Johannesburg - Jasco Electronics chief executive Pete da Silva was upbeat about the company’s future when he delivered Jasco’s interim results, with headline earnings per share (Heps) leaping 783 percent.
Heps rose to 574c per share in the six months to December, from 0.65c per share from the comparative period a year before.
Read: Cost management pays off for Jasco
Da Silva said despite tough market conditions, the company grew its order book by 24 percent and the company’s focus on cost cutting resulted in 6 percent cost savings..
“The South African economic and market conditions have deteriorated dramatically in recent months. The volatility of the rate of exchange has made trading more difficult, with the full impact not experienced yet. The recent interest rate hikes by the South African Reserve Bank will see a further tightening of growth in 2016,” said Da Silva.
Jasco, a JSE-listed integrated business solutions provider, said operating profit before interest and taxation jumped by 290 percent to R30.1 million, from R7.7m.
Overall, revenue rose 11.1 percent to R558.1m from R502.3m a year before. The 11.3 percent decrease in revenue by one of its previously under-performing business, Enterprise, did not spoil the results. Enterprise contributes 27 percent to the group’s revenue.
The three other divisions; Carrier, Intelligent Technologies and Electrical Manufacturers revenues increased as compared with the previous reporting period.
Jasco’s share price rose by 17.39 percent to 81 cents at the JSE close yesterday.
BUSINESS REPORT