• Headline earnings per share +24%
• Dividend per share 24 cents

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The results for the six months ended 31 March 2001 are set out below:

		Six months ended 31 March			Year ended 30 Sept
	Notes	2001 R million    (Unaudited)	2000 R million    (Unaudited)	%    change	2000 R million    (Audited)
Revenue		2 112,2	1 579,5	34	3 340,1
Operating profit	1	184,8	125,1	48	275 5
Net interest and dividend income	2	33,5	32,4	3	58,8
Profit before abnormal items		218,3	157,5	39	334,3
Abnormal items - capital profit on disposal of businesses		-	89,2		77,4
Profit before taxation		218,3	246,7		411,7
Taxation		73,8	51,0		114,0
Profit after taxation		144,5	195,7		297,7
Share of associate companies' profits	2	28,6	22,4	28	73,8
Profit after tax including associate companies		173,1	218,1		371,5
Earnings attributable to outside shareholders in subsidiaries		19,3	0,3		4,3
Earnings attributable to ordinary shareholders in Reunert Limited		153,8	217,8		367,2
Basic earnings per share (cents)	4	78,4	106,9	(27)	180,3
Diluted earnings per share (cents)	4	77,4	106,9	(28)	178,6
Headline earnings per share (cents)	5	78,3	63,0	24	140,7
Diluted headline earnings per share (cents)	5	77,3	63,0	23	139,4
Dividend per ordinary share (cents)		24,0	20,0	20	76,0
Taxation rate excluding abnormal items (%)		33,8	32,4		34,1
Operating profit as a % of turnover		8,7	7,9		8,2
Note 1 Operating profit Operating profit is stated after charging:
- Cost of sales		1 509,5	1 175,9		2 432,4
- Other income		(13,4)	(9,2)		(25,0)
- Other expenses excluding depreciation		408,1	270,5		620,4
- Depreciation		15,6	15,6		36,7
Note 2 Net interest and dividend income
Interest received		36,8	39,2		77,0
- Finance Company		24,2	26,7		56,9
- External		12,6	12,5		20,1
Interest paid		(7,1)	(21,4)		(33,4)
Dividend income other than from associates		3,8	14,6		15,2
Total		33,5	32,4		58,8
Dividend income from associates included in share of associate companies profits		22,8	5,7		47,6
Note 3 Accounting policy changes Reunert has adopted South African statements of generally accepted accounting practice which have become effective during the current financial year. This has resulted in changes of accounting policies, requiring the restatement of the comparative figures for 2000. The main change involves the consolidation of RC&C Finance Company (Pty) Ltd ("Finance Company") which was previously equity accounted as an associate company. Had the new policies been used in 2000, the group's retained income would not have been affected. The effect of the change in policies has been to increase/(decrease) the following: Income statement
Turnover			82,8		156,0
Cost of sales			54,9		96,3
Operating profit			15,0		30,9
Taxation			5,6		11,7
Share of associate companies' profits			(9,4)		(19,2)
Earnings attributable to ordinary shareholders in Reunert Limited			-		-
Balance sheet
Fixed assets			0,6		0,6
Investments			(22,4)		(13,0)
Finance Company accounts receivable			829,0		751,6
Accounts receivable			-		(19,9)
Deferred taxation liabilities			31,8		26,8
Accounts payable, provisions, taxation and shareholders for normal dividend			53,5		61,9
Finance Company borrowings - Long-term			25,0		-
- Short-term			696,9		630,6
Note 4 Basic earnings per share and diluted earnings per share
The earnings used to determine both basic earnings per share and diluted earnings per share are the earnings attributable to ordinary shareholders in Reunert Limited (Rm)		153,8	217,8		367,2
The weighted average number of shares in issue used to determine basic earnings per share and headline earnings per share (millions of shares)		196,3	203,7		203,7
Adjusted by the dilutive effect of unexercised share options available to executives employed in the group (millions of shares)		2,6	-		1,9
Weighted average number of shares used to determine diluted earnings per share and diluted headline earnings per share (note 5) (millions of shares)		198,9	203,7		205,6
Note 5 Headline earnings per share and diluted headline earnings per share Headline earnings per share and diluted headline earnings per share have been calculated using the weighted average number of shares in issue as detailed in note 4. Headline earnings are determined by eliminating the effect of capital items in attributable earnings as follows:
Earnings attributable to ordinary shareholders		153,8	217,8		367,2
Capital profit on disposal of businesses		-	(89,2)		(89,0)
Other (net)		(0,1)	(0,2)		8,3
Headline earnings		153,7	128,4	20	286,5
Note 6 Finance Company accounts receivable
Collectable within one year		312,8	309,5		292,0
Collectable after one year		435,4	519,5		459,6
		748,2	829,0		751,6

			31 March 2001	31 March 2000	30 Sept 2000
R million (unless otherwise stated)			(Unaudited)	(Unaudited)	(Audited)
Net asset value per share (cents)			378	430	400
Current ratio (:1)			1,3	1,6	1,4
			187,4	204,0	202,5
Number of ordinary shares in issue (million)			204,0	204,0	204,0
Less: Held by subsidiary			(16,6)	-	(1,5)
Capital expenditure			18,6	22,6	22,5
- Expansion			4,7	18,1	10,3
- Replacement			13,9	4,5	12,2
Capital commitments			15,6	10,8	20,4
- Contracted			5,7	6,0	8,5
- Authorised not yet contracted			9,9	4,8	11,9
Commitments in respect of operating leases			69,8	48,8	46,5
Contingent liabilities			0,3	10,1	1,4
- Guarantees on behalf of third parties			-	8,2	1,0
- Other			0,3	1,9	0,4

The consolidated balance sheet at 31 March 2001 is set out below:

	Note	31 March 2001 R million  (Unaudited)	31 March 2000  R million  (Unaudited)	30 Sept 2000 R million (Audited)
Non-current assets
Fixed assets		177,8	172,0	175,3
Investments - at cost and directors' valuation		179,4	156,6	176,4
Finance Company accounts receivable	6	748,2	829,0	751,6
Deferred taxation assets		22,6	-	22,6
		1 128,0	1 157,6	1 125,9
Current assets
Inventory and contracts in progress		432,2	366,4	417,0
Accounts receivable		570,5	490,3	528,0
Cash and cash equivalents (net)		522,7	612,7	703,4
		1 525,4	1 469,4	1 648,4
Total assets		2 653,4	2 627,0	2 774,3
Shareholders' funds
Ordinary		933,6	876,4	826,7
Reunert Limited shares held by a subsidiary		(226,2)	-	(16,7)
Preference		0,7	0,7	0,7
		708,1	877,1	810,7
Outside shareholders in subsidiaries		113,3	81,7	99,2
		821,4	958,8	909,9
Non-current liabilities
Deferred taxation liabilities		33,1	38,6	31,3
Long-term borrowings		2,7	25,0	4,1
		35,8	63,6	35,4
Current liabilities
Finance Company short term borrowings		636,6	696,9	630,6
Accounts payable, provisions, taxation and shareholders for normal dividend		1 159,6	907,7	1 198,4
		1 796,2	1 604,6	1 829,0
Total equity and liabilities		2 653,4	2 627,0	2 774,3

The abridged cash flow statement for the six months ended 31 March 2001 is set out below:

		Six months ended 31 March		Year ended 30 Sept
		2001 R million    (Unaudited)	2000 R million    (Unaudited)	2000 R million (Audited)
Operating cash flows before working capital changes		202,2	141,3	312,9
Reduction in net working capital		7,7	57,3	164,5
Reduction in Finance Company accounts receivable		3,4	44,1	121,5
Other working capital changes (net)		4,3	13,2	43,0
Cash generated from operations		209,9	198,6	477,4
Net interest and dividends received (including associates)		56,3	38,1	106,4
Taxation paid		(105,0)	(67,1)	(96,0)
Dividends paid		(120,2)	(86,6)	(127,4)
Net cash inflow from operating activities		41,0	83,0	360,4
Net fixed asset additions and other acquisitions		(18,5)	(4,5)	(80,9)
Reunert Limited shares purchased by subsidiary		(209,5)	-	(16,7)
Other (net)		0,3	5,5	(21,7)
Net cash flow from operations		(186,7)	84,0	241,1
Net proceeds on disposal of non-core operations, other assets and related working capital		-	154,6	154,5
Net (decrease)/increase in cash and cash equivalents		(186,7)	238,6	395,6
Net cash/(borrowings) equivalents at beginning of the period		72,8	(322,8)	(322,8)
Net (borrowings)/cash equivalents at end of the period		(113,9)	(84,2)	72,8
Net cash resources of the group excluding the Finance Company borrowings
- Deposit on call with the Finance Company		220,7	619,9	483,4
- Other		302,0	(7,2)	220,0
		522,7	612,7	703,4
Finance Company borrowings		(636,6)	(696,9)	(630,6)
Net (borrowings)/cash equivalents at end of the period		(113,9)	(84,2)	72,8
The deposits on call with the Finance Company are repayable on demand. The Finance Company has long-term banking facilities to replace these funds.

The consolidated statement of changes in equity at 31 March 2001 is set out below:

		Six months ended 31 March		Year ended 30 Sept
		2001 R million     (Unaudited)	2000 R million     (Unaudited)	2000 R million (Audited)
Balance at beginning of period as previously reported		810,7	674,4	674,4
Net profit for the period		153,8	217,8	367,2
Dividends declared		(46,9)	(44,9)	(158,3)
Goodwill written off		-	-	(83,4)
Translation reserve movement during period		-	2,4	0,1
Shares issued in terms of the Reunert Share Option Scheme		-	27,4	27,4
Reunert Limited shares bought by subsidiary		(209,5)	-	(16,7)
Balance at end of period		708,1	877,1	810,7

	Six months ended 31 March					Year ended 30 Sept
Revenue including associate companies	2001 R million (Unaudited)	%	2000 R million   (Unaudited)	%	%   change	2000 R million (Audited)	%
Electronics
Nashua Office Automation	253,8	10	222,8	11	14	487,5	11
Panasonic	454,6	17	448,6	22	1	840,0	19
Cellular	674,2	26	309,3	15	118	771,0	17
Telecommunications	401,0	15	384,1	19	4	977,7	22
Reutech	253,2	10	216,1	10	17	422,2	9
Saco	24,4	1	16,2	1	51	52,5	1
Total electronics	2 061,2	79	1 597,1	78	29	3 550,9	79
Electrical engineering and cables
ATC	95,3	4	87,5	4	9	196,9	4
CBI	183,6	7	150,6	7	22	316,2	7
African Cables	197,6	7	133,1	7	48	294,7	7
Total electrical engineering and cables	476,5	18	371,2	18	28	807,8	18
Financial services	70,8	3	82,8	4	(14)	153,9	3
Total operations	2 608,5	100	2 051,1	100	27	4 512,6	100
Less: Reunert's attributable portion of associate companies' revenue	(496,3)		(471,6)			(1 172,5)
Revenue as reported	2 112,2		1 579,5		34	3 340,1
Operating profit including associate companies
Electronics
Nashua Office Automation	20,5	9	15,1	9	36	42,7	11
Panasonic	14,6	6	13,4	8	9	23,2	6
Cellular	34,9	15	13,6	9	157	35,2	9
Telecommunications	35,1	15	27,5	17	28	88,6	22
Reutech	44,9	19	38,6	24	16	71,8	18
Saco	6,1	2	1,7	1	259	13,0	3
Total electronics	156,1	66	109,9	68	42	274,5	69
Electrical engineering and cables
ATC	16,0	7	9,6	6	67	30,1	7
CBI	30,3	13	23,4	14	30	55,3	14
African Cables	16,6	7	0,5	-	3 220	3,9	1
Total electrical engineering and cables	62,9	27	33,5	20	88	89,3	22
Financial services	16,9	7	18,8	12	(10)	35,5	9
Total operations	235,9	100	162,2	100	45	399,3	100
Less: Reunert's attributable portion of associate companies' operating profit	(51,1)		(37,1)			(123,8)
Operating profit as reported	184,8		125,1		48	275,5

Turnover for the six months ended 31 March increased by 34%, with operating profit growing by 48%. Operating margins increased from 7,9% to 8,7%, reflecting an improvement in efficiencies. Headline earnings increased by 20% to R154 million. Headline earnings per share of 78 cents represents an improvement of 24% over the previous period.

Since the commencement of the share buyback in July 2000, the Group has repurchased a total of 16,6 million shares at a cost of R226 million. The average price paid was R13,62, inclusive of all costs. The buyback contributed 4 of the 24% improvement in headline earnings per share.

Due to the change in accounting policies referred to in note 3, the Finance Company has now been consolidated.

ELECTRONICS
The cellular businesses of Nashua and Nedcor were merged in July last year and integration was substantially completed by February. The benefits derived from this venture have exceeded original expectations.

Nashua is continuing to enhance its position as the leading supplier of office automation equipment in South Africa and is enjoying increased market share.
The environment for Panasonic continues to be difficult due to reduced consumer demands.

Reutech had a good first half year. Performance is expected to slow down as a result of the phasing of orders.

Telecommunications was influenced by the delays in the award of the third cellular licence, as well as the continued deferment of capital expenditure by Telkom. Exports partially compensated for this.

ELECTRICAL ENGINEERING AND CABLES
Circuit Breaker Industries had a strong first half, both in the domestic and export markets. Growth in exports is expected to continue.

ATC is benefiting from strong international demand for optical fibre cable. Capacity is being expanded to take advantage of the favourable international market conditions. Demand for copper cable remains strong.

The very pleasing performance from African Cables is the result of management effort, as well as a modest pick-up in demand. Further room for improvement exists.

Growth in headline earnings per share for the year should equate to that achieved in the first half.

Notice is hereby given that an interim dividend (No. 150) of 24c has been declared by the directors. The dividend is payable to ordinary shareholders registered in the books of the company on 1 June 2001. Payment will be made in South African currency on or about 22 June 2001. The transfer and share registers will be closed from 4 June 2001 to 15 June 2001, both dates inclusive.

On behalf of the board

D E Cooper    G Pretorius
Chairman    Chief Executive Officer

11 May 2001

D E Cooper (Chairman)*, G Pretorius (Chief Executive), B P Connellan*,
P T W Curtis*, B P Gallagher, S D Jagoe*, K J Makwetla*, G J Oosthuizen, D J Rawlinson, C L Valkin*, Dr J C van der Horst*
*Non-executive

Incorporated in the Republic of South Africa
Registration number 1913/004355/06

Registered office
Lincoln Wood Office Park
6 - 10 Woodlands Drive, Woodmead, Sandton
PO Box 784391, Sandton, 2146
Telephone (011) 517-9000

Transfer office
Mercantile Registrars Limited
11 Diagonal Street, Johannesburg, 2001
PO Box 1053, Johannesburg, 2000
visit our website at
www.reunert.com