Rizobacter Argentina S.A. — Interim / Quarterly Report 2021

Feb 17, 2021

(Registration Number 2015 / 308733 / 07) Management Statements for the 6 month period ended 31 December 2020

Compiled Financial Statements

in compliance with Companies Act 71 of 2008 Compiled by: Chanette Haasbroek CA(SA)

(Registration Number 2015 / 308733 / 07) Management Statements for the 6 month period ended 31 December 2020

Index

The reports and statements set out below comprise the financial statements presented to the shareholders:

General Information	1
Report of the Compiler	2
Statement of Financial Position	3
Statement of Comprehensive Income	4
Statement of Changes in Equity	5
Statement of Cash Flows	6
Supplementary information: Detailed Income Statement	7

(Registration Number 2015 / 308733 / 07)

Management Statements for the 6 month period ended 31 December 2020

General Information

Country of Incorporation and Domicile	South Africa
Nature of Business and Principal Activities	Agriculture
Directors	AG Lehmann PE Mac Mullen
Registered Office Business Address	510 Makou Street Monument Park x 2 Pretoria Gauteng 0181 510 Makou Street Monument Park x 2 Pretoria Gauteng 0181
Bankers	The Standard Bank of South Africa Limited
Compiler	Chanette Haasbroek CA(SA) 494 Road A Rietvalleirand x 32 Pretoria Gauteng 0042

fi[ISE fUrUfiEr{l\$E

Report of the Compiler

To the Directors of Rizobacter south Africa {fty) [td

I have compiled the accompanying management statemenG of Rizobacter South Africa (Pty) Ltd based on information you have provided. These management statements comprise the statement of financial position of Rizobacter South Africa (Pty) Ltd ai at 31 December 2020, the statement of comprehensive income, the statement of changes in equity and the statement of cash flows for the 6 month period then ended, a summary of significant a6counting policies and oth€r explanatory information.

I performed this compilation engagement in accordance with lnternational Standard on Related services 4410 (Revised), Compilation Engagements.

I have applied my expertise in accounting and financial reporting to assist you in the preparation and presentation of these management statements in accordance with the lnternational Financial Reporting Standard for Small and Medium-sized Entities and the requirements oJ the Companies Act of South Africa. I have complied with reievant ethical requirements, including principles of integrity, objectivity, professional competence and due care.

These management statements and the accuracy and completeness of the information used to compile them are your responsibility.

Since a compilation engagement is not an assurance engagement, I am not required to verify the a€curacy or completeness of the information you provided to me to compile these management statements. Accordingly, I do not express an audit opinion or a review conclusion on whether these management statements are prepared in accordance with the lnternational Financial Reporting Standard for Small and Medium-sized Entities and the requirements of the Companies Act of South Africa.

Director / Partner chartered Accountant {5A)

6 January 2021

494 Road A Rietvalleirend x 32 Pr€toria Gauteng 0042

(Registration Number 2015 / 308733 / 07)

Management Statements for the 6 month period ended 31 December 2020

Statement of Financial Position

Figures in R	Notes	31 December 202030 June 2020
Assets
Non-Current Assets
Property, plant and equipment	3	7,671	10,402
Loan to shareholder		8,334	8,334
		16,005	18,736
Current Assets
Trade and other receivables	4	1,062,448	105,990
Cash and cash equivalents	5	40,202	212,689
		1,102,650	318,679
Total Assets		1,118,655	337,415
Equity and Liabilities
Equity
Issued capital	6	686,683	686,683
Accumulated loss		(70,002)	(372,309)
		616,681	314,374
Current Liabilities
Trade and other payables	8	501,974	23,041
Total Equity and Liabilities		1,118,655	337,415

(Registration Number 2015 / 308733 / 07)

Management Statements for the 6 month period ended 31 December 2020

Statement of Comprehensive Income	6 months
Figures in R	Notes	31 December 202030 June 2020
Revenue		1,212,331	482,917
Cost of sales		(512,355)	-
Gross profit		699,976	482,917
Other income	9	-	1,075
Operating costs		(397,669)	(843,481)
Operating profit / (loss)		302,307	(359,489)
Finance costs	11	-	(7,059)
Profit / (loss) for the year		302,307	(366,548)

(Registration Number 2015 / 308733 / 07)

Management Statements for the 6 month period ended 31 December 2020

Statement of Changes in Equity

	Accumulated
Figures in R	Share capital	loss	Total
Balance at 1 July 2019	120,000	(5,761)	114,239
Total comprehensive income for the
year
Loss for the year		(366,548)	(366,548)
Total comprehensive income for the
year	-	(366,548)	(366,548)
Issue of share capital	566,683		566,683
Balance at 30 June 2020	686,683	(372,309)	314,374
Balance at 1 July 2020	686,683	(372,309)	314,374
Total comprehensive income for the
year
Profit for the year		302,307	302,307
Total comprehensive income for the
year	-	302,307	302,307
Balance at 31 December 2020	686,683	(70,002)	616,681
Note	6

(Registration Number 2015 / 308733 / 07)

Management Statements for the 6 month period ended 31 December 2020

Statement of Cash Flows		6 months
Figures in R	Note(s)	31 December 202030 June 2020
Cash flows used in operating activities
Profit/(loss) for the year		302,307	(366,548)
Adjustments for:
Finance costs		-	7,059
Depreciation of property, plant and equipment		2,731	89,437
Operating cash flow before working capital changes		305,038	(270,052)
Working capital changes
(Increase)/decrease in trade and other receivables		(956,458)	442,715
Increase in short term loans		-	(511,547)
Increase/(decrease) in trade and other payables		478,933	(16,673)
Net cash flows used in operations		(172,487)	(355,557)
Finance costs		-	(7,059)
Net cash flows used in operating activities		(172,487)	(362,616)
Cash flows from financing activities
Capital issued		-	566,683
Shareholder's loan repaid		-	(28,334)
Net cash flows from financing activities		-	538,349
Net (decrease) / increase in cash and cash equivalents		(172,487)	175,733
Cash and cash equivalents at beginning of the year		212,689	36,956
Cash and cash equivalents at end of the year	5	40,202	212,689

(Registration Number 2015 / 308733 / 07)

Management Statements for the 6 month period ended 31 December 2020

Detailed Income Statement	6 months
Figures in R	31 December 202030 June 2020
Gross Revenue
Commission received	765,068	482,917
Consulting fee income	447,263	-
	1,212,331	482,917
Cost of Sales
Purchases	512,355	-
	512,355	-
Gross Profit	699,976	482,917
Other Income
Profit on foreign exchange	-	1,075
	-	1,075
	699,976	483,992
Expenditure
Accounting fees	29,300	57,975
Bank charges	1,077	3,332
Compiler's remuneration	9,000	8,500
Computer expenses	3,522	3,268
Consulting fees	263,319	52,474
Depreciation - Tangible assets	2,731	89,437
Electricity and water	7,068	17,015
Field and Greenhouse trials	2,790	393,534
Finance costs	-	7,059
Insurance	9,352	28,050
Lease rental on operating lease	53,216	106,485
Legal expense	-	1,891
Logistics: Samples and others	(683)	56,697
Loss on foreign exchange	8,005	-
Marketing	-	4,348
Motor vehicle expense SABO Membership fees	1,215 -	2,011 5,000
Secretarial fees	150	100
Telephone and internet	7,607	13,364
	397,669	850,540
Profit / (loss) for the year	302,307	(366,548)