POOR RESULTS
Solid order book gives hope to Basil Read
CEO Mapasa expects the company would return to profitability in its 2018 financial year
Construction group Basil Read would survive for the foreseeable future, thanks to a strong order book containing two years’ work as well as attractive funding options, said acting CEO Khathutshelo Mapasa. He said the company would return to profitability in its 2018 financial year, despite market concern about its ability to fund its survival. Basil Read released a torrid set of results for the six months to June, reporting a headline loss per share of 295.16c, from earnings per share of 53.39c for the period a year earlier. The loss per share amounted to 360.9c, compared with earnings per share of 55.08c. A taxed loss of R474.1m reflected a tax expense of R21.2m, which was incurred mainly from profit generated in subsidiaries abroad. Turnover fell 8.7%, to R2.3bn, from R2.5bn as a result of eliminating unprofitable businesses. Basil Read’s share price fell as low as 78c in recent months, with a R105m market cap. Mapasa said the firm was planning a rights offer to raise R200m to R30...
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