Sentula Mining reports revenue drop - CNBC Africa

Sentula Mining reports revenue drop


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Diversified mining company, Sentula Mining reported a decrease in its interim revenue. PHOTO: Getty Images

The diversified mining company saw revenue decrease to 950 million rand for the six months ended 30 September 2013 from 1.1 billion rand for the same period in 2012.

“The stabilisation of the earnings from Sentula’s earthmoving entities has remained an area of key focus during the period under review. The initiatives embarked upon in these entities, along with the rightsizing of its exploration business, will position the company to benefit from the next commodity cycle upswing,” said  [DATA SNU:Sentula Mining Limited] chief executive Robin Berry.

“The restructuring of group debt and the progress made towards the disposal of the group’s coal assets has improved Sentula’s sustainability in the medium term.”

Sentula Mining also reported a loss before taxation of 42 million rand in 2013 from a profit of 67 million rand for the six months ended 30 September 2012.

Continuing operations saw a loss of 81 million rand for the 2013 period from a profit of 35 million rand in 2012. Headline earnings per share however rose 35 per cent from 8.5 cents in 2012 to 11.5 cents in 2013.    

“The group’s strategic intent remains one of providing a platform for growth by being recognised as a focused mining services provider, with the ability to contract across the African continent. Despite on-going volatility across the full spectrum of minerals sectors and the limited visibility of exploration work, in the short term, the group’s firm intention remains one of focusing on the value drivers in its diversified service business offerings,” said Berry.

“Sentulas exposure to the coal and energy sector, coupled with its diversified service offering, client base, mineral exposure and geographical spread should continue to provide a solid base for the development of the business into the future.”