Share

Aveng profit hit by industry slump

Johannesburg - South Africa's biggest construction group Aveng [JSE:AEG] reported a 58% decline in full-year earnings on Wednesday, reflecting an industry-wide slump at home and write-downs on contracts.

Aveng said diluted headline earnings per share totalled 119.8 cents in the end-June compared with 286.6 cents a year earlier.

South African construction firms avoided the 2008 global building slump thanks to the construction boom in the run-up to the 2010 soccer World Cup.

But they are now struggling to replenish their order books as the South African government delays rolling out its nearly R1 trillion infrastructure investment package.

Aveng said its two-year order book rose by 27% to R47bn in the past 12 months, underpinned by strong demand from mining and energy sectors in Australia.

The group said it was awarded two renewable energy contracts - a 75MW solar project and a 138MW wind plant - in the second submission round.


* Follow Fin24 on Facebook, Twitter and Google+.


We live in a world where facts and fiction get blurred
Who we choose to trust can have a profound impact on our lives. Join thousands of devoted South Africans who look to News24 to bring them news they can trust every day. As we celebrate 25 years, become a News24 subscriber as we strive to keep you informed, inspired and empowered.
Join News24 today
heading
description
username
Show Comments ()
Rand - Dollar
19.06
-0.8%
Rand - Pound
24.04
-0.6%
Rand - Euro
20.55
-0.4%
Rand - Aus dollar
12.37
-0.2%
Rand - Yen
0.13
-0.8%
Platinum
901.20
+0.5%
Palladium
997.97
-0.4%
Gold
2,200.01
+0.2%
Silver
24.52
-0.5%
Brent Crude
86.09
-0.2%
Top 40
68,001
+0.5%
All Share
74,204
+0.4%
Resource 10
56,476
+1.5%
Industrial 25
103,644
+0.4%
Financial 15
16,491
-0.2%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders