ANNUAL OUTLOOK
Weak conditions dent M&R earnings
The group’s earnings have also been under pressure from delays in four building projects in the Middle East
Weak trading conditions and low energy prices have put a dent in Murray & Roberts’ earnings, with the group warning that its diluted headline and diluted earnings per share would have fallen significantly in the year to June. The group’s earnings have also been under pressure from delays in four building projects in the Middle East, scheduled to be completed in the 2018 financial year. The firm took a strategic decision to exit the civil engineering and building market and to sell its infrastructure and building businesses. As this sale excluded the building business in the Middle East, the board of directors decided to close this business. In terms of International Financial Reporting Standards rules, the business in the Middle East is to be abandoned and is not yet a discontinued operation. Therefore, the financial results would be reported as continuing operations for the year to June. "As the business in the Middle East recorded a substantial loss of about R570m for the year und...
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.