JSE-listed industrial energy group enX on Wednesday posted a decrease in earnings for the year ended August 31.
The company reported a total comprehensive loss for the year of R71.4-million, compared with the profit of R21.8-million posted in the prior year.
Headline earnings plunged by 71% to R9.2-million, translating into headline earnings per share (HEPS) of 1.6c.
Adjusted headline earnings decreased by 41% to R21.1-million, with HEPS at 3.7c apiece.
During the year under review, enX posted a basic loss a share of 12.6c, a 340% contraction on the basic earnings a share achieved in the 2015 financial year.
A loss before interest, taxes, depreciation and amortisation of R39.6-million was reported for 2016, compared with a profit of R49.2-million in 2015.
enX’s gross margins reduced to 23% in 2016, from 29% in 2015, owing to a decline in the power segment and lower margins in the chemicals distribution business.
Overall revenue for the year increased 30% to R1.1-billion, driven by healthy growth from the petrochemicals segment.
“The oil lubricants business delivered strong organic growth in addition to being accounted for for a full 12 months and the inclusion of the revenues generated by [new acquisitions] WAI and AGL for [a two-month period],” the company said in an update to shareholders.
With the cessation of load-shedding in August 2015, the firm’s power segment revenues decreased by 19% to R370-million.