MOAB MINERALS LIMITED — Annual Report 2012

Aug 26, 2012

Appendix 4E Preliminary final Report

Appendix 4E

Preliminary final report

Name of entity

Delecta Limited

ABN or equivalent company reference Financial year ended (‘current period’) 92 009 147 924 30 June 2012 Results for announcement to the market $A'000	ABN or equivalent company reference Financial year ended (‘current period’) 92 009 147 924 30 June 2012 Results for announcement to the market $A'000	ABN or equivalent company reference Financial year ended (‘current period’) 92 009 147 924 30 June 2012 Results for announcement to the market $A'000	ABN or equivalent company reference Financial year ended (‘current period’) 92 009 147 924 30 June 2012 Results for announcement to the market $A'000
Revenues from continuing operations Up 6.6% to 22,744 Profit from continuing operations after tax attributable to members Up - to 664 Net profit after tax for the period attributable to members Up - to 664
Dividends (distributions)		Amount per security	Franked amount per security
Final dividend Interim dividend		None	- ¢
Previous corresponding period		None	-¢
+Record date for determining entitlements to the dividend, (in the case of a trust,distribution)	N/A
	N/A

The above results should be read in conjunction with the notes and commentary contained in this report.

Page 1

Appendix 4E Preliminary final Report

Management Discussion and Analysis

Overview

The consolidated entity recorded a net profit of $664,000 from continuing operations (2011: loss $767,000) and total operations (2011: loss $699,000).

The total profit per share for the year was 0.11 cents (2011: loss 0.11 cents).

Summarised operating results are as follows:

Year ended 30 June 2012

Year ended 30	June 2012
Operating Segment	Sales and services revenues from external customers $’000 Other income $’000 Earnings before interest, tax, depreciation, amortisation and impairment $’000 Depreciation, amortisation and impairment $’000 Net Interest received $’000 Profit / (loss) before income tax $’000
Retail Wholesale Phone Services & Online Unallocated Discontinued operations Total	718 - 282 (50) - 232 21,724 673 1,274 (238) - 1,036 42 - (19) - - (19) - 60 (839) - 254 (585)
	22,484 773 698 (288) 254 664 - - - - - -
	22,484 773 698 (288) 254 664

Year ended 30 June 2011

Year ended 30	June 2011
Operating Segment	Sales and services revenues from external customers $’000 Other income $’000 Earnings before interest, tax, depreciation, amortisation and impairment $’000 Depreciation, amortisation and impairment $’000 Net Interest received $’000 Profit / (loss) before income tax $’000
Retail Wholesale Phone Services & Online Unallocated Discontinued operations Total	899 - 392 (52) - 340 20,149 673 811 (324) - 487 296 - 157 - - 157 - - (1,840) (12) 101 (1,751)
	21,344 673 (480) (388) 101 (767) 3,665 14 148 (80) - 68
	25,009 687 (332) (468) 101 (699)

Page 2

Appendix 4E Preliminary final Report

Wholesale

Whilst the sale of media products continued to decline during the year, growth in non-media sales resulted in a net increase in the wholesale segment’s total revenues of 8% over the prior year.

This increase in revenues, combined with a tight control over expenses, resulted in a net increase in the segment’s profit for year from $487,000 to $1,036,000.

Retail

As a result of the continuing decline in the mail order business, the Group’s retail revenues continued to decrease with revenue down from $899,000 to $718,000 and profit down from $340,000 to $232,000 for the year.

Unallocated expenditure

The decrease in unallocated non segment expenditure has resulted from a decrease in the unallocated Group costs following the disposal of the Adultshop.com Retail and Online divisions with effect from 1 November 2011.

Contingencies

There were no known contingent assets or liabilities within the group at year end.

Subsequent Events

No matter or circumstance has arisen since the end of the financial year to the date of this report which has significantly affected, or may significantly affect, the operations of the consolidated entity, the results of those operations or the state of affairs of the consolidated entity in future financial years.

Page 3

Appendix 4E Preliminary final Report

Statement of Comprehensive Income For the Year ended 30 June 2012

	Notes	Consolidated	Consolidated
		For the year ended 30 June 2012 $'000	For the year ended 30 June 2011 $'000
Continuing Operations Revenue Cost of sales	1	22,744 (14,465)	21,337 (13,670)
Gross Profit Other income Otherexpenses	1 1	8,279 806 (8,415)	7,667 791 (9,215)
Profit /(loss) from continuing operations before tax and finance costs Finance costs Share ofprofit of associate	3	670 (6) -	(757) (10) -
Profit / (loss) before income tax from continuing operations before income tax Income taxexpense		664 -	(767) -
Profit / (loss) from continuing operations after income tax Profitfromdiscontinued operations aftertax		664 -	(767) 68
Net profit / (loss) for the period Other comprehensive income Foreigncurrency translation		664 7	(699) 54
Other comprehensive income		7	54
Total comprehensive income for the period		671	(645)
Earnings / (loss) per share
Basic earnings /(loss) per share Diluted earnings / (loss) earnings per share		0.11 cents 0.11 cents	(0.11) cents (0.11) cents

Page 4

Appendix 4E Preliminary final Report

Statement of Financial Position As at 30 June 2012

Consolidated	Notes	As at 30 June 2012 $'000	As at 30 June 2011 $'000
Current assets Cash and cash equivalents Trade and other receivables Inventories Prepayments and deposits		4,744 3,309 4,839 992	6,097 3,154 4,468 1,179
Total current assets		13,884	14,898
Non-current assets Plant and equipment Intangible assets and goodwill Investment in associate	3	900 441 2,000	722 441 -
Total non-current assets		3,341	1,163
Total assets		17,225	16,061
Current liabilities Trade and other payables Interest-bearing loans and borrowings Provisions		1,774 28 250	1,242 25 268
Total current liabilities		2,052	1,535
Non-current liabilities Interest-bearing loans and borrowings Provisions		14 241	41 285
Total non-current liabilities		255	326
Total liabilities		2,307	1,861
Net assets		14,918	14,200
Equity Contributed equity Reserves Accumulated losses	4	69,493 351 (54,926)	69,446 344 (55,590)
Total equity		14,918	14,200

Page 5

Appendix 4E Preliminary final Report

Cash Flow Statement For the Year ended 30 June 2012

Cash Flow Statement For the Year ended 30 June 2012
Consolidated	Notes	For the year ended 30 June 2012 $'000	For the year ended 30 June 2011 $'000
Cash flows from operating activities Receipts from customers Payments to suppliers and employees Net proceeds from legal settlements Interest received Interest paid Income taxespaid		26,093 (25,214) - 242 (7) -	28,282 (27,703) - 136 (10) -
Net cash flows from operating activities		1,114	705
Cash flows from investing activities Payment for purchases of property, plant and equipment Proceeds from disposal of fixed assets Investment in associate Cash available from release of security deposits Security deposit Proceeds from disposal of operations	3	(484) 5 (2,000) - (55) -	(110) - - 334 - 1,000
Net cash flows from investing activities		(2,534)	1,224
Cash flows from financing activities Proceeds from exercise of options Payment of hirepurchase liabilities		47 (24)	105 (37)
Net cash flows from financing activities		23	68
Net increase in cash held Cash and cash equivalents at beginning of period Net foreign exchange difference		(1,397) 6,097 44	1,997 4,112 (12)
Cash and cash equivalents at end of period		4,744	6,097

Page 6

Appendix 4E Preliminary final Report

Statement of Changes in Equity Year ended 30 June 2012

Year ended 30 June 2012
		Consolidated
	Issued Capital $’000	Accumulated losses $’000	Other reserves $’000	Total equity $’000
At 1 July 2010	69,341	(54,891)	290	14,740
Other comprehensive income Lossforthe year	- -	- (699)	54 -	54 (699)
Total comprehensive income for the year	-	(699)	54	(645)
Issue of share capital	105	-	-	105
At 30 June 2011	69,446	(55,590)	344	14,200
Other comprehensive income Profitforthe year	- -	- 664	7 -	7 664
Total comprehensive income for the year	-	664	7	671
Issue of share capital	47	-	-	47
At 30 June 2012	69,493	(54,926)	351	14,918

Page 7

Appendix 4E Preliminary final Report

Reconciliation of cash

Reconciliation of cash at the end of the period (as shown in the consolidated statement of cash flows) to the related items in the accounts is as follows:	As at 30 June 2012 $'000	As at 30 June 2011 $'000
Cash on hand and at bank Deposits at call	922 3,822	2,074 4,023
Total cash at end ofperiod	4,744	6,097

Non-cash financing and investing activities

There were no non-cash financing and investing activities undertaken by the consolidated entity in the current or prior financial year.

NTA backing

NTA backing
Net tangible asset backing per ordinary security	As at 30 June 2012	As at 30 June 2011
	2.29 cents	2.19 cents

Page 8

Appendix 4E Preliminary final Report

Notes to the Preliminary Final Report

1 REVENUE AND EXPENSES

Consolidated Revenue Continuing Operations Sales and services revenue Finance revenue	For the year ended 30 June 2012 $'000	For the year ended 30 June 2011 $'000
	22,484 260	21,226 111
	22,744	21,337
Other Income Continuing Operations Foreign exchange gain Other Income	73 733	- 791
	806	791
Expenses Continuing operations Administration expenses Distribution expenses Marketing expenses Occupancy expenses Other	5,431 270 764 1,021 929	5,950 117 750 1,045 1,353
	8,415	9,215
Continuing Operations Depreciation and amortisation of fixed assets Loss on disposal of fixed assets Foreign exchange loss	288 16 -	388 4 185

2 DIVIDENDS PAID AND PROPOSED

No dividends have been paid or proposed during the year.

Page 9

Appendix 4E Preliminary final Report

3 INVESTMENT IN ASSOCIATE

a) Investment Details

Listed PaynesFind GoldLimited	As at 30 June 2012 $'000	As at 30 June 2011 $'000
	2,000	-
	2,000	-

The group acquired a 24.91% interest in Paynes Find Gold Limited on 27 June 2012.

b) Movements in the carrying value of the Group’s investment in associate

Paynes Find Gold Limited At cost - 27 June 2011 Share ofprofits after income tax	As at 30 June 2012 $'000	As at 30 June 2011 $'000
	2,000 -	-
At 30 June2011	2,000	-

No share of associate’s profits or losses has been recorded, and no information is provided on the associate’s comprehensive income, as the effective date of acquisition was 3 days prior to year end.

c) Fair value of investment in listed associate

The fair value of the Group’s Investment in Paynes Find Gold Limited is $2,000,000 (2011: nil).

4 ISSUED CAPITAL

Issued and fully paid Ordinary shares		As at 30 June 2012 $'000	As at 30 June 2011 $'000
		69,493	69,446
		69,493	69,446
Movements in ordinary shares on issue At 1 July 2011 Issued during the year –conversionofoptions		Number of shares	$’000
		627,596,600 5,899,605	69,446 47
		633,496,205	69,493

Page 10

Appendix 4E Preliminary final Report

5 OPERATING SEGMENTS

Identification of Reportable Segments

The Group has identified its operating segments based on its internal reports and used by the executive team (the chief operating decision makers) in assessing performance and in determining the allocation of resources.

The operating segments are identified by management based on the manner in which the product is sold, whether retail or wholesale, and the nature of the services provided. Discrete financial information about each of these operating businesses is reported to the executive management team on a monthly basis.

The reportable segments are based on aggregated operating segments determined by the similarity of the manner in which the products or services are sold or provided as these are the sources of the Group’s major risks and have the most effect on the rates of return.

Types of Products and Services

Retail

The retail segment is made up of divisions that sell adult products directly to retail customers and includes the Group’s mail order division and the Group’s discount warehouse outlet in Canberra.

Wholesale

The wholesale segment divisions are those divisions that sell adult products directly to wholesale customers in Australia and New Zealand.

Accounting Policies and Inter-segment Transactions

The accounting policies used by the Group in reporting segments are the same as those contained in note 2 to the financial statements and in prior periods.

Inter-entity sales

Wholesale sales within the group are at cost.

Corporate Charges

Non-segmental expenses, such as head office expenses and expenses that are not directly attributable to a segment and not considered part of the core operations of any segment, are not allocated to operating segments by way of corporate charges and include:

• Head office rental and other office expenses (telephone, internet, postage etc)

• • Head office employee expenses and directors fees

• Company secretarial and listing expenses

• Group legal fees

The following table presents the revenue and profit information relating to business segments for the half-year periods ended 30 June 2012 and 30 June 2011:

Page 11

Appendix 4E Preliminary final Report

30 June 2012 Segment Revenue Sales to external customers Inter-segment sales Other income from external customers Finance income Inter-segment elimination Total Revenue and Other Income per the Statement of Comprehensive Income Segment Result Segment Results Unallocated items - Corporate charges - Net Interest income Net profit per the Statement of Comprehensive Income 30 June 2011 Segment Revenue Sales to external customers Inter-segment sales Other income from external customers Finance income Inter-segment elimination Total Revenue and Other Income per the Statement of Comprehensive Income Segment Result Segment results Unallocated items - Corporate charges - Net finance income Net profit per the Statement of Comprehensive Income	Continuing Operations Retail Wholesale Other $’000 $’000 $’000	Total $’000
	718 21,724 42 - 717 -	22,484 717
	718 22,441 42 231 1,036 (19)	23,201 806 260 (717)
		23,550
		1,248 (838) 254
	Continuing Operations Retail Wholesale Other $’000 $’000 $’000
		664
		Total $’000
	899 20,149 178 - 1,322 -	21,226 1,322
	899 21,471 178 340 487 157	22,548 791 111 (1,322)
		22,128
		984 (1,852) 101
		(767)

Page 12

Appendix 4E Preliminary final Report

Annual meeting

(Preliminary final report only)

The annual meeting will be held as follows:

Place

Date

Time

Approximate date the[+] annual report will be available

9 Foundry Street, Maylands, Perth. 29 November 2012 9 am 25 October 2012

Compliance statement

• 1 This report has been prepared in accordance with ASX Listing Rules.

• 2 This report, and the +accounts upon which the report is based (if separate), use the same accounting policies.

• 3 This report does give a true and fair view of the matters disclosed.

• 4 This report is based on +accounts to which one of the following applies.

(Tick one) � The[+] accounts have been � The[+] accounts have been audited. subject to review. � The[+] accounts are in the � The[+] accounts have not yet process of being audited been audited or reviewed. or subject to review.

==> picture [117 x 81] intentionally omitted <==

Sign here: ............................................................ Date: 27 August 2012 (Director) Print name: Malcolm Day

Page 13