October is transport month, and we are taking a look at the conditions that the motor retail industry is operating under. Lock-down measures have had a devastating effect on the value chain, with the impact on dealerships particularly significant. Joining CNBC Africa to unpack the future of the motor retail industry is Marcia Mayaba, CEO of Motor Retail at Barloworld.
Logistics and automotive group Barloworld has reported that it will be retrenching staff due to its cost saving and containment initiatives. Staff will be cut by 20 to 25 per cent as well as salary cuts amid a reduction in demand, volatile commodity prices and a disruption in supply chains. The group reported an interim revenue decrease of 12.2 per cent and operating profit decrease of 28 per cent. Barloworld CEO, Dominic Sewela joins CNBC Africa for more.
Tongaat Hulett’s race to cut its debt by R8.1 billion in 2021 may have hit a stumbling block. The shares of the embattled sugar producer tanked 15 per cent today after it said the R5.3 billion sale of its starch business to Barloworld had reached a stalemate over differences on how Covid19 may impact future profits. The proceeds from the sale of the business were earmarked to lower Tongaat’s debt, which significantly exceeds it market value. Tongaat CEO, Gavin Hudson joins CNBC Africa for more.
Joining CNBC Africa for a look at the local markets is Makwe Masilela, Chief Investment Officer, Makwe Fund Managers.
In a bid to save costs in a tough economic and trading environment, Barloworld, a logistics and fleet management group has announced that it will merge its automotive and logistics business. The company has witnessed difficult operating conditions with its headline earnings per share falling 7.7 per cent to 1100 cents. Barloworld CEO, Dominic Sewela joins CNBC Africa for more.
Barloworld has selected 30 candidates for its Barloworld Mbewu programme. The programme aims to partner with social enterprises with the goal of scaling up social value creation. Noluvo Ngcwabe, Head of Corporate Social Investments and Stakeholder Management at Barloworld joins CNBC Africa for more on the selection process.
Barloworld’s Khula Sizwe Property Holdings offer has closed. The offer, which aimed to attract investors from the Black public was oversubscribed, with over 50 000 applications received. The R164 million funding target was raised. Tantaswa Fubu, Barloworld’s Group Executive for Human Capital joins CNBC Africa for more.
Barloworld has delivered a moderate set of interim results. The logistics and automotive company saw growth in their Southern African equipment business with revenue up 15.7 per cent to R10 billion on the prior period, but were weighed down by instability in their Russian operations and a growth in net debt. CEO Dominic Sewela spoke to CNBC Africa’s Kopano Gumbi.
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