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WBHO hit by earnings dive

Sep 05 2011 14:43 I-Net Bridge

Company Data

Wilson Bayly Hlm-ovc Ord [JSE : WBO]

Last traded R126.50
Change R2.26
% Change 1.82%
Cumulative volume 52,763
Market cap R8.35bn

Last Updated: 25/05/2012 at 19:32. Prices are delayed by 15 minutes. Source: McGregor BFA

 

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Johannesburg - Civil engineering and construction contractors Wilson Bayly Holmes-Ovcon [JSE:WBO] on Monday reported a 20.1% decline in diluted headline earnings per share to 1 402.4 cents for the year ended June 2011 from 1 754.4c a year ago.

Revenue decreased 2.9% to R14.8bn while operating profit before non-trading items declined 14.5% to R1.09bn, reflecting the decline in available work and consequential margin pressures.

"Despite such margin pressures the group has maintained a satisfactory margin of 7.4%, firstly through the finalisation of some major contracts and secondly through effective cost management within the operating divisions," it said.

Earnings per share fell by 23.6% to 1 340c, impacted predominantly by the decrease in operating profits, through impairments of goodwill and loans and a 19.6% drop in investment income.

A final dividend of 220c/share was declared, for a total dividend of 330c, unchanged from last year.

The company said the results were "commendable", considering the particularly tough market conditions experienced over the last 18 months.

 
 
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