BUSINESS AND GEOGRAPHIC SEGMENTS
Business segments
For management purposes, the group is currently organised into two operating divisions: Electrical engineering (Circuit Breaker Industries, ATC and African Cables) and Electronics comprising of Office systems (Nashua Office Automation, Nashua Kopano and RC&C Finance Company), Consumer products and services (Nashua Mobile, RC&C Holdings and Saco Systems), Telecommunications (Siemens Telecommunications and Acuo Technologies) and Reutech (Fuchs Electronics, RDI Communications, RDL Technologies and Reutech Radar Systems). The group overview on pages 8 to 15 gives details of the activities of each division.
These divisions are the basis on which the group reports its primary business segments.
Segment information about these businesses is presented below.
The group's operations are situated mostly in South Africa, with only immaterial operations situated in the United Kingdom, Germany, the United States of America and Australia. It is therefore not considered meaningful to disclose information on geographic segments according to location of operation.
| REVENUE INCLUDING ASSOCIATE COMPANIES | |||||||||
| % | |||||||||
| Rm | 2005 | % | 2004 | % | change | ||||
| Electrical engineering | 1 986,7 | 25 | 1 456,7 | 20 | 36 | ||||
| Electronics | |||||||||
| Office systems | 981,3 | 12 | 1 071,0 | 15 | (8) | ||||
| Consumer products and services | 3 770,5 | 47 | 3 382,7 | 46 | 11 | ||||
| Telecommunications | 993,0 | 12 | 931,8 | 13 | 7 | ||||
| Reutech | 298,4 | 4 | 443,0 | 6 | (33) | ||||
| Total electronics | 6 043,2 | 75 | 5 828,5 | 80 | 4 | ||||
| Total operations | 8 029,9 | 100 | 7 285,2 | 100 | 10 | ||||
| Less: Reunert's attributable portion of associate | |||||||||
| companies' revenue | (993,0) | (1 037,9) | |||||||
| Revenue as reported per the income statement | 7 036,9 | 6 247,3 | 13 |
OPERATING PROFIT BEFORE GOODWILL AMORTISATION INCLUDING ASSOCIATE COMPANIES
| % | |||||||
| Rm | 2005 | % | 2004 | % | change | ||
| Electrical engineering | 324,0 | 31 | 217,1 | 25 | 49 | ||
| Electronics | |||||||
| Office systems | 256,3 | 25 | 226,3 | 26 | 13 | ||
| Consumer products and services | 324,2 | 31 | 250,9 | 29 | 29 | ||
| Telecommunications | 131,9 | 13 | 130,2 | 15 | 1 | ||
| Reutech | 1,7 | – | 48,5 | 5 | (96) | ||
| Total electronics | 714,1 | 69 | 655,9 | 75 | 9 | ||
| Total operations | 1 038,1 | 100 | 873,0 | 100 | 19 | ||
| Less: Reunert's attributable portion of | |||||||
| associate companies’ operating profit | (132,6) | (119,0) | |||||
| Operating profit before amortisation of goodwill | |||||||
| as reported per the income statement | 905,5 | 754,0 | 20 | ||||
| TOTAL ASSETS (EXCLUDING CASH AND CASH EQUIVALENTS AND DEFERRED TAXATION ASSETS) INCLUDING | |||||||
| ASSOCIATE COMPANIES | |||||||
| Rm | 2005 | 2004* | |||||
| Electrical engineering | 823,6 | 676,0 | |||||
| Electronics | |||||||
| Office systems | 1 273,0 | 824,8 | |||||
| Consumer products and services | 962,3 | 887,4 | |||||
| Telecommunications | 581,6 | 514,9 | |||||
| Reutech | 69,2 | 122,4 | |||||
| Total electronics | 2 886,1 | 2 349,5 | |||||
| Total operations | 3 709,7 | 3 025,5 | |||||
| Less: | Reunert's attributable portion of associate companies’ assets | (479,9) | (445,5) | ||||
| Total assets (excluding cash and cash equivalents and deferred taxation assets) as reported per | |||||||
| the balance sheet | 3 229,8 | 2 580,0 | |||||
| * | The comparative information has been amended to take account of the change of accounting policy | ||||||
| in terms of which existing negative goodwill has been transferred to accumulated profit | |||||||
| (refer to notes 8 and 12 to the annual financial statements). | |||||||
| TRADE AND OTHER PAYABLES, DERIVATIVE LIABILITIES AND PROVISIONS, | |||||||
| INCLUDING ASSOCIATE COMPANIES | |||||||
| Rm | 2005 | 2004** | |||||
| Electrical engineering | 248,7 | 250,3 | |||||
| Electronics | |||||||
| Office systems | 293,5 | 360,2 | |||||
| Consumer products and services | 803,5 | 717,6 | |||||
| Telecommunications | 435,1 | 335,1 | |||||
| Reutech | 97,2 | 118,0 | |||||
| Total electronics | 1 629,3 | 1 530,9 | |||||
| Total operations | 1 878,0 | 1 781,2 | |||||
| Less: | Reunert's attributable portion of associate companies’ liabilities | (434,5) | (378,9) | ||||
| Trade and other payables, derivative liabilities and provisions as reported per the balance sheet | 1 443,5 | 1 402,3 | |||||
- The comparative information has been amended to take account of the restatement of provisions (refer to notes 23 and 33 to the annual financial statements).
CAPITAL EXPENDITURE EXCLUDING ASSOCIATE COMPANIES
| Rm | 2005 | 2004 | ||
| Electrical engineering | 34,4 | 27,1 | ||
| Electronics | ||||
| Office systems | 2,3 | 5,7 | ||
| Consumer products and services | 14,5 | 13,2 | ||
| Telecommunications | – | 0,1 | ||
| Reutech | 3,8 | 2,7 | ||
| Total electronics | 20,6 | 21,7 | ||
| Capital expenditure as reported | 55,0 | 48,8 | ||
| DEPRECIATION AND IMPAIRMENTS OF PROPERTY, PLANT AND EQUIPMENT AND | ||||
| AMORTISATION OF INTANGIBLE ASSETS EXCLUDING ASSOCIATE COMPANIES | ||||
| Electrical engineering | 35,7 | 30,5 | ||
| Electronics | ||||
| Office systems | 3,7 | 4,8 | ||
| Consumer products and services | 13,1 | 18,5 | ||
| Telecommunications | 0,1 | 0,1 | ||
| Reutech | 3,7 | 4,0 | ||
| Total electronics | 20,6 | 27,4 | ||
| Depreciation and impairments of property, plant and equipment and amortisation of intangible | ||||
| assets as reported | 56,3 | 57,9 | ||
| NUMBER OF EMPLOYEES EXCLUDING ASSOCIATE COMPANIES | ||||
| Electrical engineering | 2 680 | 2 524 | ||
| Electronics | ||||
| Office systems | 413 | 445 | ||
| Consumer products and services | 1 588 | 1 479 | ||
| Telecommunications | 16 | 13 | ||
| Reutech | 623 | 708 | ||
| Total electronics | 2 640 | 2 645 | ||
| Number of employees as reported | 5 320 | 5 169 | ||
| 29 |
 |