This as it launches its financial results for 2015/16. 

Group Chief Executive Francois Strydom says they managed to increase turnover by 5,4% to R9,2 billion but that profit after tax is down 36,8% compared to the previous year. However, he says there is still good cash flow.

“We’ve had excellent cash generation – over R500 million of cash was generated from our operating activities – which facilitates the payment of dividends and interest and a net positive to finance the new year.

“We also managed to renew our new financial year’s financing from our own financiers. That has also been increased.”

He says the year ahead is also expected to be tough, with the company taking a client-focused approach. Strydom says it is important for them as a business to facilitate the restructuring of client debt to ensure producers stay on their farms and are able to produce in the new season.

According to a statement, the normalised headline earnings came in at 79,3 cents/share (175,2 cents/share - 2014/15).

The board of directors declared a final dividend of 20 cents per share (2015 - 26 cents) for the financial year that ended 30 April 2016, subject to the approval of shareholders at the annual general meeting.

Key Financial Ratios:
•    Diluted normalised headline earnings is 74 cents, (164 cents last year).
•    Earnings per share is 90,6 cents.
•    Return on opening equity of 8,5%.
•    An increase in net asset value of 48,7 cents per share.
•    Dividend yield of 3,9% on opening market price, which represents a dividend of 45 cents per share.

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