Modern Quarrying Q4 2019

INDUSTRY NEWS

Afrimat’s record interim results thanks to diversification Afrimat, a leading open-pit mining com- pany providing industrial minerals, bulk commodities and construction mate- rials, recently reported a record set of interim results for the six months ended 31 August 2019, with revenue increasing by 19,9% to R1,7-billion. Headline earnings per share performance achieved.” He added that the group’s operating units are all strategically positioned to deliver excellent service to customers, and act as an efficient hedge against volatile local business conditions. “Our product range is well diversified to

include aggregates and concrete-based products as construction materials and limestone, dolomite and silica as indus- trial minerals as well as iron ore as bulk commodities.” After the slowdown experienced in the Construction Materials segment during the prior period, the segment experi- enced a marginal recovery, with revenue and operating profit increasing by 6,1% and 6,5%, respectively. The operating profit margin remained flat at 13,2% for the period. At a regionalised level, the KwaZulu- Natal business reported improved results following a successful restructuring pro- cess in the prior year, while the Western

increased by 94,3% from 93,6 cents to 181,9 cents, mainly due to an improve- ment across all three business seg- ments, and an excellent performance by the Bulk Commodities segment. The operating profit margin increased from 14,1% to 18,5%. Afrimat’s CEO, Andries van Heerden, says the group continues to deliver exceptional results supported by its diversification strategy, as well as cost reduction and efficiency improvement initiatives. “The improved earnings gen- erated by all three operating segments contributed to these record results, and we are extremely pleased with the

Cape aggregates business continued to deliver solid results. “The Mozambique business continued to supply construc- tion materials to smaller projects in the north of the country, in anticipation of the major LNG project. The Gauteng busi- ness is, however, still feeling the effect of the slowdown in the economy.” l Andries van Heerden, CEO of Afrimat.

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QUARTER 4 - 2019 MODERN QUARRYING