📊 Insights on Santova, Bytes +16% and Tax Tips

Hi there, 👋🏽

Did you know this will be the fifth Rugby World Cup final in a row that has been won by either the Springboks or the All Blacks? I have some more stats for you at the end but enjoy the finances first.

Stock Spotlight 🔦

Santova Limited

• Revenue and net interest income +3.3% to R330.3 million.

• Profit for the period -25.8% to R79.5 million.

• Basic earnings per share -23.7% to 59.6 cents per share.

• Net asset value per share +31.4% to 830.8 cents per share.

Gemfields Group Limited

• Gemfields has completed its $10 million share buyback programme.

• In total, 58 423 901 Ordinary Shares have been purchased. This represents 4.83% of the issued Ordinary Shares.

• We covered Gemfields in a previous Stock Spotlight. If you’re curious about this gem, click here.

Tiger Brands Limited

• Mr Noel Doyle will step down as CEO after the Board concludes that new leadership is required to respond to the challenges currently facing the Company.

• EPS from total operations for the year ending 30 September 2023 is expected to decline by between 2% and 9%.

Coronation Fund Managers Limited

• Fund management earnings per share for the year ended 30 September 2023 is expected to decrease by between 55% to 65%.

Bytes Technology Group PLC

• Revenue +16.3%.

• Operating profit +12.1%.

• EPS and HEPS grew +17%.

The Knowledge Nugget 🧠

What is Capital Gains Tax (CGT)?

Capital Gains Tax is a tax on the profit you make when selling an investment, like stocks or property. You pay CGT when you sell an investment, but here's the good news: you might not have to if your gains are below the annual exclusion.

What is the Annual Exclusion?

Individuals in South Africa had an annual exclusion of R40,000. It means if your gains are less than this amount for the tax year, you won't owe CGT.

If your gains exceed the annual exclusion, the calculation is as follows: Capital Gain x 40% x PAYE tax rate. So let’s say your tax rate on your salary is 25%, you will pay (Capital Gain - R40,000 exclusion) x 40% x 25%.

Here is an example:

Buy shares for R100,000 and sell it for R150,000 a few years later. Here is how much CGT you will owe SARS:

1. You made a capital gain of R150,000 - R100,000 = R50,000

2. Deduct the R40,000 exclusion, leaving R10,000 to be taxed.

3. Next, apply the formula: R10,000 × 0.4% x 25% = R1,000

The Final Bok Friday, for now 🇿🇦 

• The All Blacks have won 3 out of their 4 finals, the only defeat coming from the Springboks in 1995.

• South Africa have never conceded a try in a World Cup final.

• Will Jordan has scored 8 tries at this year’s World Cup. That ties him with Jonah Lomu (1999), Julian Savea (2015), and Bryan Habana (2007).

• Sam Whitelock could possibly be the first player to lift 3 World Cup trophies.

• South Africa has a 100% success rate in World Cup finals.

It’s going to be a clash the rugby world has been waiting for. Let’s take Saturday and enjoy it with your loved ones before we turn on the TV at 21:00.

PS: If you want to read some more stats, I found these on The Daily Dispatch.

That’s all for this Weekly Recap

Onwards and upwards

Brought to you by Paul Roux and Jonté Smit

Let us know if we missed something or if there are topics that you would like us to cover in upcoming editions.