The company said on Thursday that it had recorded net profit of R270 million for the period under review, an increase of R74 million on the previous year.
Group chief executive Riaz Saloojee said exports now accounted for 52 percent of total revenue. He said relationships with foreign clients were stable, with long-term partnerships in place on key projects such as the supply of turrets for infantry combat vehicles, the development of a fifth generation air-to-air missile and the contract to manufacture advanced aerostructures for the Airbus A400M airlifter.
Denel had invested R65 million in training and skills development in a bid to produce the next generation of highly skilled engineers, artisans and technicians. Saloojee explained: “Our schools outreach programme, which provides maths and science tuition to learners in historically disadvantaged areas, feeds directly into the national skills development programme and this is further complemented by our bursaries and internship programmes, which we offer to deserving students.”
Saloojee added that the company was “emerging as a leader in transformation” within the defence sector, particularly with regards to employee representation. A focus on transformation at the company meant that 87 percent of new appointments were from African, Coloured and Indian communities.
The company was spending 70 percent of its supply chain budget with local suppliers, with 22 percent allocated to black-owned companies. Saloojee added that support for companies owned by black females had grown exponentially, with their share of the budget increasing from 2.8 percent to 8.1 percent.