‘Proudly SA’ Bidvest is having a hard time in its home market
Emfuleni municipality does not appear to be a typical Bidvest customer, judging from the diversified group’s 9% revenue growth. But a 20% decline in net profit indicates the strain the group — whose motto is "Proudly Bidvest and proudly South African" — faces in its home market.Bidvest’s results statement did not name the municipality whose vehicles it recently repossessed, but did mention its financial services division suffered from "fleet contract roll-off" and "the termination of a major short-term rental contract". The group’s overall revenue grew 9% to R76bn in the year to end-June, its results statement released on Monday morning said.Net profit declined to 20% to R3.9bn, though headline earnings per share (HEPS) grew 11% to R12.32 from R11.08.Bidvest declared a final dividend of R3.01, taking the total for its 2018 financial year to R5.56, representing 13% growth from the prior year’s R4.91.The group’s automotive division, which houses the McCarthy chain of vehicle dealershi...
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