ANNUAL RESULTS
Verimark confident direct selling here to stay
While infomercials and call lines seem to have mostly been relegated to the past, profitable opportunities remain in direct selling using new channels such as physical stores and e-commerce, say Verimark CEO Michael van Straaten. After a dismal showing last year, the company reported a 200% jump in full-year headline earnings on Tuesday to R25.9m. Pleased investors helped drive the price of the little-traded share up more than 20%. “We’ve been in this game for over 40 years and we have had to adapt, innovate and grow in that time. Direct selling is far from dead. We are ahead of the curve as we have a great team and we have the benefit of experience behind us,” he said. Verimark, which has been listed on the JSE since 2005, has produced some hit-and-miss results. While the share price is up 82% over the past two years, this is far off from the retailer’s record high of R4.20 reached on April 11 2006. The shares now trade at about 89c. Van Straaten said there were still benefits to s...
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