BDlive Staff Writer, November 20 2013, 13:31
SEPHAKU Holdings’ share price was up 1.4% in early trade on Wednesday after the construction materials group reported a return to profitability for its six months ended September.
CEO Lelau Mohuba said the positive performance was due to the group’s acquisition of Metier Mixed Concrete.
Sephaku achieved revenue of R301.6m — from no revenue for the comparative period in 2012. The comparative interim period is the six months ended December 2012, due to a change in the group’s financial year-end.
Mr Mohuba said Metier was “set to expand its market share in the lucrative Gauteng province in the next 12 to 18 months”.
Meanwhile, “significant” construction progress at Sephaku’s associate company Sephaku Cement’s plants “has firmly positioned the company as a new entrant into the cement manufacturing industry in South Africa since 1934”.
Sephaku reported operating profit of R33.8m compared with the operating loss of R10.1m previously.
The group said construction at the integrated cement manufacturing plant Aganang, close to Lichtenburg, was well advanced with initial production targeted for the second quarter of the 2014 calendar year.
Cement production at Delmas was targeted for January 2014.