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Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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UNITED STATES FORM 8-K CURRENT REPORT Pursuant to Section 13 or 15(d) of the Date of Report (Date of Earliest Event Reported): November
11, 2004 NET 1 U.E.P.S. TECHNOLOGIES, INC.
President Place, 4th Floor, Cnr.
Jan Smuts and Bolton Avenue Registrants telephone number, including area code: 011-27-11-343-2001
Suite 325-744 West Hastings Street, Check the appropriate box below if the Form 8-K filing is intended
to simultaneously satisfy the filing obligation of the registrant under any
of the following provisions: ¨ Written communications
pursuant to Rule 425 under the Securities Act (17 CFR 230.425) ¨ Soliciting material
pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) ¨ Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
¨ Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13a-4(c))
Item 2.02 Results of Operation and Financial Condition
On November 11, 2004, Net 1 U.E.P.S. Technologies,
Inc., a Florida corporation, issued a press release announcing its financial
and operating results for the first quarter of the year ending June 30, 2005.
A copy of the press release is attached as Exhibit 99.1 to this Current Report
on Form 8-K and is incorporated by reference.
Item 9.01 Financial Statements and Exhibits
c) Exhibits [SIGNATURE PAGE FOLLOWS] SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant
has duly caused this report to be signed on its behalf by the undersigned hereunto
duly authorized.
EXHIBIT INDEX
Exhibit 99.1
Net1 UEPS Technologies, Inc ("Net1") Announces First Quarter Results for Fiscal 2005
Net1 today announced results for the first quarter of fiscal 2005.
GAAP Results
In terms of GAAP (Generally Accepted Accounting Principles accepted in the United States of America), the company reported first quarter revenue of $43.2 million, compared to $25.9 million in the prior year period. First quarter net income was $10.2
million, or $0.031 per common share and linked unit, compared to $5.5 million, or $0.029 per common share for the first quarter of fiscal 2004. Use of Non-GAAP Financial Information The result of applying these Non-GAAP measures is revenue
of $39.4 million for the first quarter of fiscal 2005 compared to $27.5 million
in the prior year first quarter. For the first quarter of fiscal 2005, net income
on this basis was $9.3 million compared to $5.9 million for the first quarter
of fiscal 2004. Based on the total issued common shares and linked units of
328.2 million as at September 30, 2004 the underlying earnings per share for
the first quarter of fiscal 2005 was $0.028, compared to $0.018 for the first
quarter of fiscal 2004, using the same amount of shares. The following table
provides a comparison and hence indicates the reconciliation between the GAAP
and non-GAAP financial information as presented above:
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Securities Exchange Act of 1934
(Exact name of registrant as specified in its charter)
Florida
000-31203
65-0903895
(State or other jurisdiction
(Commission File Number)
(IRS Employer
of incorporation)
Identification No.)
Rosebank, Johannesburg, South Africa
(Address of principal executive offices, including zip code)
Vancouver British Columbia, Canada V6C 1A5
(Former name or former address, if changed since last report)
99.1
NET 1 U.E.P.S. TECHNOLOGIES, INC.
(Registrant)
Date: November 11, 2004
By:
/s/ Serge Belamant
Serge Belamant, Chief Executive Officer
99.1
Management evaluates the company's operations using measures of constant
exchange rates and underlying earnings per share. These financial measures are
not in accordance with GAAP. The company believes that these measures are useful
to investors because they reflect the performance of the company's core operations
and are consistent with the company's internal performance measures. Net1's
underlying results should be considered in addition to, and not as a substitute
for, our GAAP results. The following non-GAAP items were applied for the purpose
of preparing management information:
First Quarter 2005: GAAP
First Quarter 2005: non-GAAP
First Quarter 2004: GAAP
First Quarter 2004: non-GAAP
ZAR : US $ exchange rate used for income and expense
items
ZAR6.38=US$1
ZAR7=US$1
ZAR7.44=US$1
ZAR7=US$1
Revenue
$43.2 million
$39.4 million
$25.9 million
$27.5 million
Net income
$10.2 million
$9.3 million
$5.5 million
$5.9 million
Number of shares used to calculate earnings per
share
328.2 million
328.2 million
193 million
328.2 million
Earnings per share
$0.031
$0.028
$0.029
$0.018
Comment
Serge Belamant, Net1 Chairman and Chief Executive Officer, stated, "During the first quarter of fiscal 2005, we demonstrated significant growth across all our business segments. Our UEPS transaction-based activities and UEPS-based financial services exhibited robust growth, while our Hardware, software and related technology sales benefited from the implementation of the project to provide POS terminals and related hardware to Nedcor Bank. We are particularly pleased with the progress made on the implementation of our merchant acquiring project, which commenced during the quarter under review. These results provide a solid base for the remainder of fiscal 2005."
First Quarter Highlights
The Company reported:
About Net1 (www.net1ueps.com)
Net1 is a provider of technologies and systems that create a secure and affordable transacting channel between formal businesses and the "un-banked" and "under-banked" populations of developing countries who have no or limited access to traditional banking facilities. Net1 has developed the Universal Electronic Payment System ("UEPS") that utilizes smart card technology to provide a fully integrated payment, switching and settlement system suitable for multiple applications and services meeting the requirements of the un-banked and under-banked populations. The company, through its subsidiaries, employs the UEPS to add efficiency to a myriad of commercial activities that involve banking and payment systems, money transfers and other electronic data applications. The company's payment system enables its customers to effect transactions "off-line" in underdeveloped areas where traditional financial institutions and their services have limited penetration or are otherwise unavailable due to the lack of, or limited branch, Automated Teller Machines (or "ATM"), Point Of Sale, support and communications infrastructures.
This announcement may contain forward-looking statements pursuant to the "safe-harbor" provisions of the Private Securities Litigation Reform Act of 1995. These forward looking statements involve risks and uncertainties such as product demand, market and customer acceptance, the effect of economic conditions, competition, pricing, development difficulties, foreign currency risks, costs of capital, the ability to consummate and integrate acquisitions, and other risks detailed in the company's SEC filings, including, but not limited to, our most recent report on Form 8-K. The company undertakes no obligation to revise any of these statements to reflect future circumstances or the occurrence of unanticipated events.
Contact: William Espley at Net1 Investor Relations at +1-604-484-8750 or info@net1ueps.com