Now 21 years old, the JSE-listed DigiCore Holdings has truly come of age. Not only has the group grown in age and size, it has accumulated and continually refined its technology and the art of servicing customers in the 21 years of its existence, as reflected in financial results for the year to June 2007. It is, therefore, my pleasure to report to all our shareholders, stakeholders and customers that DigiCore Holdings is in good health.
Although we have extended our operations to 32 countries to date, we remain a truly South African company in transformation. Our vision, We provide telematic solutions for asset and business management, remains true for us today and in the future. To maintain this position, the group will continue to provide customer service, relationship building and continuous technological improvements.
The board has continued to maintain its independence while staying abreast of the company’s strategic and operational activities. The balanced cross-section of professional backgrounds, knowledge, expertise and experience among current board members adds real value to the quality of decisions and strategic guidance provided to executive management.
There is improved racial and gender participation in the main and subsidiary boards, and the board plans to continually enhance representation without compromising on quality.
The relationship between the board and the executive remains healthy and transparent. A strategic review was held in July 2007 to ensure that the organisation is fully aligned to technological, business and environmental changes in the marketplace. The proposed strategies flowing out of this session are being vigorously implemented by management, while the board remains vigilant on issues of policy, corporate governance, risk management and transformation.
Currently, the board has three fully functional subcommittees, namely:
The steady growth in international and local business is maintained and driven by the clear direction provided by the board and the dedication and astuteness of the management team under the leadership of our chief executive officer, Nick Vlok.
In July 2006, the group sold a 30% stake in DigiCore Fleet Management to an empowerment consortium comprising Amabubesi and Western Breeze Trading, with subsequent board representation. While this transaction improved the BEE status of DigiCore Holdings, the value added by these directors to the group’s main and subsidiary boards has been phenomenal. Further improvements are planned for the group’s BEE status, employment equity, gender participation and corporate social investment, driven by the BEE/transformation committee’s guidance and direction to the board on all related issues.
Every division and distributor has grown during the review period and all were profitable. Our product offerings were advanced and several software developments have again pre-empted our competitors, allowing the group to retain its market leading position.
The tenders awarded to DigiCore by blue-chip organisations in South Africa and in Europe, the Middle East and Asia, bear testimony to our superior products and services. These orders have raised our global image, presented new opportunities and ensured a stable supply of units for the coming year.
As environmental, socio-political, technological and business conditions change, DigiCore Holdings will face challenges which require adjustment and alignment. Fortunately, the group has a board and executives that embrace change. The board diligently continues to apply itself to these challenges including:
The board appreciates the unequivocal support of all our international and local customers who have partnered with us in developing DigiCore to where it is today. We commit ourselves to continued excellent customer service.
We extend our deep appreciation to our chief executive, his committed management team and all our staff for the excellent results they have achieved in the past year.
Our shareholders have continued to believe in us and we trust our consistent performance will entrench their confidence.
To all our stakeholders, business partners, suppliers and service providers – it continues to be an honour to work with you.
Lastly, I thank my board colleagues for the support, dedication and good counsel that enable me to fulfil my role as chairman.