JOHANNESBURG - JSE-listed diversified group Grindrod said yesterday that it expected to post losses amounting to millions for the six months to June due to the closure of its rail-assembly businesses, when it posts its results next week.
The group said in a trading statement the closure of the rail-assembly businesses held for sale, resulted in losses and impairments of R255m and consequently a headline loss for the period under review.
Shareholders were advised that Grindrod expects the loss for the six months ending June 30 to be between R97m and R77m, which was an improvement of between 91% and 93% compared to the prior year's comparative period loss of R1.1bn.
“Headline loss for the period is expected to be between R139m and R119m, which is an improvement of between 64% and 69%, compared to the prior year's comparative period headline loss of R381m,” the group said.
Despite the expected losses, the group said that its ports and terminals division recorded satisfactory profits in the period, while its shipping division recovered to above cash-breakeven, following a strengthening of dry bulk-shipping rates. The company said its banking division continued to grow its profitability.
- BUSINESS REPORT