Course Name: Financial Management for Managers
Name:
Student ID Number:
Title: Assessment Point 1
Analysis of Pan African Resources PLC
Tutor’s Name: Dr. Mary Mandiringana
Date: June 20, 2021
1
, Table of Contents
1.Introduction………………………………………..………….……………………………….4
2.Company Profile.……………………………………………………………………………...4
3.Corporate Governance …………………………..…………………………………………..5
3.1The board ……………………………………………..……………………………..5
3.2Board Composition ………………………………………………………………....6
3.3Board Committees ………………………………………………………………….6
3.4Director Independence ……………………………………………………………..6
4.Current Sources of Finance …………………………………………………………………6
5.Existing & Projected investments …………………………………………………………..7
5.1The Elikhulu Project ………………………………………………………………...7
5.2The 2010 Pay Channel Project at Evander mines ………………………………8
5.3Barberton mines sub-vertical shaft project at Fairview.…………………………8
6.Business Performance ………………………………………………………………………8
6.1Profitability …………………………………………………………………………..9
6.2Efficiency …………………………………………………………………………...12
6.3Liquidity …………………………………………………………………………….14
6.4Leverage/ Gearing………………………………………………………………....15
6.5Investors Ratio’s …..………………………………………………………………17
7.Looking Forward ……………………………………………………………………………19
8.Conclusion ………………………………………………………………………………….20
References ……………………………………………………………………………………21
Appendices ……………………………………………………………………………………23
I.Organizational Structure …………………………………………………………………...23
II.Business Model ……………………………………………………………………………..24
III.Strategic pillars……………………………………………………………………….……26
IV.Consolidated Income Statement and Balance Sheet (2013-2017) .…………………27
V.Ratios- Based on IFRS …………………………………………………………………….29
2
, Content of Figures
Figure 1: Company Information ………………………………………………………………4
Figure 2: Corporate Governance Framework ………………………………………………5
Figure 3: Return on Capital Equity …………………………………………………………..9
Figure 4: Return on Equity …………………………………………………………………..10
Figure 5: Gross Profit Margin ………………………………………………………………..11
Figure 6: Net Margin ………………………………………………………………………….12
Figure 7: Return on Assets …………………………………………………………………..13
Figure 8: Debtors Collection Period …………………………………………………………13
Figure 9: Current Ratio Vs. Quick Test Ratio ………………………………………………15
Figure 10: Equity Ratio and Debt Ratio …………………………………………………….16
Figure 11: Earning Per Share ………………………………………………………………..17
Figure 12: Trend P/E Ratio, Dividend Cover Ratio and Dividend Yield ………………...19
3
Name:
Student ID Number:
Title: Assessment Point 1
Analysis of Pan African Resources PLC
Tutor’s Name: Dr. Mary Mandiringana
Date: June 20, 2021
1
, Table of Contents
1.Introduction………………………………………..………….……………………………….4
2.Company Profile.……………………………………………………………………………...4
3.Corporate Governance …………………………..…………………………………………..5
3.1The board ……………………………………………..……………………………..5
3.2Board Composition ………………………………………………………………....6
3.3Board Committees ………………………………………………………………….6
3.4Director Independence ……………………………………………………………..6
4.Current Sources of Finance …………………………………………………………………6
5.Existing & Projected investments …………………………………………………………..7
5.1The Elikhulu Project ………………………………………………………………...7
5.2The 2010 Pay Channel Project at Evander mines ………………………………8
5.3Barberton mines sub-vertical shaft project at Fairview.…………………………8
6.Business Performance ………………………………………………………………………8
6.1Profitability …………………………………………………………………………..9
6.2Efficiency …………………………………………………………………………...12
6.3Liquidity …………………………………………………………………………….14
6.4Leverage/ Gearing………………………………………………………………....15
6.5Investors Ratio’s …..………………………………………………………………17
7.Looking Forward ……………………………………………………………………………19
8.Conclusion ………………………………………………………………………………….20
References ……………………………………………………………………………………21
Appendices ……………………………………………………………………………………23
I.Organizational Structure …………………………………………………………………...23
II.Business Model ……………………………………………………………………………..24
III.Strategic pillars……………………………………………………………………….……26
IV.Consolidated Income Statement and Balance Sheet (2013-2017) .…………………27
V.Ratios- Based on IFRS …………………………………………………………………….29
2
, Content of Figures
Figure 1: Company Information ………………………………………………………………4
Figure 2: Corporate Governance Framework ………………………………………………5
Figure 3: Return on Capital Equity …………………………………………………………..9
Figure 4: Return on Equity …………………………………………………………………..10
Figure 5: Gross Profit Margin ………………………………………………………………..11
Figure 6: Net Margin ………………………………………………………………………….12
Figure 7: Return on Assets …………………………………………………………………..13
Figure 8: Debtors Collection Period …………………………………………………………13
Figure 9: Current Ratio Vs. Quick Test Ratio ………………………………………………15
Figure 10: Equity Ratio and Debt Ratio …………………………………………………….16
Figure 11: Earning Per Share ………………………………………………………………..17
Figure 12: Trend P/E Ratio, Dividend Cover Ratio and Dividend Yield ………………...19
3
