Property sale gives AECI 45% boost

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AECI said on Tuesday that the sale of excess property in Somerset West, near Cape Town, had lifted headline earnings per share by 45 percent in the six months to June.

Headline earnings per share came in at 565 cents, up from 390 cents, with the property sale contributing 230 cents. This sale, to the City of Cape Town for R400 million in cash, was completed in June.

The explosives and specialty chemicals group said revenue for the period had increased by 8 percent, from R7 987 million to to R8 629 million, with 36 percent of this generated outside South Africa, reflecting progress in the group’s strategy to diversify geographically. The weak rand exchange rate also contributed to this increase.

Profit from operations was R991 million, 22 percent higher than the R814 million achieved in the prior corresponding period. The board declared an interim cash dividend of 125 cents per ordinary share, a 9 percent increase on the 115 cents paid last time.

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