Pinnacle earnings rise 45%, dividend up
Johannesburg - ICT company Pinnacle Technology Holdings [JSE:PNC] on Friday reported a 45% rise in headline earnings per share to 117.7
cents for the year ended June 2011 from 81.3c a year ago. Earnings per share
were up 58% to 121c.
The board has proposed a dividend of 23c/share, up from
Revenue was 57% higher at R4.96bn, of which 24% came from
organic growth in the existing group and 33% due to the acquisition and
incorporation of the Axiz Technology Group and Centrafin.
The results were achieved despite the impact on pricing of
the stronger rand, which averaged nearly 8% stronger in 2011 than in 2010.
The company said the current organic growth of 24% before
acquisitions is comparable to a 12% total turnover growth in 2010.
Earnings before interest, taxes, depreciation and
amortisation increased by 55% to R323m and net profit attributable to
shareholders increased 58% to R220m. Group net profit improved marginally from
4.4% to 4.5% of turnover.
Looking ahead, the group said market sentiment is mixed with
concerns emerging over the continuing inability of Europe to resolve debt
crises in Greece, Ireland and the Iberian Peninsula and the threat of a
double-dip recession in the US.
Global markets continued to recover at a restrained pace, as
Western governments drive their economies with stimulus packages. International
risk, however, remains finely balanced.
The key for the group remains growth while continuing to
focus on cost containment, it said.