Imperial raises dividend almost a quarter
Logistics group’s interim dividend up 23.7% in half-year to end-December
Global transport group Imperial Logistics upped its interim dividend to-end December by almost a quarter, reporting that new contracts and cost cutting offset SA’s weak economy.
The group said its contract renewal rates across divisions was about 80%, saying it had an encouraging pipeline of new business.
Imperial upped its interim dividend 23.7% to 167c, with group pretax profit rising 14% to R1.15bn.
It said its SA business was under pressure from high levels of competition in a low-growth environment, though this was supported by new contracts and the retention of consumer packaged goods contracts that were operating under more viable commercial terms.
Imperial said market conditions were volatile and it expects single-digit revenue growth from continuing operations for its full year to end-June. It expects low-digit operating profit growth, but said its balance sheet remained sound, and could facilitate acquisitions.