Adds element, background, quote JOHANNESBURG, Dec 11 (Reute
Adds element, background, quote
JOHANNESBURG, Dec 11 (Reuters) – South African sugar producer Tongaat Hulett TONJ.J stated on Friday interim earnings loss narrowed as its turnaround technique paid off whereas robust performances from all its sugar operations helped enhance money technology.
Tongaat narrowed its headline loss per share for persevering with operations for the six months ended Sept. 30 to four cents per share from 383 cents final 12 months.
“The restructuring and reinvigoration of our group over the previous two years has permitted us to thrive on this difficult setting, supported by a leaner, fit-for-purpose platform from which to climate the storm,” Tongaat stated.
The agriculture and agri-processing firm has offered belongings, minimize jobs and sought an fairness elevate to spice up money circulation amid excessive debt ranges.
The monetary impression of COVID-19 pandemic on sugar operations was restricted, Tongaat stated, including that uncertainty will nonetheless linger over the second half of the 12 months.
Money generated from operations in the course of the interval surged to 1.three billion rand ($86.54 million) from an outflow of 615 million rand within the year-ago interval, whereas group income rose 37% to eight.2 billion rand.
Improved money technology and asset gross sales have additionally helped the agency cut back its debt with web borrowings on the finish of the interval down 1.038 billion rand to 10.898 billion rand.
Tongaat on Wednesday finalised the ultimate sale quantity of round 5.260 billion rand of its starch enterprise to a subsidiary of Barloworld BAWJ.J.
The corporate stated it will proceed to overview its capital construction because it appears to realize its remaining debt discount milestones.
($1 = 15.0219 rand)
(Reporting by Tanisha Heiberg; Enhancing by Sam Holmes and Sherry Jacob-Phillips)
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