DigiCore Holdings  
 
 
    

 
 DigiCore Directors Report - 2011  

Review of activities

Main business and operations

The company is the ultimate holding company of an international group of companies which is incorporated in South Africa and listed on the main board of the JSE Limited. The group specialises in the research, design, development, manufacture, sales and support of technologically advanced GPS/GSM fleet management and vehicle tracking solutions.

The operating results and state of affairs of the company are fully set out in the attached group and company annual financial statements and do not in our opinion require any further comment.

Going concern

The group and company annual financial statements have been prepared on the basis of accounting policies applicable to a going concern. This basis presumes that funds will be available to finance future operations and that the realisation of assets and settlement of liabilities, contingent obligations and commitments will occur in the ordinary course of business.

Events after the reporting period

For details of post year-end events, refer to note 40 to the group and company annual financial statements.

Directors’ personal financial interest in contracts

All directors’ interest in contracts were adequately disclosed to the members of the company and noted in the register of directors’ interest in contracts as required by the Companies Act, 2008.

Accounting policies

The group has adopted all of the new and revised standards issued by the International Accounting standards board and International Financial Reporting Standards that are relevant to its operations and effective for the current financial reporting period.

Share capital

Authorised Share Capital

The company’s authorised share capital of 1 000 000 000 par value shares remains unchanged during the year.

Issued Shares

During the year 30 000 000 shares were issued in terms of a fully underwritten rights issue.

Unissued Shares

The remaining unissued ordinary shares are under the control of the directors in terms of a resolution of members passed at the last annual general meeting. This authority remains in force until the next annual general meeting. Further details with respect to authorised and issued share capital are disclosed in note 15 to the group and company annual financial statements. There were no changes in the authorised or issued share capital of the group during the year under review.

Share incentive scheme

Refer to note 16 for detail about share-based payments during the current year.

Dividends

The dividends already declared and paid to shareholders during the year are as reflected in the attached statements of changes in equity.

Since the year end, an ordinary dividend of 3 cents per share was declared on 20 September 2011. The tax consequence of this proposed dividend is R743 000.

Liquidity and Solvency

The directors have performed the liquidity and solvency test as required by the Companies Act, 2008 for the period ended 30 June 2011

Special resolutions

During the year there were no material resolutions from subsidiary companies.

Auditors

PKF (Pta) Inc. will continue in office in accordance with theCompanies Act, 2008.

Secretary

The secretary of the company is DA Nieuwoudt of:

Business address

DigiCore Building A
9 Regency Drive
Route 21 Corporate Park
Irene, Centurion
0156

Postal address
PO Box 68270
Highveld Park
Centurion
South Africa
0169