Afrimat: Earnings set to rise by up to 45%

Increased sales volumes and strong profit generation in Afrimat’s businesses are expected to boost the black-empowered mining company’s headline earnings by up to 45 percent when it reports its results for the six months to August. Afrimat specialises in open cast mining and industrial minerals, and it also beneficiates mined products. Headline earnings were expected to increase by between 35 percent and 45 percent from a year ago, it said in a trading statement yesterday. Headline earnings a share and earnings a share would increase by the same amount, it said. The results would include the performance of Infrasors Holdings, in which Afrimat increased its stake earlier this year. Afrimat said Infrasors had boosted the performance of its industrial minerals operation after its turnaround, which had progressed as planned. Afrimat said its mining and aggregates business generated excellent profits and concrete-based products recorded a satisfactory increase in sales volumes and sales prices. Only the strikes at the Gauteng operations and rising input costs dampened profitability. Afrimat shares rose 5.93 percent to close at R12.01. – Londiwe Buthelezi