Despite general margin squeeze from rising input costs, competition and prolonged transport strikes, logistics services provider OneLogix on Monday reported double-digit growth in a number of key financial markers for the six months ended November 2012.

Operating margins, excluding items of a capital nature, were slightly down from the comparative 2011 period to 10.2%.

This was mainly owing to higher fuel prices and above-inflation increases in other major input costs. However, OneLogistix noted that initiatives were in place to manage cost creep in line with top-line growth.

The group’s revenue for the six months grew by 15% to R499-million, while headline earnings a share increased by 13% to 13.6c.

OneLogix stated that this growth was driven entirely by organic growth for a sixth consecutive period.

However, the group had, during the six months, acquired a 60% interest in specialised bulk transporter RSA Tankers for R55-million, as well as a 40% stake in driver behaviour management company Drive Report for R20-million, which it believed would complement the group’s existing specialised logistics operations.

The group said the acquisitions were consistent with its acquisition philosophy and represented the systematic progression of its strategy to further reduce its dependence on the auto-logistics component of the business. 

OneLogix also exited its noncore media-related logistics businesses through the disposal of its 80% shareholding in importer and distributer of select local media titles Magscene to CTP for R10-million in October.

The group stated that, despite the period under review having been impacted on by industry-wide industrial action, the company’s outlook for the full financial year to May 31, 2013, remained positive.

“The existing businesses within the group clearly understand their challenges, and are well positioned to address these and take advantage of growth opportunities in their particular market segments,” the group indicated.

It also stated that the newly acquired businesses were expected to contribute to earnings for the first time in the second half of the current year.

OneLogix would continue to investigate further suitable acquisition opportunities.