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Imperial delivers 21% higher dividends as earnings rise

Imperial CEO Hubert Brody

Imperial CEO Hubert Brody

Photo by Duane Daws

20th August 2013

By: Natasha Odendaal

Creamer Media Senior Deputy Editor

  

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JSE-listed Imperial hiked its dividend to shareholders by 21% to 820c for the year ended June 30, as its newly clustered business units continued to shine.

Headline earnings for the year rose 15% to R18.04, while basic earnings reached R17.19, an 11% increase on the basic earnings delivered the year before.

Profit for the year increased 9% from R3.4-billion in 2012, to R3.7-billion during the year under review, while operating profit increased 8% to R6.1-billion.

Revenue was 14% higher at R92.4-billion, with the Automotive and Retail and Logistics clusters contributing R57.5-billion and R33.6-billion respectively. The Financial Services section generated R4.2-billion in revenue for the year.

The company commended the “excellent” results delivered by the Logistics, Automotive and Retail, and Financial Services pillars, which were clustered by Imperial in an effort to focus on the group’s core sectors, namely logistics, product distribution, automotive retailing and financial services.

The Logistics unit posted an operating profit of R1.6-billion – an 11% rise on the R1.5-billion reported the year before, while its operating margin reached 5%.

The Automotive and Retail cluster reported an operating profit of R3.6-billion for the year under review, compared with R3.4-billion in 2012, while the Financial Services pillar achieved a 6% increase in operating profit to R945-million in 2013.

The full-year contribution of Lehnkering and a six-month contribution from RTT Health Sciences, now Imperial Health Sciences, boosted the company’s performance.

The group’s share price on the JSE increased 3.5% to R210.32 apiece on Tuesday afternoon.

Edited by Chanel de Bruyn
Creamer Media Online Managing Editor

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