Afrimat posts rare slowdown in first-half earnings growth
The company says the many public holidays in April and the Cabinet reshuffle in which Pravin Gordhan was axed as finance minister affected business confidence
Minerals and construction materials supplier Afrimat on Thursday reported a rare slowdown in its first-half earnings growth, affected by the weaker macroeconomic environment in SA.The company said the unusually low number of trading days during April and a Cabinet reshuffle in which Pravin Gordhan was axed as finance minister affected business confidence.As a result, headline earnings per share (HEPS) rose just 7.4% to 102.2c in the six months to August, from the year-earlier period.Mineral producing operations across the country and the traditional aggregates businesses were the main contributors to the financial performance.Interim dividend was kept steady at 20c per share.Revenue was up 2.7% to R1.2bn, with the aggregates and industrial minerals segment contributing 69.2% of the total and concrete-based products 28.3%. The commodities contributed 2.5%.Afrimat recently acquired the other 40% of iron ore miner Diro, which gave it full ownership of the miner.
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