The international brands distributor saw revenue increase from 58.5 billion rand for the 2012 period to 65.1 billion rand in 2013.
“The group performed strongly in the current financial year. The equipment results were boosted by the recent acquisitions of the Bucyrus distribution businesses in Southern Africa and Russia which performed ahead of expectation, despite facing a difficult external environment as global mining companies reduced capital expenditure,” said [DATA BAW:Barloworld Limited] chief executive Clive Thomson.
“The automotive and logistics division delivered a strong result with all business units performing well ahead of the prior year. We continued our strategy of allocating capital to higher returning businesses and were successful in concluding a number of important acquisitions and disposals in the period. These will position us well for the future and we expect to make further progress in the year ahead.”
Operating profit rose 18 per cent from 2.9 billion rand in 2012 to 3.5 billion rand in 2013 and profit before exceptional items increased by 20 per cent from 2.1 billion rand to 2.5 billion rand.
Profit before taxation was up from 2.3 billion rand in 2012 to 2.4 billion rand in 2013 and cash generated from operations was at 4.2 billion rand.
Headline earnings per share increased by 26 per cent to 860 cents and diluted earnings per share increased from 734.5 cents in 2012 to 798.3 cents in 2013.
“Recent IMF forecasts for economic growth in sub-Saharan Africa project increased growth in GDP from five per cent in 2013 to six per cent in 2014. Following the wave of strike actions in South Africa in both the mining and the vehicle manufacturing sectors, economic growth in the current year is now forecast at approximately two per cent but expected to rise to 2.8 per cent next year,” said Thomson.
“The outlook for infrastructure and construction in Southern Africa is showing renewed optimism driven by proposed projects in transportation infrastructure, power and mining. Overall, the various strategic initiatives undertaken together with our focus on achieving ongoing operational efficiencies should ensure further progress in 2014.”