It overcame some challenging conditions
JOHANNESBURG – JSE-listed investment holding and management company Invicta Holdings overcame some of the challenging conditions to report a strong surge in profits for the six months to end September.
The group was hit by a lack of infrastructure development in the country, the demise of numerous large local construction companies, a downturn in the Asian market and a drought in the agricultural sector.
This resulted in the Capital Equipment Group segment reporting a decline of 8 percent in revenue to R2.3 billion, while its operating profit before interest on capital equipment financing transactions and foreign exchange movements decreased by 21 percent to R148 million in the six months to end September.
Chief executive Arnold Goldstone said yesterday that a lack of liquidity and uncertainty in the agricultural sector resulted in a decline in demand for combine harvesters and higher kilowatt tractors. Despite the decline in volumes in every construction equipment sector, there is still activity in higher value, large equipment used in the mining sector,” Goldstone said.