South Africa’s state-owned ports and rail operator Transnet SOC Ltd. experienced an increase in earnings and revenues for the year ending March 31, 2016, as container and automotive volumes rose.
Transnet SOC Ltd., South Africa’s state-owned ports and rail operator, said full-year earnings and revenue climbed as container and automotive volumes rose.
Earnings before interest, taxes, depreciation and amortization gained 2.6 percent to 26.3 billion rand ($1.7 billion) in the 12 months through March, the Johannesburg-based company said in a presentation handed to reporters in the city on Monday. Revenue increased 1.7 percent, boosted by petroleum volumes.
Transnet is seeking to increase the level of consumer and manufactured goods transportation on its rail lines and considering entering new businesses including warehousing, as it seeks to reduce a reliance on transporting coal and iron ore, CEO Siyabonga Gama said in an interview last month. Prices for Transnet’s two main export commodities dropped by more than 20 percent in both 2014 and 2015.
South Africa is the world’s biggest manganese producer and the continent’s largest source of iron ore and coal. Iron-ore export volumes dropped to 58 million tons from 59.7 million tons, while coal declined about 6 percent to 72.1 million tons.
Transnet has delayed a planned expansion of its iron-ore line capacity and said in November it extended its capital-expenditure program to be as much as 380 billion rand over 10 years, compared with an earlier plan of 336 billion rand over seven years.
Transnet sees full-year earnings, revenues increase
