Earnings for JSE-listed construction materials retailer Cashbuild remained relatively flat for the first half of the 2013 financial year, increasing by 1% to R150.2-million from R149.3-million in the prior comparative period.
Similarly, the company said in an interim results statement on Tuesday that headline earnings a share for the six months ended December 31, 2012, had decreased by 1% to 650.8c.
Revenue growth for the half-year of 2% to R3.3-billion was achieved amid tough trading conditions and a selling price inflation of 2%, and was chiefly attributable to seven new stores that were opened since July, three of these during the period under review.
However, a 2% decline in sales growth at existing stores indicated stunted customer transactions, which Cashbuild said would remain an area of focus for management, adding that it would continue its controlled store expansion, relocation and refurbishment strategy.
In addition, a 6% increase in operating expenses drove an operating profit slump of the same margin to R196.1-million from R209.2-million in the comparable 2011 period.
Meanwhile, cash and cash equivalents at R517-million were the result of payments to suppliers being affected before the half year-end close.
Cashbuild declared an interim dividend of 296c a share, which remained flat on the comparable 2011 period.
The company expected trading conditions to remain depressed in the coming quarter.