Despite drop in interim profit, Rolfes share leaps as legacy issues get attention
Chemicals producer Rolfes’s share price jumped as much as 15.5% to R2.83 on Monday despite reporting a drop in interim profit. Rolfes maintained its interim dividend at 4c despite its net profit from continuing operations for the six months to end-December halving to R25.8m from R47.6m in the matching period. Its interim revenue declined 7.8% to R734m In October, chief financial officer Richard Buttle replaced Lizette Lynch as Rolfes’s CEO. Under the new CEO, legacy issues were resolved and group was well positioned for the future, the company said in the results statement. Rolfes had a poor first quarter due to inefficient working capital allocation, shipping delays and management focus being on rectifying accounting errors. "The second quarter showed significant improvement and represented a remarkable recovery underscoring the strength and sustainability of the various business units and their management," Rolfes said. Initiatives undertaken by Buttle included closing a loss-maki...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.