https://www.engineeringnews.co.za

Reunert lifts H1 earnings

19th May 2015

By: Natasha Odendaal

Creamer Media Senior Deputy Editor

  

Font size: - +

Shortly after shedding its Nashua Mobile unit’s subscriber base in November, JSE-listed Reunert achieved higher earnings for the six-month period to March 31.

For the period under review, the group posted an 11% rise in headline earnings a share to 264.8c and a 20% increase in basic earnings a share to 286.5c.

Profit for the period rose 21%, from R393.3-million in the six months to March 2014, to R476.1-million in the first half of the current financial year, while operating profit increased 5% year-on-year to R502.8-million.

Earnings before interest, taxes, depreciation and amortisation fell from R620.2-million in the first half of the prior financial year to R606.7-million in the six months under review.

Revenue from continuing operations increased 7% year-on-year to R3.9-billion.

“Notwithstanding a sluggish domestic economy, the adverse impact of load-shedding and delays in the commencement of various national infrastructure projects, [the] trading results for the past six months reflect a pleasing improvement over the prior year,” Reunert said.

This followed an improvement in the operating profits of the continuing operations, the interest earned on the proceeds of the Nashua Mobile deal and the additional profit earned on the sale of the Nashua Mobile subscriber base.

Revenue from Reunert’s CBI-electric unit increased 11% to R2-billion on the back of an increase in sales volumes and improved efficiencies, which had also led to a 20% surge in operating profit to R257.3-million.

The revenue generated from the continuing operations of Nashua, excluding Nashua Mobile, inched up 8% to R1.7-billion. A 19% increase in operating profit to R243.7-million during the six months under review was driven by increased volumes in ECN, a larger rental asset book in Quince and the return to profit of Nashua Communications and Prodoc.

Meanwhile, delays in the receipt of “certain significant project orders” had adversely affected the first-half performance of the Reutech business unit, which reported a 13% decline in revenue to R423.7-million and a 55% fall in operating profit to R35.3-million.

Reunert declared a dividend of 105c a share for the six months to March.

Edited by Creamer Media Reporter

Comments

Showroom

GreaseMax
GreaseMax

GreaseMax is a chemically operated automatic lubricator.

VISIT SHOWROOM 
Goodwin Submersible Pumps Africa (Pty) Ltd
Goodwin Submersible Pumps Africa (Pty) Ltd

Goodwin Submersible Pumps Africa is sole distributors for Goodwin electrically driven, submersible, abrasion resistance slurry pumps.

VISIT SHOWROOM 

Latest Multimedia

sponsored by

Option 1 (equivalent of R125 a month):

Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format

Option 2 (equivalent of R375 a month):

All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.

Already a subscriber?

Forgotten your password?

MAGAZINE & ONLINE

SUBSCRIBE

RESEARCH CHANNEL AFRICA

SUBSCRIBE

CORPORATE PACKAGES

CLICK FOR A QUOTATION







sq:0.233 0.292s - 142pq - 2rq
Subscribe Now