation, workshops, grain handling and insurance. This is the most important part of the operations of the business, generating the biggest part of its net income.


Kredietbeheer is nou verweef met handelsbedrywig-hede. Netto finansieringsinkomste vloei voort uit kredietverskaffing. Verskeie landboubesighede hanteer dit as ’n afsonderlike winssentrum. Dit bring mee dat die doeltreffendheid van hierdie afdeling in ’n groter mate hierdeur gemonitor word.

Beleggings in waardetoevoegende bedrywe het, soos in die vorige tydperk, ’n goeie opbrengs opgelewer. In teenstelling hiermee het sommige verwante bedrywe, wat geen waarde tot produsente se produkte toevoeg nie, verliese gely, wat landboubesighede voortdurend verplig om die lewensvatbaarheid daarvan te oorweeg.

Die landboubedryf

Die persentasie van bydraes uit die hoofbronne van inkomste, naamlik handelsbedrywighede, renteverdienste en dividende het in die geheel min of meer dieselfde gebly.

Netto inkomste samestelling / Net profit composition

■ Netto bedryfswins /

Net operating profit

■ Netto finansieringsinkomste /

Net financing income

■ Dividende ontvang /

Dividends received

3%

83%

14%

2007

4%

80%

16%

2006


Credit control is closely linked to trading operations. Net financing income flows from credit provision. Several agribusinesses regard this as a separate profit centre, with its efficiency being monitored accordingly.

Investments in value-adding industries delivered good returns, as was the case in the previous period. In contrast, some related industries that add no value to producers’ products recorded losses, thus forcing agribusinesses to rethink their viability.


The percentage of contributions from the main sources of income, namely trade operations, interest earnings and dividends, remained more or less the same.

Normale handelsbedrywighede het minstens 83% (2006: 80%) tot die totale inkomste van landboubesighede bygedra. Rentekoerse het egter gedurende die tydperk onder oorsig voortdurend gestyg. Die bydrae uit hierdie bron van inkomste het slegs met 8% gestyg as gevolg van debiteure wat goed bestuur is en beperk is tot ‘n toename van net 25%, gemeet teenoor die toename van 51% in sakebedrywighede, soos hierbo vermeld.

Die totale dividendinkomste het teenoor die vorige tydperk met 17% gedaal, hoofsaaklik as gevolg van die verkoop van Pioneer-aandele deur sommige van die deelnemers.

Normal trade operations contributed at least 83% (2006: 80%) of the total income of agribusinesses. However, interest rates kept rising during the period under review. Contributions from this source of income increased by only 8% as a result of good debtor management and was limited to an increase of only 25% as measured against the increase of 51% in business operations, as mentioned above.

The total dividend income dropped by 17% compared to the previous period, mainly as a result of the sale of Pioneer shares by some of the participants.



Groter landboubesighede is tot ’n mindere mate as hul kleiner eweknieë aan finansiële risiko blootgestel. Die netto inkomste wat uit handel, meganisasie, brandstof, graanhantering en -bemarking voortgevloei het, het by 87% van hierdie besighede verbeter. Ongelukkig het die droogte ’n wesenlike uitwerking op die netto resultate van enkele besighede gehad. Die netto finansieringsinkomste het slegs met 5% teenoor die vorige tydperk toegeneem, terwyl dividendinkomste met 50% gedaal het weens die verkoop van aandele, soos hierbo vermeld.


’n Aantal landboubesighede het egter ook uitsonderlike winste gerealiseer met die vervreemding van aandele. Hierdie winste is buite rekening gelaat vir die doeleindes van die berekenings.


Die kleiner landboubesighede se netto inkomste uit normale handelsbedrywighede het in die tydperk onder oorsig 58% van die totale netto wins bygedra teenoor die 37% van die vorige tydperk. Enkele besighede het hul aandelebeleggings verkoop, wat ‘n daling van 38% in dividendinkomste meegebring het.


1%

87%

12%

2007

■ Netto bedryfswins /


■ Netto finansieringsinkomste /


■ Dividende ontvang /

Dividends received

2006

2%

84%

14%


Larger agribusinesses were exposed to financial risk to a lesser extent than their smaller counterparts. The net income emanating from trade, mechanisation, fuel, and grain handling and marketing, improved at 87% of the bigger businesses. Unfortunately the drought had a significant effect on the net results of some of the businesses. The net financing income increased by only 5% as measured against the previous period, while dividend income dropped by 50% as a result of the sale of shares, as mentioned above.

A number of agribusinesses realised exceptional profits on the expropriation of shares. These profits were excluded for the purposes of the calculations.


The net income of the smaller agribusinesses from normal trade operations during the period under review contributed 58% of the total net profits as compared to the 37% of the previous period. A few businesses sold their share investments, resulting in a decrease of 38% in dividend income.


Die kleiner besighede tree tans tot ’n groot mate as inset-verskaffers (handelsbesighede) en finansierders op. Die netto finansieringsinkomste van hierdie besighede het in geheel met 17% gestyg. Die gemiddelde debiteure het met ‘n verdere 9% teenoor die vorige tydperk gegroei.


■ Netto bedryfswins


■ Netto finansieringsinkomste


■ Dividende ontvang

Dividends received 58%

39%

3%2007

37%

55%

8%2006

Die risiko by kleiner besighede van slegte skuld, en beperkte bronne van fondse, naamlik reserwes, bly steeds kommerwekkend.

1.3 Bate-opbrengskoers

Dié verhouding toon die winsgewendheid van die onderneming se bates. Die wins word gemeet teen die totale bates wat gedurende die betrokke tydperk aangewend is.

Hier word gepoog om die doeltreffendheid van die bates in die geheel, die kernbates en beleggings, afsonderlik te meet.


The smaller businesses currently act as input suppliers (trade businesses) and financiers to a large degree. The net financing income of these businesses showed an overall increase of 17%. The average debtors grew by an additional 9% measured against the previous period.

The risk smaller businesses run of bad debts and limited sources of funding, namely reserves, remains a concern.

1.3 Asset yield rate

This ratio illustrates the profitability of the assets of business concerns. Profitability is measured against the total assets applied during the relevant period.

In this respect, the intention was to measure separately the efficiency of total assets, core assets and investments.


Die landboubedryf

1.3.1 Voor aansuiwerings

Die bate-opbrengskoers verteenwoordig die landboubesigheid, of die groep in die geval van ’n houermaatskappy, se netto wins voor rente betaal en belasting, as ’n persentasie van die totale bates. Die minderheidsbelang in die netto wins, in die geval van groepe, word nie uitgesluit nie.

Die opbrengskoers was wisselend as gevolg van die nagevolge van die droogtetoestande in sekere gebiede. Hoewel sekere besighede ’n goeie verbetering getoon het, het die bedryf in sy geheel, gegrond op bruto bates voor enige aansuiwerings, ’n verdere verlaging in winsgewendheid teenoor die vorige tydperk ervaar. Die winsgewendheid wissel egter van streek tot streek en die globale afname kan nie veralgemeen word nie. Sekere besighede het wel puik resultate behaal.

Bate-opbrengskoers / Asset yield rate



9.77%

2007 2006 2005

10.41%10.36%

9.19%8.87%

8.64%

1.3.2 Na aansuiwerings

Met die uitsluiting van uitsonderlike items kan ’n beter vergelyking tussen deelnemers se resultate getref word. Waardevermindering op nuwe en ouer bates speel hier nie ’n rol nie.

Die verhouding verteenwoordig die opbrengskoers van die landboubesighede, of die groep, se bates in die geheel na die volgende aansuiwerings:

Waardevermindering;

Uitsonderlike items;

Bonusse en voorkeurkorting aan lede; en

Amortisasie van ontasbare bates.

•

•

•

•



1.3.1 Before adjustments

The asset yield rate represents the net profit of the agribusinesses, or the group in the case of a holding company, before interest paid and taxes, as a percentage of the total assets. The minority interest in the net profit, in the case of groups, is not excluded.

The asset yield rate fluctuated due to the aftereffects of the drought in certain areas. Although certain enterprises showed an improvement, the industry as a whole experienced a continued drop in profitability compared to the previous period, based on gross assets before any adjustments. However, profitability fluctuated from region to region, and the global decline does not apply in general. Certain businesses indeed achieved excellent results.

1.3.2 After adjustments

The exclusion of exceptional items makes it possible to draw a better comparison between the results of the various participants. Depreciation on new and older assets does not play a role here.

The ratio represents the rate of return of the total assets of the agribusinesses or the group, after the following adjustments:

Depreciation;

Exceptional items;

Bonuses and preferential discounts to members; and

Amortisation of intangible assets.

•

•

•

•


Uitsonderlike items sluit enige item in wat na die deelnemer se mening sy netto inkomste uit normale handelstransaksies vir die jaar wesenlik aangetas het en wat buite rekening gelaat behoort te word.

Totale bate-aansuiwerings behels die uitsluiting van:

Herwaardasie van eiendom, aanleg en toerusting;

Ontasbare bates.

Geen aansuiwering word vir die billike waarde-aanpassing van beleggings gedoen nie. AI die deelnemers het hulle beleggings teen billike waarde getoon.

•

•

Bate-opbrengskoers aangesuiwer / Asset yield rate after adjustments



10.51%10.49%

11.62%

10.41%9.01%

9.86%

2007 2006 2005

Hierdie resultate word as ’n beter weergawe van die bedryf se winsgewendheid vir die tydperk beskou. Teenoor ’n daling van 10% in netto winsgewendheid van die vorige tydperk, het die winsgewendheid in die tydperk onder oorsig op ‘n geweegde basis marginaal verbeter. Op ’n suiwer rekeningkundige grondslag was daar ‘n toename van 13%. Van die kleiner deelnemers wat as groter besighede geklassifiseer is, het dus beter gevaar.

1.3.3 Beleggings uitgesluit

Die inkomste verdien uit beleggings speel ’n belangrike rol in sommige van die landboubesighede se resultate. Sommige pas die beleid toe om sodanige dividende aan hul aandeelhouers oor te dra as vergoeding vir hul belegging en ondersteuning.


Exceptional items include any item that, in the opinion of the participant, significantly affected its net income from normal trade transactions for the year and that should not be taken into account.

Total asset adjustments entails the exclusion of:

Revaluation of property, plant and equipment;

Intangible assets.

No adjustment is made for the fair-value adjustment of investments. All the participants disclosed their investments at fair value.

•

•

These results are regarded as a better version of the profitability of the industry for the period. Compared to a decrease of 10% in net profitability of the previous period, the profitability increased marginally on a weighted basis in the period under review. On a purely accounting basis there was an increase of 13%. Thus, some of the smaller participants that were classified as larger businesses, have improved their performance.

1.3.3 Investments excluded

The income earned from investments plays an important role in the results of some of the agribusinesses. Some of them apply the policy of transferring such dividends to their shareholders as compensation for their investment and support.


Met dié berekening is beleggings en beleggingsinkomste in genoteerde en ongenoteerde aandele by die berekening van die totale bates en netto inkomste uitgesluit. Beleggingsinkomste verteenwoordig hoofsaaklik dividende ontvang.

Bate-opbrengskoers uitgesluit aandelebeleggings / Asset yield rate excluding share investments



11.09%11.28%

11.95%

10.60%9.59%

10.29%

2007 2006 2005

Dit blyk dat daar ’n verdere afname van 2% in die winsgewendheid van die kernbates van die besighede was teenoor ’n afname van 6% in die vorige tydperk.

Omdat debiteure, en die finansiering daarvan, ‘n groot rol speel in die balansstate van landboubesighede moet daar verder na die resultate van 1.3.4 gekyk word.

1.3.4 Kredietlenings uitgesluit

Omdat landboubesighede as ’n blote kanaal vir die finansiering van produsente se insette optree, kan balansstaatverhoudings in vergelyking met ander instansies versteur word.

Indien kredietlenings, kaskrediete en langtermynfinansiering, wat vir die finansiering van produsente geoormerk is, ook van die totale bates afgetrek word, toon hierdie vergelyking die winsgewendheid van die netto bates van die bedryf.

Sommige landboubesighede beskik oor voldoende reserwes om self sodanige finansiering te verskaf. Om die doeltreffendheid van eie fondse te oorweeg, word ’n vergelyking met die opbrengs op netto bates getref.


With this calculation, investments and investment earnings in listed and unlisted shares were excluded when calculating total assets and net income. Investment income mainly represents dividends received.

It appears that there was a further reduction of 2% in the profitability of the core assets of the businesses, compared to a decrease of 6% in the previous period.

As debtors, and the financing thereof, plays a major role in the balance sheet of agribusinesses, emphasis must rather be place on the results as disclosed in 1.3.4.

1.3.4 Credit loans excluded

Since agribusinesses merely act as channels for the financing of producers’ inputs, balance sheet ratios may appear to be distorted when compared to other organisations.

Should credit loans, cash credits and long-term financing, earmarked for the financing of producers, also be deducted from total assets, this comparison reflects the profitability of the net assets of the industry.

Some agribusinesses carry enough reserves to satisfy their financing needs. In order to asses the effectiveness of own funds, a comparison is made with the return on net assets.


Bate-opbrengskoers uitgesluit kredietlenings / Asset yield rate excluding credit loans



16.50%15.44%

18.22%

16.45%14.89%

15.75%

2007 2006 2005

Ondanks die swak landbou-ekonomiese omstandighede van die verlede, het landboubesighede as bedryf gemiddeld ‘n 7% verbetering in netto winste op kernbates behaal. Dit is nadat daar in die vorige tydperk ‘n afname van 10% was.




10.21%


2007 2006 2005

11.46%10.85%

9.65%11.01%

9.86%

2007 2006 2005




11.19%11.41%

12.13%

10.69%10.23%

11.14%

Die geweegde gemiddele opbrengskoers het in die tydperk onder oorsig ’n afname van 11% getoon. Slegs 40% van die deelnemers het ‘n beter opbrengs ten opsigte van hul investering in totale bates getoon. Dit kan tot ’n mate toegeskryf word aan die ondergemiddelde swak toestande in sekere van die streke.


Despite the poor agri-economic conditions of the past, on average, agribusinesses as an industry achieved a 7% improvement in net profits on core assets, after a decrease of 10% in the previous period.


The weighted average rate return showed a decrease of 11% in the period under review. Only 40% of the participants recorded a better return in respect of their investment in total assets. This can be ascribed partially to below-average poor conditions in some of the regions.


Die opbrengskoers het vanaf 12.13% in 2005 tot 11.41% in 2006 gedaal met ’n verdere afname tot 11.19% in die tydperk onder oorsig. Dit is opmerklik dat hierdie daling in winste hoofsaaklik toe te skryf is aan besighede in die mielieproduserende gebiede.




6.86%

2007 2006 2005

4.75%6.44%

8.68%6.27%

7.26%

Weens die kleiner rol wat dividendinkomste in die geval van groter landboubesighede speel, verskil die resultate nie wesenlik van die vorige vergelyking nie.

Hierdie resultate toon ‘n ommeswaai in netto bates aangewend. Daar is ‘n toename van 9.5% in die opbrengskoers op kernbates.





11.30%

2007 2006 2005

11.47%12.18%

10.92%10.48%

11.24%




16.97%15.50%

18.51%

17.98%15.97%

18.39%

2007 2006 2005


The yield rate declined from 12.13% in 2005 to 11.41% in 2006, with a further decrease to 11.19% in the period under review. It is noteworthy that this decrease in profits may be ascribed mainly to businesses in the maize producing areas.

Due to the smaller role of dividend earnings in the case of larger agribusinesses, the results do not differ materially from the previous comparison.

These results show a turnaround in net assets applied. There is an increase of 9.5% in the rate of return on core assets.



2007 2006 2005




5.79%5.45%

7.37%

10.09%7.58%

8.43%

2007 2006 2005




8.63%8.99%9.03%

10.26%8.60%

9.23%

Die bate-opbrengskoers van kleiner besighede vergelyk egter swak met dié van groter besighede aangesien hulle tot ‘n groot mate tot diens ingestel is en nie noodwendig ‘n winsmotief as ‘n prioriteit het nie. Die besighede het gedurende die tydperk onder oorsig ’n styging van 48% in hul winsgewendheid ervaar. Die opbrengskoers het vanaf 4.75% in die vorige tydperk tot 6.85% gestyg.


Hierdie resultate verskil min van bogenoemde en daar kan geen verdere gevolgtrekkings gemaak word nie. Let egter daarop dat waardevermindering by hierdie berekening as ’n uitgawe teruggetel is.

Indien dividendinkomste buite rekening gelaat word. was daar ’n geringe verlaging in die persentasie inkomste.

2007 2006 2005




11.83%14.76%

15.10%

14.53%13.70%

12.77%

The asset yield rate of smaller businesses compares poorly with that of larger businesses, given that as they concentrated on service to a great extent and not necessarily the profit motif. During the period under review, the businesses experienced a rise of 48% in profitability. The yield rate increased to 6.85% from 4.75% during the previous period.

These results differ little from the above and no further conclusions can be made. Please note, however, that depreciation was added back as an expenditure in this calculation.

If dividend earnings are excluded, there was a negligible decrease in the percentage earnings.


Die resultate dui aan watter uitwerking geleende fondse, wat gebruik is om debiteure te finansier, op kleiner landboubesighede gehad het. Wat hier egter in ag geneem moet word, is dat die totale verpligting ter finansiering van debiteure, van die totale bates afgetrek word. Terwyl die volle verpligting by die besigheid berus, dra dit die risiko ten opsigte van die vorderbaarheid van debiteure. Indien verliese gely word weens slegte skuld, kan dit ’n uiters nadelige invloed op hierdie resultate meebring.

1.4 Netto winspersentasie

Winsgewendheid word hier gemeet aan die hand van die werklike omset wat behaal is. Die doeltreffendheid van transaksies word dus hier gemeet, teenoor dié van die bates aangewend, soos in die geval van 1.3.

Netto wins word soos volg gedefinieer:

Netto wins voor belasting en rente betaal, aangesuiwer vir:


Waardevermindering op eiendom, aanleg en toerusting;

Voorkeurkortings en bonusse aan lede toegestaan;

Afskrywings van ontasbare bates; en

Beleggingsinkomste.

Omset word soos volg bereken:

Verkope van voorraad en dienste, uitgesluit belasting op toegevoegde waarde. In die geval van direkte transaksies word slegs die kommissiegedeelte ingesluit. Handelskorting toegestaan word by die berekening van omset afgetrek. Die invordering van silokoste is in ag geneem soos verantwoord in die onderskeie finansiële jaarstate.

Beleggingsinkomste verteenwoordig hoofsaaklik dividende ontvang uit genoteerde en ongenoteerde beleggings.

•

•

•

•

•


The results indicate what effect borrowed funds, used to finance debtors, had on smaller agribusinesses. What should be taken into account here, is that the total liabilities in financing debtors are deducted from the total assets. While the total obligation rests with the business, it carries the risk with regard to the recoverability of debtors. Should losses be suffered due to bad debts, this may have an extremely detrimental effect on these results.

1.4 Net profit percentage

Profitability is measured here in terms of the real turnover achieved. This means that the effectiveness of the transactions is measured, against that of assets applied, as in the case of 1.3.

Net profit is defined as:

Net profit before tax and interest paid, adjusted for:

Exceptional items;

Depreciation on property, plant and equipment;

Preferential rebates and bonuses awarded to members;

Write-offs of intangible assets; and

Investment earnings.

Turnover is calculated as:

Sales of stock and services, excluding value added tax. In the case of direct sales only the commission portion is included. Trade discounts granted are deducted in determining turnover. The collection of silo costs was taken into account as accounted for in the various annual financial statements.

Investment earnings represent mainly dividends earned on listed and unlisted investments.

•

•

•

•

•


Die landboubedryf

Netto winspersentasie / Net profit percentage



6.79%

2007 2006 2005

7.41%8.01%

6.97%7.66%

8.19%




6.84%

2007 2006 2005

7.54%8.16%

7.54%9.38%9.68%




6.03%

2007 2006 2005

5.95%6.21%

6.33%5.75%

6.52%

Die bedryf het in sy geheel ‘n toename in netto wins gerealiseer van 24% teenoor die vorige jaar. Bogenoemde grafiek dui op ‘n afname van 8% op die totale waarde van die transaksies vir die jaar, maar dit is gebaseer op ‘n toename van omset van 51%.

Silo-inkomste is onder druk weens die grootskaalse mededinging en die swak oes in sekere gebied.


Die resultate toon ‘n afname van 9% teenoor die vorige jaar. Dieselfde redenasie geld soos hierbo, asook die afname in dividendinkomste weens die verkoop van aandele.




The industry has realised a 24% increase in net profit overall against the previous year. The above graph shows a 8% decline in total value of transactions for the year. However this was based on an increase of 51% in turnover.

Income from silos was squeezed as a result of large-scale competition and poor harvests in some areas.


The results show a 9% decline over the previous year. This can be ascribed to the same reasons as set out above as well as the decrease in dividend income caused by selling of shares.



Relatief tot die groter omset van 16% wat teenoor die vorige jaar behaal is, blyk daar ’n marginale verbetering in winsgewendheid te wees.

Weens die reeds klein infrastruktuur wat daar by die besighede bestaan en waarop min, indien enige, kostebesparing bewerkstellig kan word, het ’n daling in bruto winspersentasies, soos vermeld hierna, ’n wesenlike invloed op die netto resultate.

Anders as by hul groter eweknieë, staan die ou koöperatiewe gedagte van blote dienslewering nog sterk in teenstelling met strewe na groter winsgewendheid.

1.5 Bruto winspersentasies

Hierdie verhouding is bereken vir geïdentifiseerde departemente en verskaf ’n aanduiding van die bruto winspersentasies (omset min koste van verkope) wat departementeel behaal is.

Vir die werkswinkel-, graanbemarking- en graanverhandelingsdepartemente kan geen sinvolle vergelyking getref word nie weens die interpretasie- en teboekstellingsverskille tussen die deelnemers.

Omset word soos volg gedefinieer:

Verkope van voorraad en dienste, uitgesluit belasting op toegevoegde waarde. In die geval van direkte verkope word slegs die kommissiegedeelte geag die brutowins te wees. Handelskorting toegestaan word by die berekening van omset afgetrek.

Koste van verkope word soos volg gedefinieer:

Koste van verkope van voorraad, uitgesluit belasting op toegevoegde waarde. Handelskorting ontvang word by die berekening van koste van verkope ingereken. Die koste verbonde aan direkte transaksies is uitgesluit.

Die bruto winspersentasie van al die deelnemers ten opsigte van handel, onderdele en brandstof verskil nie wesenlik van mekaar nie. In die geval van meganisasie en saad blyk die bruto winspersentasies baie uiteenlopend te wees.


Relative to the larger turnover of 16% attained in comparison with the previous year, a marginal improvement in profitability seems to have been achieved.

Owing to the small infrastructure of agribusinesses, on which little, if any, saving can be achieved, a change in gross profit percentages has a considerable impact.

Unlike their bigger counterparts, smaller agribusinesses follow the old co-operative idea of mere service delivery instead of pursuing bigger profitability.

1.5 Gross profit percentages

This ratio is calculated for identified departments and gives an indication of the gross profit percentages (turnover minus cost of sales) achieved departmentally.

A meaningful comparison cannot be made for the workshop, grain marketing and grain trading departments, given the interpretation and reporting discrepancies among participants.

Turnover is defined as follows:

Sales of stock and services, excluding value added tax. In the case of direct sales only the commission portion is regarded as gross profit. Trade discounts granted have been deducted from the calculation of turnover.

The cost of sales is defined as follows:

The cost of sales of stock, excluding value added tax. Trade discount received was taken into account in the calculation of the cost of sales. The cost of direct transactions is excluded.

The gross profit percentages of all the participants in respect of trade, spare parts and fuel do not differ significantly. In the case of mechanisation and seed, the gross profit percentages show a big discrepancy.


Bruto winspersentasies / Gross profit percentages

Onderdele - Voorraadverkope /Spare parts - Stock sales

Implemente /Implements

Brandstof /Fuel

Handel - Voorraadverkope /Trade - Stock sales

Handel - Direkte verkope /Trade - Direct sales

2007 2006 2005

18.02%17.68%

14.80%

4.18%3.16%

3.35%

22.26%24.79%

20.47%

9.88%6.55%

10.45%

4.81%5.48%

7.98%



Handelsvoorraad het in die tydperk onder oorsig ’n verhoging in bruto winspersentasie getoon deur vanaf 17.68% tot 18.02% te styg. Produkreekse word voortdurend uitgebrei om alternatiewe bronne van inkomste te skep. Die afskrywing van voorraad het ook ’n effek op die bruto winspersentasies. Die invloed daarvan word gemeld in 2.5.3 hierna.

Op direkte omset, dit wil sê op nie-eie-handelsvoorraad, het die gemiddelde heffing verhoog tot ongeveer 4.2%. Hierdie metode van handel lewer ’n wesenlike bydrae tot die netto wins van sommige landboubesighede as in ag geneem word dat die bruto bedrag van sodanige omset by groter besighede minstens 15% bedra het van die totaal van hul eie omset.

Die bruto winspersentasie van onderdele het gedaal vanaf 24.8% tot 22.3%. Weens die onbekende lang periode wat onderdele gedra moet word, na die aanvanklike onderhoudsprogram van implemente, word voorraad wat alreeds afgeskryf is na ‘n aantal jare weer “lewendig” wanneer die vraag daarna ontstaan. Nuwe tegnologie, wat verskaffers en landboubesighede aan voorraadbewegings koppel, lewer ’n groot bydrae tot beter voorraadbestuur. Prysmededinging speel egter ook ‘n al hoe groter rol.

Weens die beter verwagte landbou omstandighede, het die omset en winspersentasies van implemente tot ‘n groot mate herstel. Groter prysmededinging is egter aan die orde van die dag.


In the period under review, trading stock recorded an increase in gross profit percentage from 17.68% to 18.02%. Product ranges are continually expanded in order to create alternative sources of income. Write-offs of stock also impact on gross profit percentages. This impact is referred to in 2.5.3 below.

The average levy on direct turnover, i.e. on non-own-trading stock, has increased to approximately 4.2%. This trading method contributes significantly to the net profit of some of the agribusinesses, considering that, among large businesses, the gross amount of such turnover amounted to at least 15% of the total of their own turnover.

The gross profit percentages of spare parts recorded a decrease from 24.8% to 22.3%. As a result of the long period needed for carrying parts following the initial maintenance programme of implements, stock that has already been written off is “resuscitated” after a few years when a demand arises. New technology, linking suppliers and agribusinesses to stock movements, contributes to improved stock management. Price competition also comes into play, however.

Thanks to the expectations of improved agricultural conditions, turnover in implements and the profit percentages thereof have recovered by and large. However, the recovery was accompanied by the increased price competition which was the order of the day.


Die toename in brandstofverkope kan slegs aan die prysstygings toegeskryf word en nie aan die toename in volume nie. Die groot toename in brandstofpryse gedurende die tydperk onder oorsig het ’n daling van 30% in bruto winsgrense meegebring.


Anders as in die geval van groter besighede, was daar ’n daling in die bruto winspersentasies. Beter voorraadbeheer het egter die uitwerking hiervan verminder.

Bruto winspersentasies / Gross profit percentages

Brandstof /Fuel

Handel - Voorraadverkope /Trade - Stock sales

Handel - Direktes /Trade - Directs

14.69%15.60%

13.26%

3.12%3.81%3.82%

5.74%5.98%

6.31%

2007 2006 2005

Die persentasie-heffing op direkte transaksies het ook van 3.81% tot 3.12% gedaal. In die geval van kleiner besighede bedra direkte transaksies minstens 20% van die totale omset.

Aangesien minder as sewe kleiner besighede inligting oor onderdele verskaf het, word u verwys na die resultate van geweegde gemiddelde van die groter besighede, aangesien dit ooreenstem met die bedryf in sy geheel.

U word ook verwys na die resultate ten opsigte van implemente van die bedryf in sy geheel, aangesien daar te min kleiner deelnemers was.

Dieselfde argument, soos reeds bespreek, oor brandstofverkope vir die groter landboubesighede geld ook hier – verhoogde pryse het soos in die vorige tydperk verlede jaar ‘n verlaagde bruto winspersentasie meegebring.


The increase in fuel sales can only be contributed to price increases, not to larger volumes. The big increase in fuel prices during the period under review has led to a 30% decline in gross profit margins.


Unlike larger businesses, the smaller ones recorded a decline in gross profit percentages. However, better stock control has cushioned the impact thereof.

The percentage levy on direct transactions has also fallen from 3.81% to 3.12%. With smaller businesses, direct transactions amounted to at least 20% of total turnover.

Since fewer than seven smaller businesses provided information on parts, we refer you to the results of the weighted average of the larger businesses, since this is in line with the industry in general.

We also refer you to the results regarding machinery in the industry in general, since the number of smaller participants is negligible.

The same case as discussed earlier regarding fuel sales for larger businesses applies in this case too – as in the previous period, higher prices have led to a decline in the gross profit percentage.


Rentedekking / Interest cover

Geweegde gemiddelde - Groot /Weighted average - Large

4.01

Geweegde gemiddelde - Klein /Weighted average - Small

3.873.72

2.962.68

2.46

2007 2006 2005

1.6 Rentedekking

Hierdie verhouding dui die onderneming se vermoë aan om sy renteverpligting op sy uitstaande skuld uit netto inkomste te vereffen.

Netto inkomste word soos volg gedefinieer:

Netto inkomste voor belasting en rente betaal, aangesuiwer vir :


Waardevermindering op eiendom, aanleg en toerusting;

Voorkeurkortings en bonusse aan lede toegestaan; en

Afskrywings van ontasbare bates.

Rente betaal sluit finansieringsbruikhuurkoste in.

•

•

•

•

Landboubesighede het gedurende die afgelope twee jaar baie klem gelê op verbeterde kontantvloei. Die rentedekking vir die bedryf het vanaf die vorige jaar verbeter vanaf 3.89 tot 3.91 keer.

Met inagneming van spesiale strategieë om produsente te akkommodeer, blyk die posisie gesonder te wees as in die vorige tydperk, maar die probleem van oorlaatskuld, soos vermeld in 2.6.2. het groter slegte skuld afskywings meegebring. Die realisasie van beleggings gedurende die afgelope twee jaar het ook baie daartoe bygedra om die kontantposisie te verbeter.

Die groter besighede se rentedekking het marginaal vanaf 3.87 tot 4.01 keer verbeter.

Kleiner landboubesighede se rentedekking het vir die afgelope drie tydperke ’n opwaartse kurwe getoon.


1.6 Interest cover

This ratio indicates the enterprise’s ability to pay its interest liability on outstanding debt from its net income.

Net income is defined as follows:

Net income before tax and interest paid, adjusted for :

Exceptional items;

Depreciation on property, plant and equipment;

Preferential rebates and bonuses granted to members; and

Write-offs of intangible assets.

Interest paid includes financing leasing costs.

•

•

•

•

Agribusinesses have been focusing a great deal on improved cash flow over the past two years. The industry’s interest coverage ratio has improved from 3.89 to 3.91 over the previous year.

When taking into account special strategies to accommodate producers, the position seems healthier than in the previous period, but, as mentioned in 2.6.2, the problem of carry-over debt has led to increased bad debts.

The realisation of investments over the past two years has also contributed to an improved cash position.

The interest coverage ratio of the larger business has improved marginally from 3.87 tot 4.01.

In the case of smaller agribusinesses, the interest coverage has shown an upward curve for the past three consecutive periods.


1.7 Silobenutting

Hierdie verhouding dui die doeltreffende benutting van beskikbare silokapasiteit aan. Dit dien ook as aanwyser van die algemene oes-omvang.

Die deursettonne (slegs tonne wat regstreeks deur die silo’s beweeg) word as ’n persentasie van die beskikbare kapasiteit uitgedruk.

Die ondergemiddelde oeste weens ongekende droogte het meegebring dat die volle beskikbare kapasiteit nie benut is nie.

Hierdie resultate moet ook beoordeel word aan die hand van faktore soos groter mededinging vir die verskaffing van stoorgeriewe, die uitdaging van alternatiewe opbergingsmetodes en onsekerhede oor die toekoms van die landbou. Hierdie faktore het daartoe bygedra dat die deurset van 65% tot 51% gedaal het.

Wat die invloei van graan betref, blyk dit dat die verskillende metodes soos volg bydra tot die verkryging daarvan:

Voor-seisoense leweringskontrakte 45%

Safex/spotverkope/markverkope 7%

Sessie oor graan 10%

Blote lewering met latere handeling 34%

Opbergingsooreenkomste 4%

•

•

•

•

•

2007 2006 2005

Silobenutting / Silo utilisation



51.29%64.88%

57.90%

77.06%74.51%

61.85%


1.7 Silo utilisation

This ratio indicates the efficient use of available silo capacity. This also serves as an indication of the overall extent of the harvest.

The through-put tonnage (only the tonnage that moves directly through the silos) is expressed as a percentage of the available capacity.

The below-average harvests on the back of the unparalleled drought have meant that the full available capacity could not be utilised.

These results should also be viewed in the light of factors such as increased competition in the supply of storage facilities, the challenge of alternative storage methods and uncertainties over the future of agriculture. These factors have contributed to the decrease in through-put from 65% to 51%.

Regarding the inflow of grain, various factors appear to have had an impact in the obtaining thereof, as set out below:

Pre-seasonal delivery contracts 45%

Safex/spot sales/market sales 7%

Grain cession 10%

Delivery, only followed by action later on 34%

Storage agreements 4%

•

•

•

•

•


Die blote gemiddelde graan wat in landboubesighede se tradisionele bedieningsgebiede geproduseer word, maar wat ander bestemmings bereik is na raming:

Silo-sakke 18%

Meulenaars wat direk met produsente onderhandel 42%

Daarteenoor blyk dit dat landboubesighede ongeveer 5,5% van hul graanontvangste verkry van produsente wat buite hul tradisionele bedieningsgebied val.

1.8 Silotariewe

Die gemiddelde jaar-, hanterings- en dagtariewe per ton kan soos volg opgesom word:

Koring Mielies2007 2006 2007 2006

Gemiddelde jaartarief/stoortarief

86.40 71.80 67.43 58.00

Gemiddelde hanteringstarief

36.32 38.75 33.46 34.33

Gemiddelde dagtarief 0.45 0.41 0.39 0.34

Die tariewe verskil min tussen die deelnemers. Volgens die inligting wat bekom is, hanteer die deelnemers op enkele uitsondering slegs een oes per jaar.

Die silo instandhoudingskoste bedrae ongeveer 6% van die totale silo-inkomste.

Uit die opname blyk dit dat die gemiddelde ouderdom van graansilo’s ongeveer 29 jaar bedra, terwyl die respondente raam dat die oorblywende verwagte nutsduur daarvan nog ongeveer 40 jaar beloop.

•

•


The mere average of grain produced, in the traditional service areas of agribusinesses which reached other destinations are estimated at:

Silo bags 18%

Millers negotiating directly with producers 42%

In comparison, it would appear that agribusinesses receive about 5,5 % of their grain receipts from producers outside their traditional service areas.

1.8 Silo tariffs

The average annual, handling and daily tariffs per ton can be summed up as follows:

Wheat Maize2007 2006 2007 2006

Average annual/storage tariff

86.40 71.80 67.43 58.00

Average handling tariff

36.32 38.75 33.46 34.33

Average daily tariff 0.45 0.41 0.39 0.34

The tariffs do not vary much among participants. According to the information obtained, participants handle for the most part only one harvest a year.

The silo maintenance costs amount to about 6% of the the total silo income.

The survey shows that the average age of grain silos is about 29 years, while the respondents estimate the remaining expected useful life thereof is about 40 years.

•

•


1.9 Direkteursvergoeding

Slegs die direkteursvergoeding van nie-uitvoerende direkteure is vir die doeleindes van die prestasiemeting ondersoek.

Met die ontvangs van die opgawes, is gevind dat direkteursvergoeding meestal soos volg betaal word:

Eenmalige betaling per jaar (honorarium);

Vaste bedrag per dag (dagtoelae); en

Reistoelae per kilometer.

Hoogste grens Rekeningkundige gemiddelde

R RVoorsitter 304 000 131 487Onder-voorsitter 251 000 95 992Ander 125 744 63 118

Die gemiddelde reistoelaag het vir die afgelope twee jaar onveranderd gebly, naamlik R3.37 per kilometer.

1.10 Werkswinkeltarief

Werkswinkeltariewe word tot ’n groot mate deur die handel bepaal. Die winsgewendheid van werkswinkels is hoofsaaklik van besetting afhanklik. Gevalle kom egter voor waar hierdie afdelings gesubsidieer moet word, aangesien dit hoofsaaklik ’n ondersteuningsfunksie verrig. Die onderdele- en implemente-afdelings trek gewoonlik die voordeel uit hierdie diens.

Die gemiddelde tariewe wissel van R190 tot R275 per uur.

1.11 Departementele personeelkoste

Hierdie verhouding van departementele personeelkoste as persentasie van die departementele omset is vir geïdentifiseerde departemente bereken en verskaf ’n aanduiding van die koste van personeel vir die betrokke departement.

Vir die werkswinkel-, graanbemarking- en graanverhandelingsdepartemente kan egter geen sinvolle prestasiemetingsvergelyking getref word nie weens die interpretasie- en teboekstellingsverskille tussen die deelnemers.

•

•

•


1.9 Directors’ remuneration

Only the directors’ remuneration of non-executive directors was reviewed for the purposes of the benchmarking survey.

Upon receiving the returns, it was found that the directors’ renumeration is mostly paid as follows:

Once-off annual payment (honorarium);

Fixed amount per day (daily allowance); and

Travel allowance per kilometer.

Highest margin Mathematical mean

R RChairman 304 000 131 487Vice chairman 251 000 95 992Other 125 744 63 118

The average travel allowance has remained unchanged for the last two years at R3.37 per kilometer.

1.10 Workshop tariff

Workshop tariffs are mostly determined by the trade. The profitability of workshops depends mainly on utilisation. However, there are cases where these divisions have to be subsidised, given that they mainly fulfil a supporting function. The parts and implements divisions are usually the ones to benefit from this service.

Average tariffs range from R190 to R275 per hour.

1.11 Departemental personnel costs

The ratio of departmental personnel costs as a percentage of departmental turnover has been calculated for identified departments and provides an indication of the costs of personnel for the department in question.

However, no meaningful benchmarking could be done for the workshop, grain marketing and grain trading departments, given the interpretation and reporting discrepancies among participants.

•

•

•


Omset word soos volg gedefinieer:

Verkope van voorraad en dienste, uitgesluit belasting op toegevoegde waarde. Handelskorting toegestaan word by die berekening van omset afgetrek.

Personeelkoste word soos volg gedefinieer:

Dit is personeelkoste wat direk aan ’n betrokke departement toegedeel kan word. Dit sluit direkteursvergoeding en personeelkostes van die hoofkantoorpersoneel (administratief) spesifiek uit.



Turnover is defined as follows:

Sales of stock and services, excluding value added tax. Trade allowances granted are deducted from the calculation of turnover.

Personnel costs are defined as follows:

These are personnel costs allocated directly to a particular department. Specifically excluded are directors’ remuneration and personnel costs of the headoffice personnel (administrative).


Departementele personeelkoste / Departmental personnel costs

Onderdele - Rekenkundige gemiddelde /Spare parts - Mathematical mean

Implemente - Geweegde gemiddelde /Implements - Weighted average

Implemente - Rekenkundige gemiddelde /Implements - Mathematical mean

Handel - Geweegde gemiddelde /Trade - Weighted average

Handel - Rekenkundige gemiddelde /Trade - Mathematical mean

Onderdele - Geweegde gemiddelde /Spare parts - Weighted average

4.65%

2007 2006 2005

4.81%4.98%

5.32%5.45%

4.94%

8.95%9.31%

13.02%

10.66%10.98%

13.58%

3.12%4.13%

2.49%

3.93%4.58%

3.03%

Die besighede met die grootste omset in hul handelsafdelings was volgens die geweegde gemiddelde die suksesvolste in die besparing van hul personeelkoste.

Die totale personeelkoste van groot deelnemers het in die tydperk onder oorsig die volgende tendens getoon:

Handel 6.4 % styging

Onderdele 6.3 % daling

Implemente 8.0 % styging

•

•

•

According to the weighted average, the businesses with the biggest turnover in their trading divisions were the most successful in cutting personnel costs.

The total personnel costs of the large participants revealed the following trend in the period under review:

Trade 6.4 % increase

Parts 6.3 % decrease

Implements 8.0 % increase

•

•

•


Weens die styging in departementele omset (soos vermeld in 1.1 hierbo) toon die grafiek ’n beter verhouding in die benutting van personeel. Sommige deelnemers het drastiese besnoeiings in hul onderdele-afdelings meegebring. Die toename in omset van implemente het gelei tot ‘n beter personeelkoste persentasie.


Kleiner besighede, wat hoofsaaklik net handelsafdelings bedryf, se personeelkoste styg steeds teenoor die vorige tydperke. ’n Besparing van hierdie koste word moeilik bewerkstellig weens die beperkte personeelgetalle wat in diens is.

Die gemiddelde styging in salariskoste het 19% bedra, wat toegeskryf kan word aan 30% van die deelnemers wie se salariskoste met meer as 20% gestyg het.

1.12 Rekenaarkoste

Hierdie verhouding verskaf ’n aanduiding van rekenaarkoste as persentasie tot omset.

Rekenaarkoste behels herstel/instandhouding, waardevermindering, lisensiegelde, huurkoste, salarisse van die rekenaardepartement en konsultasiegelde aan buitepartye.

Omset is die verkoop van voorraad en dienste, uitgesluit belasting op toegevoegde waarde. In die geval van direkte verkope word slegs die kommissiegedeelte in ag geneem. Handelskorting toegestaan word by die berekening van omset afgetrek.


As a result of the increase in the departmental turnover (as mentioned in 1.1 above), the graph shows a better ratio in the utilisation of staff. Some participants achieved drastic cuts in their parts divisions. The increase in the sales of implements has led to a improved personnel costs percentage.


Smaller businesses, which mainly operate trading divisions, recorded a continued increase in personnel costs over previous years. Cost savings are difficult to achieve, given the limited number of staff employed.

Average increases in salary costs amounted to 19%. This can be attributed to the fact that 30% of participants experienced a 20% plus increase in salary costs.

1.12 Computer costs

This ratio gives an indication of computer costs as a percentage of turnover.

Computer costs include repairs/maintenance, depreciation, licence fees, rental costs, salaries of the computer department and consultation fees to external parties.

Turnover is the sale of stock and services, excluding value added tax. In the case of direct sales, only the commission portion is taken into account. Trade allowances allocated are deducted when calculating turnover.

Departementele personeelkoste / Departmental personnel costs



5.32%

2007 2006 2005

5.24%4.49%

5.26%4.80%

4.43%


Rekenaarkoste as % van omset / Computer cost as % of turnover


Rekenkundige gemiddelde - Groot /Mathematical mean - Large

0.60%

2007 2006 2005


Rekenkundige gemiddelde - Klein /Mathematical mean - Small

0.95%1.02%

0.55%0.89%0.94%

0.41%0.52%

0.57%

0.63%0.56%

0.63%

Die totale uitgawe aan rekenaarkoste het in die tydperk onder oorsig vir groot besighede met 12.5% en vir kleiner besighede met 4% gedaal. Soos met die vorige tydperk, word hierdie uitgawe meer doeltreffend bestuur.

Gemeet aan die omset, wat in die tydperk onder oorsig toegeneem het, het die groter deelnemers se persentasiekoste hieraan verbonde met 3.7 % gedaal, terwyl kleiner besighede ook ’n daling van 21% bewerkstellig het.


For the period under review, total computer costs increased by 12.5% in the case of large businesses and decreased by 4% in the case of smaller businesses. As with the previous period, this expense is managed more efficiently.

Based on turnover, which increased in the period under review, the percentage costs of the bigger participants decreased by 3,7%, while smaller businesses achieved a reduction of 21%.


Balance sheet structureBalansstaatstruktuur

Die grafieke by 2.1 en 2.2 verteenwoordig ’n opsomming van die deelnemende landboubesighede se balansstaatstrukture. Aangesien die groter landboubesighede so ’n oorheersende rol speel, word aparte inligting van die groter en kleiner besighede ook verskaf.

Die balansstaatstruktuur word saamgestel uit die maandelikse gemiddeldes van debiteure, voorraad, krediteure en korttermynfinansiering ten einde seisoenale skommelings uit te skakel. Die res van die bates en laste verteenwoordig die waardes soos op die balansstaatdatums van die deelnemers.

2.1 Totale bate samestelling

Die landboubedryf

Balansstaatstruktuur / Balance sheet structure

■ Vaste bates / Fixed assets■ Aandelebeleggings / Investment in shares

■ Gemiddelde debiteure / Average debtors■ Gemiddelde voorraad / Average stock■ Kontant / Cash■ Ander / Other

11%

39%

21%

1%

18%

10%

2007

2006

12%

41%

20%

1%

18%

8%11%

48%

17%

2%

13%

9%

2005

The graphs in 2.1 and 2.2 represent a summary of the balance sheet structures of the participating agribusinesses. Since the larger agribusinesses play a dominant role, information for larger and smaller businesses is provided separately.

The balance sheet structure is composed of the monthly averages of debtors, stock, creditors and short-term financing in order to eliminate seasonal fluctuation. The remainder of the assets and liabilities represent the values as at the balance sheet dates of the participants.

2.1 Total asset composition




Die vernaamste item op die balansstaat bly steeds debiteure. Dit is opvallend tot watter mate die beheer daaroor verbeter het. Nadat die afgelope drie tydperke se gemiddelde debiteure van 48% van totale bates tot 41% gedaal het, het dit in die tydperk onder oorsig net 39 % bedra. Terwyl omset met 51% gestyg het, soos voorheen vermeld, het debiteure met slegs 25% gegroei. Volgens hierdie grafiek blyk debiteure as persentasie van totale bates, laer te wees as dié in die grafieke vir groot en kleiner besighede afsonderlik. Die rede daarvoor is dat een van die deelnemers oor ’n wesenlike aandelebelegging beskik wat buite rekening gelaat word vir die berekening van gemiddeldes by kleiner besighede.

Voorraad het in afwagting op groter aanplantings met 39% gestyg. Dit bring egter ’n styging van net een persentasiepunt in die balansstaatstruktuur mee. Die styging word tot ’n groot mate deur die toename in billike waarde vir aandelebeleggings geneutraliseer.

Terwyl daar verlede jaar ’n afskaling in die aankoop van vaste bates van onderskeidelik 33 % vir groter besighede en 25 % vir kleiner besighede teenoor die vorige jaar was, het die posisie in die tydperk onder oorsig by groter besighede omgeswaai vanwee die optimisme jeens beter landbou-ekonomiese toestande. Bate-aankope deur groter besighede het met 34% toegeneem. Kleiner besighede was meer konserwatief met aankope van vaste bates wat verder met 24% gedaal het.

The most important item on the balance sheet is still debtors. The improvement in control over the balance sheet is remarkable. Following the decline in average debtors over the past three periods from 48% of total assets to 41%, it amounted to only 39% in the period under review. While turnover increased by 51%, as mentioned before, debtors grew by only 25%. According to this graph, debtors as a percentage of total assets seem to be lower than those in the graphs for large and smaller businesses seperately. The reason for that is that one of the participants has a material share investment at its disposal, which is not taken into account for the calculation of averages in smaller businesses.

Stock rose by 39% in anticipation of bigger plantings; however, this brings about an increase of only one percentage point in the balance sheet structure. The increase is neutralised to a large extent by the increase in fair value for share investments.

Last year there was a downscaling in the procurement of fixed assets of 33% for bigger businesses and 25% for smaller businesses respectively as against the previous year. The position swung around at bigger businesses in the period under review due to the optimism towards better agri-economic conditions. Asset procurement by bigger businesses increased by 34%. Smaller businesses were more conservative in their procurement of fixed assets, which declined by a further 24%.




■ Vaste bates / Fixed assets■ Aandelebeleggings / Investment in shares■ Gemiddelde debiteure / Average debtors■ Gemiddelde voorraad / Average stock■ Kontant / Cash■ Ander /

Other

11%

51%

17%

1%10%

10%

2005

12%

40%

23%

1%

14%

11%

2007

2006

13%

44%

22%

1%

11%

9%


Die debiteure van groter landboubesighede het vanaf 44% tot 40% gedaal, terwyl voorraad van 22% tot 23% toegeneem het. Die kontantvloeistate en ander resultate het ’n verbetering in debiteure-invordering bevestig, maar die gemiddelde voorraadvlakke het egter met 43% gestyg. Terwyl hierdie besighede ‘n verdere belegging van sowat R55 miljoen gemaak het, het sommiges weer ‘n verdere R13 miljoen gerealiseer deur die verkoop van beleggings. Die aankope van vaste bates is hoofsaaklik deur langtermynverpligtinge gefinansier.


The debtors of larger agribusinesses fell from 44% to 40%, while stock increased from 22% to 23%. The cash-flow statements and other results confirmed an improvement in debtor collection, but the average stock levels rose by 43%. While certain businesses have made additional investments of approximately R55 million, others in turn realised further R13 million through the sale of investments. The procurement of fixed assets was financed primarily by means of long-term debt.





■ Vaste bates / Fixed assets■ Aandelebeleggings / Investment in shares■ Gemiddelde debiteure / Average debtors■ Gemiddelde voorraad / Average stock■ Kontant / Cash■ Ander / Other

2006

14%

44%

20%

3%

14%

5%

17%

47%

18%

7%

6%

5%

2007

15%

48%

22%

3%

8%

4%

2005

Terwyl debiteure in die vorige tydperk 44% van totale bates uitgemaak het, het dit ná verlede jaar se daling weer tot 47% van die totale bates toegeneem. Voorraad het met 3.9% gedaal. Kleiner besighede het in die tydperk onder oorsig geen nuwe beleggings gemaak nie, terwyl R 7.6 miljoen gerealiseer is met die verkoop van aandelebeleggings.


While debtors comprised 44% of total assets in the previous period, after last year’s decrease, it increased again to 47% of the total assets. Stock decreased by 3.9%. Smaller businesses made no new investments in the period under review, while R7.6 million was realised through the sale of share investments.



2.2 Ekwiteit en aanspreeklikhede samestelling

Die landboubedryf

Ekwiteitsstruktuur / Equity structure

■ Ekwiteit / Equity■ Langtermynskuld / Long-term debt■ Gemiddelde krediteure / Average creditors■ Gemiddelde kredietlenings / Average credit loans■ Oortrokke fasiliteite / Overdraft facilities■ Ander / Other

2007

41%

13%

25%

14%

6%

1%

2006

43%

10%

27%

13%

6%

1%

2005

38%

11%

24%

19%

7%

1%

Beide groot en kleiner landboubesighede se balansstate het verstewig.

Ekwiteit het met 7.2% teenoor die vorige jaar gegroei. Altesame 21% van die vorige jaar se winste wat gerealiseer is, is in die tydperk onder oorsig as dividende uitgekeer. Die restant van die reserwes vloei hoofsaaklik voort uit die herwaardasie van bates.

Korttermynverpligtinge het met 14% gestyg.

2.2 Equity and liabilities composition


Both large and small agribusinesses’ balance sheets firmed.

Equity has grown by 7.2% compared to the previous year. A total of 21% of profits realised in the previous year, was distributed as dividends in the period under review. The balance of the reserves results primarily from the revaluation of assets.

Short-term borrowings rose by 14%.






2007

40%

13%

24%

16%

6%

1%

2005

35%

11%

25%

21%

7%

1%

2006

39%

10%

28%

16%

6%

1%

Ekwiteit het met 23% gestyg, terwyl langtermynskuld met 25% toegeneem het weens aankope van vaste bates, soos hierbo genoem.


Equity rose by 23%, while long-term debt increased by 25% due to the procurement of fixed assets, as mentioned above.






2007

53%

12%

20%

1%

6%

8%

2006

48%

10%

22%

2%

8%

10%

2005

51%14%

18%

2%

12%

3%

Ekwiteit het met 20% gegroei, terwyl langtermynverpligtinge met 20% gedaal het. Korttermynverpligtinge het egter met 17% gestyg.


Equity grew by 20%, while long-term debt declined by 20%. Short-term borrowings, however, rose by 17%.



2.3 Bedryfskapitaalverhouding

Die verhouding is ’n aanduiding van die besigheid se betaalvermoë om sy korttermynverpligtinge na te kom.

Dit is die verhouding van bedryfsbates tot bedryfslaste. Vir prestasiemetingsdoeleindes word die maandelikse gemiddelde van debiteure, voorraad, kaskrediete en krediteure gebruik. Vir al die ander items word die bedrae soos op balansstaatdatum gebruik.

Vir die alternatiewe berekening word kredietlenings, kaskrediete en langtermynfinansiering, wat vir korttermyninsetfinansiering geoormerk is, van bedryfsbates en bedryfslaste uitgesluit.

Landboubesighede speel ’n vername rol in die verkryging van finansiering vir produsente en tree meestal op as ’n geleipyp vir finansiële hulp om produsente se insette te finansier. Dit kan daartoe aanleiding gee dat die bedryfskapitaalverhouding tot ’n mate nadelig beïnvloed word.

Die vuurproefverhouding, wat ’n soortgelyke berekening is, maar met voorraad uitgesluit, word nie bereken nie aangesien dit ’n baie teoretiese norm is wat nie toepaslik is in die landbou-omgewing nie.

Bedryfskapitaalverhouding / Operating capital ratio

Groot /Large

In geheel /In total

Uitgesluit kaskrediete en LT finansiering /Excluding cash credits and LT financing

1.44

Klein /Small

Groot / Large

Klein / Small

2007 2006 2005

1.421.56

1.471.37

1.73

2.372.82

2.47

2.051.80

2.51

2.3 Operating capital ratio

The ratio is an indication of the businesses ability to meet its short-term obligations.

The operating capital ratio is the ratio of current assets to current liabilities. For benchmarking purposes the monthly average of debtors, stock, cash credits and creditors is used. For all other items the amounts as at date of balance sheet are used.

For the alternative calculation, credit loans, cash credits and long-term financing, earmarked for short-term input financing, are excluded from current assets and current liabilities.

Agribusinesses play a prominent role in obtaining financing for producers and mostly act as a conduit for financial assistance to finance producers’ inputs. This can lead to the operating capital ratio being influenced negatively to some extent.

The quick asset ratio, which is a similar calculation, but excluding stock, is not calculated, as it is a very theoretical norm that is not applicable in the agricultural environment.



Die landboubedryf en groter landboubesighede

Die bedryfskapitaalverhouding van die bedryf in sy geheel het min of meer dieselfde gebly. Fondse wat voortgevloei het uit debiteure-invorderings is aangewend om voorraad gedeeltelik te finansier. Die restant van die voorraadfinansiering is uit krediteurefondse verkry. Uit die kontantvloeistate blyk dit dat die netto bedryfskapitaalposisie ’n negatiewe kontantvloei van ongeveer 4.5% van die totale wins getoon het.


Die bedryfskapitaalverhouding van kleiner besighede het matig verstewig. Waar die verhouding in die vorige tydperk 1.37 bedra het, het dit nou tot 1.47 gestyg. Die geweegde gemiddelde van die verhouding vir kleiner besighede, indien kaskrediete en langtermynfinansiering uitgesluit word, het van 1.80 tot 2.05 toegeneem.

2.4 Ekwiteitsverhoudings

2.4.1 Ekwiteit as persentasie van Ekwiteit en Totale skuld

Dit dui aan tot watter mate die onderneming sy bates self deur ekwiteit finansier, of afhanklik is van skuld. Hierdie is dus ’n maatstaf van die landboubesigheid se finansiële hefboom. Die bedryf se eie kapitaal en reserwes word uitgedruk as ’n persentasie van die totale fondse aangewend.

Twee vergelykings word hier getref. Die verhouding word eerstens bereken volgens die huidige finansiële resultate, soos dit in die finansiële jaarstate verantwoord word. As alternatief, om as beter vergelyking tussen besighede te dien, word herwaardasies uitgesluit.

Skuld sluit alle rentedraende verpligtinge, bedryfslaste en uitgestelde belasting in. Ekwiteit sluit alle kapitaal en reserwes in.

Ledefondse waarop rente gehef word, word as skuld hanteer. Ledefondse wat rentevry is en geroteer word, word as ekwiteit hanteer.

The agricultural industry and larger agribusinesses

The operating capital ratio of the industry as a whole remained more or less the same. Funds resulting from debtor collections were utilised to partly finance stock. The balance of the stock financing was obtained from creditor funds. From the cash-flow statements it is evident that the net operating capital position showed a negative cash flow of around 4.5% of the total profit.


The operating capital ratio of smaller businesses has firmed moderately. While the ratio amounted to 1.37 in the previous period, it has now increased to 1.47. The weighted average of the ratio for smaller businesses, if cash credits and long-term finance are excluded, increased from 1.80 to 2.05.

2.4. Equity ratios

2.4.1 Equity as a percentage of Equity and Total debt

This indicates to what degree the undertaking finances its own assets through equity, or is dependent on debt. As such it provides an indication of the agribusinesses financial gearing. The industry’s own capital and reserves are expressed as a percentage of the total funds applied.

Two comparisons are made here. The ratio is firstly calculated according to the current financial results, as accounted for in the annual financial statements. As an alternative, to serve as a better comparison between businesses, revaluations are excluded.

Debt includes all interest-bearing obligations, current liabilities and deferred taxation. Equity includes all capital and reserves.

Members’ funds on which interest is levied are treated as debt. Members’ funds that are interest-free and are rotated are treated as equity.



Herwaardasiereserwes verteenwoordig herwaardasies van eiendom, aanleg, toerusting en beleggings.

2007 2006 2005

Ekwiteitsverhouding / Equity ratio

Groot /Large

46.34%

Ekwiteit as persentasie van Ekwiteit en Totale Skuld(Langtermyn en korttermyn) /

Equity as percentage of Equity and Total debt(Long term and short term)

Klein /Small

Groot / Large

Ekwiteit (uitgesluit herwaardasiereserwes) as persentasie van Ekwiteit en Totale skuld /

Equity (excluding revaluation reserves) as percentage of Equity and Total debt

Klein /Small

46.04%42.88%

49.42%46.22%

58.49%

40.99%41.24%

37.63%

45.24%34.62%

50.70%


Die matige toename in ekwiteit word toegeskryf aan die finansiering wat nodig was vir die aankoop van vaste bates en voorraad. Die kleiner toename in ekwiteit teenoor die vorige jaar kan toegeskryf word aan die feit dat die reserwes voortvloeiend uit die herwaardasie en realisasie van beleggings vanjaar nie so ‘n groot rol, soos die vorige jaar, gespeel het nie. Die groei kan dus hoofsaaklik aan onuitgekeere winste toegeskryf word.


Die aanvanklike ekwiteitsverhouding vertoon beter as dié van groter besighede. Die verbetering in ekwiteit kan hoofsaaklik toegeskryf word aan winste wat as uitgestelde bonusse uitgekeer is.

Soos vermeld in 2.3, tree baie landboubesighede slegs op as tussengangers vir die verkryging van finansiering vir produsente. Daarom word daar eerder na die volgende verhouding gekyk, omrede daar geargumenteer kan word dat bedryfslaste hoofsaaklik bedryfskapitaal finansier.

Revaluation reserves represent revaluations of property, plant, equipment and investments.


The smaller increase in equity, in comparison with the previous year, is because of the revaluation reserves and reserves realised on the sole of share investments, were much lesser this year than the previous year. The growth can be mainly be attributed to undistributed profit.


The initial equity ratio appears to look better than that of bigger businesses. The equity has improved mainly due to profits being distributed as deferred bonusses.

As mentioned in 2.3, many agribusinesses act only as intermediaries for the obtaining of financing for producers. For this reason the next ratio is considered, rather, as it may be argued that current liabilities primarily finance current assets.



2.4.2 Ekwiteit as persentasie van Ekwiteit en Langtermynskuld (Uitgesluit herwaardasiereserwes)

Dit dui aan tot watter mate die landboubesigheid sy nie-bedryfsbates en netto bedryfsbates deur ekwiteit en langtermynskuld finansier.

Langtermynskuld sluit in alle rentedraende langtermynverpligtinge en uitgestelde belasting. Ekwiteit sluit in alle kapitaal en reserwes.

Ledefondse word soos in 2.4.1 gehanteer.

Ekwiteitsverhouding - slegs langtermynverpligtinge / Equity ratio - long-term liabilities

Groot / Large

Klein / Small

96.54%

2007 2006 2005

87.38%81.37%

77.31%68.13%

73.58%


Gemeet aan die norm dat ten minste 50% van die totale fondse aangewend uit ekwiteit moet bestaan, voldoen die oorgrote meerderheid van die landboubesighede wel daaraan.

2.5 Voorraad

2.5.1 Voorraadomsetsnelheid

Die voorraadomsetsnelheid toon die gemiddelde aantal kere per jaar wat voorraad verhandel. Hoe hoër die omsetsnelheid, hoe meer effektief is die belegging in voorraad. Indien die omsetsnelheid laag is, bring dit onder andere hoë koste aan finansiering, stoor- en personeelkoste en versekering mee. Dit kan ook op ou of onbruikbare voorraad dui wat potensieel afgeskryf behoort te word.

2.4.2 Equity as a percentage of Equity and Long-term debt (excluding revaluation reserves)

This indicates to what degree the agribusinesses finances its non-current assets and net current assets through equity and long-term debt.

Long-term debt includes all interest-bearing obligations and deferred taxation. Equity includes all capital and reserves.

Members’ funds are treated as in 2.4.1.


The vast majority of the agribusinesses do comply with the norm that at least 50% of the total funds applied should consist of equity.

2.5 Stock

2.5.1 Stock turnover ratio

The stock turnover ratio reflects the average number of times per annum that stock is sold. The higher the turnover, the more effective is the investment in stock. When the turnover ratio is low, the costs of financing, storage, personnel and insurance are higher. It could also mean that the stock might have to be written off as a result of being old or obsolete.



Die verhouding word bereken deur die koste van verkope te deel deur die gemiddelde voorraad.

Koste van verkope

Koste van verkope verteenwoordig die berekening soos gedefinieer in 1.5 hierbo.

Gemiddelde voorraad

Die maandelikse gemiddelde voorraad is vir die doeleindes van hierdie berekening gebruik weens die sikliese aard daarvan.

Daar kan nie verwag word dat landboubesighede, weens hul ligging en die aard van hul handelsware, dieselfde omsetsnelheid as die korporatiewe kleinhandelsektor moet handhaaf nie.


Voorraadomsetsnelheid / Stock turnover ratio


Implemente - Geweegde gemiddelde /Implemente - Weighted average

In totaliteit - Geweegde gemiddelde /In total - Weighted average


2007 2006 2005

6.155.36

6.74

4.923.83

4.50

2.202.262.29

2.562.07

1.88

Beter resultate is in die handels- en implemente- afdelings behaal as gevolg van die beter verwagte oeste. Onderdele het nie dieselfde tendens gevolg nie.


By kleiner besighede, wat hoofsaaklik net handelsafdelings bedryf, het die omsetsnelheid van voorraad matig tot 5.45 keer verbeter. Gedurende die vorige tydperk het dit op 4.98 keer te staan gekom.

The ratio is calculated by dividing the cost of sales by the average stock.

Costs of sales

The cost of sales represents the calculation set out under 1.5 above.

Average stock

Because of stock’s cyclical nature, the monthly average stock was used in this calculation.

Given their location and the nature of their trade value, agribusinesses cannot be expected to have the same turnover rate as the corporate retail sector.


Better results were achieved in the trade and implements divisions as harvests were expected to be better than usual. This trend was not shared by the spare parts sector.


In smaller businesses, primarily involved in the trade sector, the stock turnover rate showed a fair improvement of 5.45 times. During the previous financial period it was 4.98 times.



2.5.2 Voorraaddae

Die verhouding toon aan hoeveel dae dit neem om voorraad van die hand te sit.

Hierdie verhouding is dieselfde as dié in 2.5.1, behalwe dat dit in aantal dae uitgedruk word in plaas van aantal kere omgesit.

Vir die definisie van koste van verkope en gemiddelde voorraad, verwys na definisies onder 2.5.1 hierbo.


Voorraaddae / Stock days


Implemente - Geweegde gemiddelde /Implemente - Weighted average


2007 2006 2005

74.1295.25

81.16

165.86161.51

159.65

142.70176.46

194.67

Hierdie grafiek bevestig wat by 2.5.1 gemeld is. Die afname in handelsvoorraad kan toegeskryf word aan hoër verwagte oeste. Onderdele toon reeds die afgelope drie jaar ’n verswakking, terwyl implemente-voorraad deur optimisme van ‘n beter oes bevoordeel word.

2.5.3 Voorraadkrimping as persentasie van koste van verkope/omset

Die verhouding verteenwoordig die hoeveelheid voorraad afgeskryf gedurende die jaar weens tekorte, veroudering of diefstal.

Weens die uitwerking van verskillende bruto winspersentasies, het deelnemers versoek dat die krimpingsfaktor op beide omset en koste van verkope bereken word.

Voorraadkrimping

Voorraadkrimping verteenwoordig die monetêre waarde van alle voorraadafskrywings weens die berekende tekorte van voorraad.

2.5.2 Stock days

This ratio reflects the number of days it takes to sell stock.

This ratio is the same as that of 2.5.1 except that it is expressed in numbers of days instead of the number of times stock is sold.

For the definition of cost of sales and average stock, see the definitions under 2.5.1 above.

Bigger agribusinesses

This graph confirms what was mentioned in 2.5.1. The decline in trade stock can be ascribed to expectations of better harvests. For the past three years, the spare parts sector has experienced a decline, while the stock of implements has benefited due to the optimism of better crops managed.

2.5.3 Shrinking stock as a percentage of costs of sale turnover

The ratio represents the quantity of stock written off during the year because of shortages, ageing or theft.

Because of the effect of various gross profit percentages, participants requested that the shrinkage factor be calculated on both turnover and cost of sales.

Stock shrinkage

Stock shrinkage represents the monetary value of all stock write-offs as a result of the estimated shortages in stock.



Koste van verkope

Koste van verkope verteenwoordig die berekening soos gedefinieer in 1.5 hierbo.

Omset

Omset word gedefinieer in 1.5 hierbo.

Die persentasie voorraadafskrywings van deelnemers verskil wesenlik van mekaar. Indien ’n strenger afskrywingsbeleid toegepas word, kan dit ’n groot uitwerking op hierdie resultaat hê.

Sekere afdelings, veral handelsware, is meer sensitief vir tekorte en behoort deur deurlopende voorraadopnames gemonitor word.


Voorraadkrimping / Stock shrinkage

Voorraadkrimping en -afskrywing as % van koste van verkope - Geweegde gemiddelde /

Stock shrinkage and write-off as % of cost of sales - Weighted average

Voorraadkrimping en -afskrywing as % van omset - Geweegde gemiddelde /

Stock shrinkage and write-off as % of turnover-Weighted average

2007 2006 2005

0.14%0.35%

0.31%

0.11%0.30%

0.27%

Voorraadkrimping / Stock shrinkage

Voorraadkrimping en -afskrywing as % van koste van verkope - Geweegde gemiddelde /

Stock shrinkage and write-off as % of cost of sales - Weighted average

Voorraadkrimping en -afskrywing as % van omset - Geweegde Gemiddelde /

Stock shrinkage and write-off as % of turnover-Weighted average

2007 2006 2005

0.35%0.54%

0.69%

0.30%0.48%

0.59%

Kleiner voorraadafskrywings as in die vorige jaar is in die tydperk onder oorsig aangeteken. Die verhoudings bevestig dat veral die handelsafdeling se voorraadsituasie verbeter het.


Cost of sales

Cost of sales represents the calculation set out under 1.5 above.

Turnover

Turnover is defined under 1.5 above.

The percentage of participants’ stock write-offs varies significantly. A stricter depreciation regime applied to stock could have a significant impact on this result.

Certain divisions, especially merchandise, are more sensitive to shortages and need to be monitored by regular stock-taking.


Fewer stock write-offs were recorded in the period under review than in the previous year. These ratios confirm that the stock situation of the trade division, especially, has improved.




Dit blyk dat die beheer oor voorraad by kleiner besighede steeds verbeter. Die persentasie van afskrywings toon ’n dalende neiging.

2.6 Debiteure

2.6.1 Debiteuredae

Debiteuredae gee ’n aanduiding van hoe lank dit vir die besigheid neem om sy debiteure in te vorder.

Die verhouding word bereken deur die gemiddelde uitstaande debiteure in die tydperk te vergelyk met die omset wat gegenereer is.

Gemiddelde debiteure

Dit is die maandelikse gemiddelde bruto debiteure, wat oorlaatskuld insluit.

Omset

Omset verteenwoordig bruto omset, maar anders as in die geval van 1.5 hierbo, word die bruto direkte verkope by die berekening in ag geneem. Omdat direkte omset ook deur landboubesighede gefinansier word, is daar besluit om die definisie van omset in hierdie geval te wysig.

Debiteure is die mees riskante bate van landboubesighede. Die deeglike monitering daarvan en die verkryging van genoegsame sekuriteit verg deeglike bestuursbeheer. Om hierdie rede word kredietafdelings deesdae as ’n afsonderlike winssentrum gemeet.

Debiteuredae / Debtor days

Groter ondernemings - Geweegde gemiddelde /Larger enterprises - Weighted average

Kleiner ondernemings - Geweegde gemiddelde /Smaller enterprises - Weighted average

2007 2006 2005

79.4485.46

90.37

90.1597.3298.61

Die bedryf in sy geheel toon ‘n verbetering. Beide groot en klein besighede het beter resultate behaal. Die resultate moet egter teen die agtergrond van verhoogde omsette soos vermeld in 1.1 gesien word.

Stock control in smaller businesses has shown continued improvement. The percentage of write-offs shows a downward trend.

2.6 Debtors

2.6.1 Debtor days

Debtor days provides an indication of the length of time it takes the business to collect its debts.

This ratio is calculated by comparing the average number of outstanding debtors in the given period to turnover generated.

Average debtors

This refers to the monthly average gross debtors, including carry-over debt.

Turnover

Turnover represents the gross turnover, but contrary to the case under 1.5 above, gross direct sales are taken into consideration in this particular calculation. Because direct turnover is also financed by the agribusiness, it was decided to amend the definition of turnover in this case.

Debtors are the most risky asset in agribusinesses. Careful monitoring thereof and ensuring adequate security are key to providing better management control. For these reasons credit divisions are measured as a separate profit centre these days.

The industry as a whole shows an improvement. Both large and small businesses have attained improved results. However, the results should be considered against the background of increased turnovers as mentioned in 1.1.



Die toenames van debiteure en omsette van landboubesigheide vir die afgelope tydperk was soos volg:

Groot KleinDebiteure 19 % styging 13 % styging

Omset 51 % styging 16 % styging

Dit dui weereens op verbeterde kredietbeheer in ‘n bedryf waar natuurelemente en prysskommelings onbekend is, en waar daar meer op bates as sekuriteit gesteun moet word eerder as op die verwagte oes- opbrengs van landbouprodukte. 2.6.2 Oorlaatskuld as persentasie van debiteure

Hierdie verhouding dui aan tot watter mate produsente/ debiteure hul vorige tydperk se insetkoste nie kon vereffen uit oesopbrengste nie.

Oorlaatskuld

Oorlaatskuld verteenwoordig produksielenings wat aan die einde van die vorige seisoen nog nie vereffen is nie. Dit sluit ook in spesiale reëlings wat met produsente getref is om skuld oor ’n langer termyn te vereffen, byvoorbeeld droogtehulp.


Dit is die bruto maandelikse gemiddelde debiteure soos gedefinieer in 2.6.1 hierbo.

Hierdie verhouding behoort tot ’n groot mate ’n rol te speel in die beoordeling van die voorsiening van waardedaling van debiteure en slegte skuld afgeskryf.

Oorlaatskuld / Carry-over debt

Groter ondernemings - Geweegde gemiddelde /Larger enterprises - Weighted average

Kleiner ondernemings - Geweegde gemiddelde /Smaller enterprises - Weighted average

2007 2006 2005

7.79%14.06%

10.01%

19.69%23.17%

31.84%

Die oorwegend beter bestuur van debiteure het meegebring dat oorlaatskuld by sowel groot as kleiner besighede afgeneem het. Dit is ’n verblydende tendens.

Increased debtors and turnovers in agribusinesses for the past period were as follows:

Large SmallDebtors 19 % increase 13 % increase

Turnover 51 % increase 16 % increase

Once more, this demonstrates improved credit control in an industry where the elements of nature and price fluctuations are unknown, and where assets should be relied on for security rather than the expected crop yield of agricultural products. 2.6.2 Carry-over debt as a percentage of debtors

This ratio indicates the extent to which producers / debtors were unable to settle their previous financial year’s input costs from crop yields.

Carry-over debt

Carry-over debt represents production loans which have not been settled by the end of the previous season. It also includes special arrangements entered into with producers to settle the debt over a longer period of time, for example drought relief.

Average debtors

This refers to the gross monthly average debtors as defined under 2.6.1 above.

This ratio is important in estimating the provision for the impairment of debtors and the writing off of bad debts.

The considerably improved management of debtors has resulted in a decrease in carry-over debt in both small and bigger businesses. This is a satisfactory trend.



Voorsiening vir waardedaling van debiteure / Provision for impairment in debtors



2007 2006 2005

4.88%6.54%

5.34%

3.41%4.88%

5.56%

2.6.3 Voorsiening vir waardedaling van debiteure as persentasie van totale debiteure

Dit dui aan tot watter mate die bestuur van landboubesighede in die vorderbaarheid van debiteure twyfel en waar oorlaatskuld terselfdertyd ’n groot rol speel.

Voorsiening vir waardedaling van debiteure

Dit is die bedrag wat voorsien is vir waardedaling, soos bereken op die deelnemers se balansstaatdatums.

Debiteure

Anders as die definisie in 2.6.1, word die voorsiening gebaseer op debiteure soos aangedui op balansstaatdatums.

Slegte skuld hou regstreeks verband met die voorsiening vir waardedaling. Dié voorsiening moet as ’n voorloper vir slegte skuld gesien word. Landbou-omstandighede oor die afgelope paar jaar het die bestuur van landboubesighede verplig om meer konserwatief op te tree. Die betalingsvermoë en sekuriteit wat produsente aanbied, speel ’n belangrike rol in die beoordeling hiervan.

Dit blyk dat die skuld waarop ‘n voorsiening vir waardedaling van die vorige jaar geskep is, vanjaar ‘n groter afskrywing in debiteure meegebring het, soos in 2.6.4. Die daling in die voorsiening vir waardedaling van debiteure moet dus in die tydperk onder oorsig saam met die werklike afskrywing van slegte skulde gesien word.

2.6.3 Provision for the impairment in debtors as a percentage of total debtors

This is indicative of the management of agribusinesses doubted in the collectability of debtors, with carry-over debt playing a large role as well.

Provision for the impairment in debtors

This represents the amount set aside for impairment in value, as calculated at the participants’ balance sheet dates.

Debtors

Unlike the definition provided under 2.6.1, the provision is based on debtors as reflected on the balance sheet dates.

Bad debt is directly linked to the provision in respect of an impairment in value. This provision reflects the anticipation of bad debts. The situation in agriculture over the last few years has compelled agribusinesses’ management to act in a more conservative manner. The ability of producers to make their payments and to provide security plays an important part in assessing this.

It would seem that the provision for the impairment of debtors in respect of the previous year has largely contributed to the write-off of bad debts as mentioned under 2.6.4. The decrease in the provision for impairment of debtors in respect of the period under review therefore has to be seen in conjunction with the actual writing off of bad debt.



2.6.4 Slegte skulde as persentasie van gemiddelde debiteure

Die verhouding dui die omvang aan van verliese gely weens die onvermoë om skuld in te vorder.

Slegte skulde

Slegte skulde verteenwoordig die bedrag wat in die inkomstestaat as onverhaalbaar afgeskryf is.


Dit is die bruto maandelikse gemiddelde debiteure soos gedefinieer in 2.6.1 hierbo.

Slegte skulde / Bad debts



2007 2006 2005

1.25%0.64%

0.81%

1.63%0.32%

2.52%

Dit blyk dat daar daadwerklik opgetree is om die “debiteureboek” skoon te maak. Groter afskrywings is gedoen om die stand van debiteure te verbeter.

2.6.4 Bad debts as a percentage of average debtors

This ratio indicates the extent of losses suffered due to an inability to collect debt.

Bad debts

Bad debts represents the amount accounted for in the income statement as irrecoverable.

Average debtors

This is the gross monthly average debtors as indicated under 2.6.1 above.

It would appear that a concerted effort was made to clear the debtors book. Bigger write-offs were made to improve the state of the debtors.


MethodologyMetodologie

As die grootste professioneledienste-organisasie ter wêreld en in Suider-Afrika, het PricewaterhouseCoopers (PwC) se spesialiskennis oor en verbintenis met die landbou oor baie jare tot stand gekom. Ons is nou betrokke by en lewer dienste aan die oorgrote meerderheid landboubesighede in die bedryf. Om dié rede is ons uiters gunstig geposisioneer om ’n formele prestasiemetingsprofiel van hierdie aard in die Suid-Afrikaanse landboubedryf te kan uitgee.

Ons bedryf sake uit 24 kantore in Suider-Afrika en beskik oor die vermoë om ons kliënte in hulle eie gemeenskappe te bedien. Dit het ons in staat gestel om ’n verteenwoordigende metingsprofiel met betroubare industrienorme saam te stel waarteen die Industrie en sy rolspelers hom kan meet. Weens die groeiende behoefte na dié tipe inligting, het PricewaterhouseCoopers aan die begin van 2005 onderneem om ons bestaande prestasiemetingsprojekte in die landboubedryf landwyd te formaliseer en te konsolideer.

Net soos in die verlede, is die projek met groot entoesiasme aanvaar. Voorbereiding en dataversameling het reeds in November 2007 begin. Ten einde ’n betroubare en sinvolle prestasiemeting saam te stel, is die bedryf se vernaamste rolspelers weer genader vir insette waarvolgens bykomende sleutelprestasie-aanwysers geïdentifiseer is.

As the largest professional services organisation globally and in Southern Africa, PricewaterhouseCoopers (PwC) has accumulated specialised knowledge of and commitment to agriculture over many years. We are closely involved in and provide services to the large majority of agribusinesses in the industry. For this reason we are exceptionally well placed to publish a formal performance measurement profile of this nature in the South African agricultural industry.

We operate from 24 offices in Southern Africa and are able to serve our clients in their own communities. This has made it possible for us to compile a representative measurement profile with reliable industry norms against which the industry and its roleplayers can measure themselves. Due to the growing need for this type of information, PricewaterhouseCoopers undertook the national formalisation and consolidation of our existing performance measurement projects in the agricultural industry at the beginning of 2005.

As in the past, the project was welcomed with great enthusiasm. Preparation and data collection commenced in November 2007. In order to compile a reliable and meaningful performance measurement, the leading roleplayers in the industry were approached once again for their inputs, according to which additional key performance indicators were identified.


Methodology Metodologie

’n Elektroniese databasis met ingeboude sekuriteitsbeheer is spesifiek vir hierdie projek ontwikkel en ingespan om die data te verwerk.

Die dokument is ’n samestelling van ons bevindinge en interpretasie van die inligting wat ons van deelnemers aan hierdie projek ontvang het. Die groeiende getal deelnemers en die groot mate waartoe die onderskeie rolspelers in die bedryf deelgeneem en ook hul steun en goedkeuring aan die projek verleen het, het ons oortuig dat die resultate as verteenwoordigend en relevant beskou kan word. As betroubare sakevennoot in die landboubedryf meen ons dat landboubesighede dié prestasiemetingsprofiel met groot sukses as hulpmiddel kan inspan om ingeligte besluite te neem oor, onder meer, doeltreffende besigheidstrukturering, verbeterde kostebestuur en die verhoging van winsgewendheid.

Vir nadere inligting oor die prestasiemetingsprofiel of die spesialisdienste wat ons in die landboubedryf bied, kontak:

Nasionaal 023 347 0941Kobie BekkerBarbara du ToitBoland 023 312 1140Frans van WykBloemfontein 051 503 4100Derek FosterMenlyn 012 429 0229Kobus MinieNelspruit 013 752 3502Andries OosthuizenPort Elizabeth 041 391 4400Louis RossouwPietermaritzburg 033 347 0537Des FourieWelkom 057 352 2997Deon Pretorius

An electronic database with built-in security control was developed specifically for this project and used to process the data.

This document is a compilation of our findings and interpretation of the information received from participants in this project. The increasing amount of participants and the large extent to which the various roleplayers in the industry participated in and lent their support and approval to the project convinced us that the results can be regarded as representative and relevant. As reliable business partner in the agricultural industry we believe that agribusinesses can use this performance measurement profile with great success as an aid to take informed decisions about, inter alia, efficient business structuring, improved cost management and increased profitability.

For more information regarding the performance measurement profile or the specialised services we offer to the agricultural industry, please call:


About PricewaterhouseCoopers

Oor PricewaterhouseCoopers

PricewaterhouseCoopers (www.pwc.com) verskaf bedryf-gefokusde oudit-, belasting- en besigheidsadviesdienste aan publieke en privaat kliënte. Meer as 130 000 mense in 148 lande span hul idees, ondervinding en oplossings saam om openbare vertroue te bou en waarde te skep vir kliënte en hul belanghebbendes. Ons uitgebreide handel en belegging in ander dele van Afrika word weerspieël in die toenemende hoeveelheid van ons kliënte met belange in Afrika. Dienooreenkomstig hierdie uitbreiding, verskuif ons ons teenwoordigheid in Afrika vanaf drie substreke na een gekoördineerde Afrika-streek. Dit sal ons in staat stel om ons firma regoor Afrika uit te brei tot voordeel van ons kliënte en personeel.

In Suidelike Afrika gebruik ons toepaslike plaaslike kennis en ondervinding, sowel as ons ongeëwenaarde hulpbronne om aan ons kliënte se behoeftes te voldoen. Ons het ’n wesenlike teenwoordigheid in elke hoofmark, beide gevestig en ontwikkelend. Hierdie struktuur koppel plaaslike firmas met ’n diepgaande kennis van plaaslike besighede, rekeningkundige en beheervereistes, met ’n wêreldwye netwerk wat die voordele van kennis op ’n internasionale skaal kan benut. In die lewering van hierdie dienste is ons altyd bewus van die belangrikheid van ons sosiale verantwoordelikheid teenoor die gemeenskappe waarin ons bedrywig is en ons is verbind tot die suksesvolle implementering daarvan, beide in die firma sowel as in ons handeling met kliënte.

PricewaterhouseCoopers (www.pwc.com) provides industry-focused audit, tax and business advisory services to both public and private clients. More than 130 000 people in 148 countries combine their ideas, experience and solutions to build public trust and create value for clients and their stakeholders. Our extensive trade and investment in other parts of Africa are reflected in our increasing number of clients with interests in Africa. In line with this expansion, we are transforming our presence in Africa from three sub-regions to one co-ordinated African region. This will enable us to expand our firm across Africa for the benefit of both clients and personnel.

In Southern Africa we use applicable local knowledge and experience, as well as our unequalled resources, to fulfil our clients’ needs. We have a material presence in every major market, both established and developing. This structure links local firms with a profound knowledge of local businesses, accounting and governance requirements with a global network that can utilise the benefits of knowledge on an international scale. In providing these services, we are always aware of the importance of our social responsibility to the communities in which we operate and we are committed to the successful implementation thereof, both in the firm and in our dealings with clients.




Ons dienste in ’n neutedop

Oudit

Ons Ouditdivisie lewer ouditdienste aan kliënte met betrekking tot hul finansiële prestasie en bedrywighede, en help hulle om hul eksterne finansiële verslagdoening te verbeter, sowel as om wetgewende vereistes soos die Kingverslag oor korporatiewe bestuur en internasionale standaarde vir finansiële verslagdoening (IFRS) in plek te stel. Onder ons ouditkliënte tel talle van die JSE Effektebeurs SA se top-presteerders, en ook duisende klein- en mediumgrootte-besighede. Benewens oudit, bied ons ook rekeningkundige en wetgewende advies, sowel as ander verwante dienste.

Belasting

Ons Belastingdivisie maak van die mees gevorderde tegnologie en gespesialiseerde kundigheid gebruik om ons kliënte te help om aan belastingverwante wetgewing en regulasies te voldoen. Ons advies dek alle aspekte van direkte en indirekte belasting, uitvoerregulasies en werknemerverwante sake in Suider-Afrika. Ons uitgebreide kantoornetwerk stel ons in staat om advies oor die strukturering van internasionale bedrywighede en beleggings te kan gee. Ons ervare span adviseurs kan die belastinglas help beheer en verminder deur vindingryke en praktiese belasting- en sake-oplossings voor te stel wat korporatiewe, internasionale en indirekte belasting en Menslike Hulpbrondienste betref.

Besigheidsadviesdienste

Ons Besigheidsadviesdienste-divisie bied advies en bystand oor finansiële, analitiese en besigheidsprosesvaardighede aan maatskappye, regerings instansies en tussengangers wat die implementering van strategieë betref ten opsigte van:

Die skep/verkryging/finansiering van besighede;

Die integrering daarvan met die huidige bedryf;

Verhoogde prestasie;

Verbeterde bestuur en beheer;

Krisishantering; en

Herstrukturering en waarde-ontsluiting.

Opgeleide kundiges wat op hul onderskeie terreine spesialiseer, bied adviesdienste wat kliënte op ’n objektiewe manier help om belanghebberwaarde

•

•

•

•

•

•

•

Our services in a nutshell

Audit

Our Audit Division provides audit services to clients relating to their financial performance and operations, and helps them improve their external financial reporting, as well as putting in place legislative requirements such as the King Report on corporate governance and international standards for financial reporting (IFRS). Among our audit clients are several of the JSE and Bond Exchange SA’s top performers, as well as thousands of small and medium-sized businesses. In addition to audit we also provide accounting and legal advice, as well as other related services.

Tax

Our tax division uses the most advanced technology and specialised knowledge to help our clients comply with tax-related legislation and regulations. Our advice covers all aspects of direct and indirect tax, export regulations and employee-related affairs in Southern Africa. Our extensive office network enables us to advise on the structuring of international operations and investments. Our experienced team of advisors can help control and reduce the tax burden by suggesting innovative and practical tax and business solutions regarding corporate, international and indirect tax and human resources services.

Business advisory services

Our Business Advisory Services division offers advice and support regarding financial, analytical and business process skills to companies, governmental institutions and intermediaries about the implementation of strategies concerning:

The creation/acquisition/financing of businesses;

The integration thereof with the current industry;

Increased performance;

Improved management and control;

Crisis management; and

Restructuring and value development.

Trained specialists in their respective areas offer advisory services that help clients in an objective

•

•

•

•

•

•

•




te skep, vertroue te bou en met die mark te kommunikeer.

Besonderhede oor hierdie en ander dienste wat deur die firma gelewer word, is beskikbaar in die inligtingsbrosjure ‘Our Expertise’.

Die strewe na sukses

Suksesvolle eienaarbestuurde besighede is van deurslaggewende belang vir ’n sterk ekonomie én landwye werkskepping. Die sake-omgewing in die ontluikende en groeiende sakesektore bied talryke uitdagende geleenthede. Om toekomstige sukses te verseker, verg dikwels komplekse besluite – soos dat u u sake-adviseurs sorgvuldig moet kies. U gekose adviseur sal u sterk punte help ontwikkel en steun verleen op daardie terreine waar u nog min ervaring het of net eenvoudig nie die tyd om betrokke te raak kan bekostig nie. Dit is hier waar ons kan saamwerk om u sukses te verseker.

Hoe kan ons help?

Wanneer u onderneming uitbrei en groei, kom dit voor interne veranderings te staan. Aanvanklike groei ontstaan tipies in ’n kreatiewe fase, maar gewoonlik kom daar ’n tyd waar groter behoefte aan ’n stewiger koers ontstaan. Die onderneming verg dan meer formele strukturering, bestuursinligting en kommunikasie met werknemers. Hierna volg ’n fase waarin u weer toenemend moet delegeer en die uitdagings begin gewoonlik dan.

Ons weet voor watter probleme, dikwels baie voorspelbaar, u in die onderskeie fases van besighedegroei te staan kom. En ons kan u help. Ons koester u sukses en sal ons beduidende sake-ondervinding inspan om te help om op ’n praktiese, skeppende wyse groei en winsgewendheid te behaal.

Die fokus is op u behoeftes

Ons filosofie is om ’n persoonlike, voortgesette verhouding met u te ontwikkel en ’n diepgaande kennis van u onderneming en sy vereistes te verkry. Ons het sake-diensgroepe, spanne veelsydige kundiges wat die uitdagings van groeiende en ontluikende besighede begryp, wat op ’n deurlopende grondslag finansiële en rekeningkundige dienste kan verskaf totdat u onderneming sodanig gegroei het dat u kan bekostig om voltydse finansiële bestuurders aan te stel.

way to create stakeholder value, build trust and communicate with the market.

Particulars regarding these and other services provided by the firm are available in the information brochure ‘Our Expertise’.

Aiming for success

Successful owner-managed businesses are of vital importance for a strong economy as well as the national creation of employment opportunities. The business environment in the budding and growing business sectors offers numerous challenging opportunities. Ensuring future success often requires complex decisions – such as choosing your business advisors carefully. your chosen advisor will help develop your strong points and give support in those areas where you still have little experience or simply cannot afford the time to become involved. It is here that we can cooperate to ensure your success.

How can we help?

When your undertaking expands and grows, it is faced with internal changes. Initial growth typically originates in a creative phase, but usually a time comes when a greater need for a firmer growth rate arises. The undertaking then requires more formal structuring, management information and communication with employees. This is followed by a phase when you need to delegate increasingly, and usually this is where the challenges begin.

We know which problems, often very predictable, you are faced with in the various phases of business growth. And we can help you. We cherish your success and will exert our significant business experience to help you achieve growth and profitability in a practical, creative way.

The focus is on your needs

Our philosophy is to develop a personal, continued relationship with you and to obtain a profound knowledge of your undertaking and its requirements. We have business service groups, teams of versatile experts who are familiar with the challenges of growing and budding businesses, who can render financial and accounting services on a continuous basis until your undertaking has grown sufficiently to enable you to afford full-time financial managers.




Ons grootte stel ons nie net in staat om ’n wye spektrum van dienste te bied nie, maar maak dat ons bekostigbare advies van gehalte kan bied tot die unieke uitdagings waarvoor u te staan kom, sodat u onderneming kan groei.

Ons verbintenis met die landboubedryf is oor baie jare opgebou

PricewaterhouseCoopers se verbintenis en betrokkenheid in die landboubedryf strek oor baie jare. Ons grondige kennis van die industrie, ons kundigheid in die verskaffing van Swart Ekonomiese Bemagtigingsdienste (SEB-dienste) en ons ongeëwenaarde teenwoordigheid in Suid-Afrika, beteken ons is uitstekend geplaas om alle belanghebbendes in die landbousektor by te staan.

As die grootste verskaffer van ’n wye reeks finansiële en verwante dienste, het ons ’n toegewyde Landboubesigheid-Bedryfsgroep wat fokus op die verskaffing van gespesialiseerde dienste aan die landbousektor. Binne die industriegroep word ’n kundigheidsdatabasis oor die verskillende vertakkinge van landbou bygehou. Sodoende word verseker dat ongeag welke kantoor of verteenwoordiger van die firma u ook al bedien, hulle toegang het tot die nodige bedryfskundigheid en/of bedryfspesialiste.

Die dienste wat deur ons Landboubesigheid-Bedryfsgroep gebied word, sluit in:

Rekenmeestersdienste (rekeningkundige dienste, interne oudit en oudit);

Bestuursbeheer (stelsel- en interne kontroles);

Entrepreneursadvies (finansiële-, belasting-, sekretariële en sakeadvies);

Belasting (korporatief, individueel, internasionaal, doeane en BTW);

Rekenaardienste (opleiding, konsultasie, ondersteuning en installering van rekeningkundige sagteware);

Transaksie-ondersteuning (strukturering, kontrakte, lewensvatbaarheid en omsigtigheidsondersoeke);

Forensiese ondersoeke en regsondersteuning;

•

•

•

•

•

•

•

Our size enables us to offer not only a wide spectrum of services, but also affordable, quality advice on the unique challenges which you are faced with, in order that your undertaking may grow from strength to strength.

Our alliance with the agricultural industry was built over many years

PricewaterhouseCoopers’s alliance and involvement with the agricultural industry extends over many years. Our thorough knowledge of the industry, our expertise in rendering Black Economic Empowerment services (BEE services) and our unequalled presence in South Africa mean that we are excellently positioned to assist all stakeholders in the agricultural sector.

As the largest supplier of a wide range of financial and related services, we have a committed Agricultural Business Industry Group that focuses on rendering specialised services to the agricultural sector. Within the industry group an expertise database is maintained on the various branches of agriculture. In so doing it is ensured that, regardless of which office or representative of the firm is serving you, they have access to the necessary industry knowledge and/or industry specialists.

The services rendered by our Agricultural Business Industry Group include:

Accounting services (accounting, internal audit and audit);

Management control (system and internal controls);

Entrepreneurial advice (financial, tax, secretarial and business advice);

Tax (corporate, individual, international, customs and VAT);

Computer services (training, consultation, support and installation of accounting software);

Transaction support (structuring, contracts, viability and due diligence investigations);

Forensic investigations and legal support;

•

•

•

•

•

•

•




Boedel en finansiële dienste (aftree-, boedel- en beleggingsadvies, personeelvergoedingspakette, boedel- en trustadministrasie);

Menslike hulpbronne (beleid, ooreenkomste, arbeidshof, arbitrasie, opleiding en konsultasie);

Sekretariële dienste (rekords, opgawes en registers) en

Swart Ekonomiese Bemagtiging (analise, implementering, nakoming).

•

•

•

•

Estate and financial services (retirement, estate and investment advice, personnel remuneration packages, estate and trust administration);

Human resources (policy, agreements, labour court, arbitration, training and consultation);

Secretarial services (records, returns and registers); and

Black Economic Empowerment (analysis, implementation, compliance).

•

•

•

•


NotesNotas

PwC

www.pwc.com/za

Landboubesighede Prestasiemetingsopname 2007 ... · 2007 2006 3.91 keer Debiteure as persentasie...

Documents

Transcript of Landboubesighede Prestasiemetingsopname 2007 ... · 2007 2006 3.91 keer Debiteure as persentasie...