FOODSERVICES
Trading margins help Bidcorp earnings climb 20%
The company stays focused on acquisitions and food services growth
Bid Corporation (Bidcorp) delivered "very pleasing" results for the half-year ended December 2016, after its unbundling from the Bidvest Group in May 2016. It says its focus remains on realising its potential in food services, as well as growth opportunities through acquisitions. It provided actual and pro forma comparative information for the period. The group had also started a global rebranding exercise to trade as "Bidfood". This would reinforce its image as "value-add food people", rather than logistics providers. Headline earnings per share climbed 20.3% as trading profit rose 15.7% to R2.8bn. Net debt was reduced by R2.6bn to R1.7bn from R4.3bn pro forma in financial 2016. Avior Capital Markets analyst Mark Hodgson said on Thursday Bidcorp had a "very strong earnings performance" that was far ahead of market expectations in spite of foreign exchange drag. He said the result was driven by improved trading margins, adding that Bidcorp was a "well-managed business with an except...
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