reviewed interim results - transnet results 2019/transnet interim...presentation: transnet port...
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Reviewed interim results 1
Revenue increased by 2,9% to R38,7 billion for the year, supported by a 3,0% increase
in export iron ore volumes and a 1,6% increase in petroleum volumes.
Net operating expenses
increased by 1,2% to R21,2 billion.
EBITDA increased by 5,1%
to R17,5 billion, with the EBITDA
margin increasing from 44,3% to 45,2%.
Performance highlights
Profit for the period increased by 3,5%
to R2,9 billion.
Gearing of 43,2% and cash interest cover at 3,0 times were both comfortably within loan
covenant requirements.Cash generated from operations after
working capital changes increased by 5,3% to R16,2 billion. Capital investment of R7,9 billion for
the period.
B-BBEE spend amounted to R14,7 billion or 102,48% of total measured procurement spend.
2,5% of labour costs was spent on training, focusing on artisans,
engineers and technicians.
DIFR performance was 0,72 against a tolerance of 0,75, below the
global benchmark of 1,0.
5,1%
3,5%
Transnet Port Terminals owns and operates 16 cargo terminal operations situated at seven South African ports. It provides cargo-handling services for the container, bulk, automotive and break-bulk sectors.
Transnet Pipelines transports a range of petroleum products and gas through 3 800 kilometres of underground pipelines, which traverse five provinces, thereby ensuring the security of supply of petroleum products to the inland market, especially Gauteng. Transnet Pipelines is gearing itself for full commissioning of the New Multi-Product Pipeline.
Transnet is wholly owned by the Government of the Republic of South Africa. The Company is uniquely positioned to provide integrated, seamless transport solutions for its customers in the bulk and manufacturing sectors. This is part of its drive to improve the efficiency and competitiveness of the South African economy.
Transnet has five operating divisions:
Transnet Freight Rail transports bulk and containerised freight along 30 400 kilometres of railway track with two heavy haul lines for export coal and export iron ore.
Transnet Engineering manufactures and maintains rolling stock. It consists of eight product-focused business units which provide services ranging from rolling stock refurbishment, conversion and upgrades, to the manufacturing of locomotives, coaches and wagons.
Transnet National Ports Authority is responsible for the safe, efficient and effective functioning of the national ports system, which it manages in a landlord capacity. Transnet National Ports Authority is also a provider of port infrastructure and marine services at all commercial ports in South Africa.
Specialist unitsTransnet Group Capital manages Transnet’s largest capital projects.
Transnet Foundation is responsible for executing corporate social investment initiatives.
Transnet Property manages the Company’s property portfolio.
About Transnet
Reviewed interim results 15
Corporate information
Transnet SOC LtdIncorporated in the Republic of South Africa.Registration number 1990/000900/30.
Waterfall Business Estate9 Country Estate DriveMidrand1662
Executive directorsMr MS Mahomedy (Acting Group Chief Executive)Mr MD Gregg-Macdonald (Acting Group Chief Financial Officer)
Non-executive directorsDr PS Molefe (Chairperson) Ms UN Fikelepi, Ms RJ Ganda, Ms DC Matshoga, Mr LL von Zeuner, Ms ME Letlape, Adv OM Motaung, Ms GT Ramphaka, Mr AP Ramabulana, Dr FS Mufamadi.
Acting Group Company SecretaryMs K NaickerWaterfall Business Estate9 Country Estate DriveMidrand1662
PO Box 72501Parkview2122South Africa
Independent auditorsSizweNtsalubaGobodo Grant Thornton Inc.20 Morris Street EastWoodmeadJohannesburg2191
www.transnet.net
Reviewed interim results