Barloworld operating profits up

Barloworld a distributor of leading international brands providing integrated rental, fleet management, product support and logistics solutions, reports operating profit of R4,135 million for the year to the end of September - 4% up on last time.

Revenue rose by 6% to R66.5 billion and profit before non-operating and capital items increased by 14% to R2,693 million.

Headline earnings per share were up 3% to 838 cents while headline earnings per share (excluding B-BBEE charge) fell 9% to 838 cents.

Chief executive Clive Thomson said: "The group's industry and geographic diversity has continued to provide resilience to the overall trading result. Equipment southern Africa was impacted by a fourth consecutive year of declining capital expenditure in the mining sector, however our Russian equipment business produced an excellent performance and Spain was profitable despite the uncertainty created by two inconclusive general election results.

"Automotive achieved a record year in a challenging market environment and the recent acquisitions delivered in line with expectations. Operating profit growth in Logistics was robust as a result of contract awards and expansion into new business segments.

"All our businesses have a clear strategic focus and strong market positions. As a result of positive cash generation the group's balance sheet is strong and we are well placed to capitalise on organic and acquisitive growth opportunities as they arise. We have the right leadership in place in all of our businesses and expect 2017 to be another year of solid progress for the group."