Publications
Partners
Johannesburg - Eqstra Holdings [JSE:EQS] has reported an 18%
rise in headline earnings per share from continuing operations to 36.8 cents
for the six months ended December 2011.
In line with the group's dividend policy, the board will
consider an annual dividend declaration at the financial year-end.
Eqstra's core business is the distribution, long-term lease
and rental of mobile capital equipment and the provision of related value-added
annuity services to clients in the construction, mining, industrial and
commercial sectors in SA, Africa, the UK and Ireland.
Revenue increased 11.2% to R4.022bn, operating profit rose 12.6% to R455m, while profit before taxation surged 45.3% to R263m.
The company said it had grown earnings in an environment
characterised by continued economic uncertainty and a challenging climate for
industrial relations.
Contract mining and plant rental's Benga project in
Mozambique continued to deliver good results; however, the division was
negatively impacted by industrial action in the domestic market and an
underperforming contract.
Construction and mining equipment distributorships' performance was below expectations due to lumpy mining sector demand and weak
demand from the construction industry.
Passenger and commercial vehicles delivered another pleasing
operating performance underpinned by annuity contracts, value-added services
and the resumption of leasing asset growth. Industrial equipment performed well
despite a strong yen.
United Kingdom forklift operations delivered a good
performance, with increased market share in a difficult market.
Looking ahead, the group said with its robust balance sheet, leading market positions and strong cash generation it is well positioned to sustain earnings, despite growth concerns in the global economy.
