Imperial logistics SENS statement:
Unaudited interim results for the six-months ended 31 December 2020 and interim dividend declaration
- Revenue* up 15% to R26 360m (H1 F2020: R22 955m)
- EBITDA* down 2% to R2 551m (H1 F2020: R2 594m)
- Operating profit* down 18% to R1 201m (H1 F2020: R1 463m)
- Total HEPS down 3% to 185 cents per share
- Total EPS up 96% to 437 cents per share
- Continuing core EPS** down 39% to 235 cents per share
- Strong free cash inflow from continuing operations excluding CPG of R671m (H1 F2020: R54m outflow)
- Continuing free cash conversion of 90% (H1 F2020: 76%)
- Net debt:EBITDA of 1.8x (H1 F2020: 2.0) ‐ well within banking covenants of 3.25x
- Interim cash dividend of 83 cps declared (H1 F2020: 167 cents)
- Concluded disposal of the European shipping business for proceeds of R3,440m
* Excludes the discontinued European shipping business in the current and prior period, and CPG in the prior period.
** Headline earnings are adjusted by items that are not considered to be of a trading nature to arrive at core EPS. Core EPS is not an IFRS requirement and a reconciliation with EPS and HEPS is included in the full financial results booklet available on the company’s website.
Imperial is an African focused provider of integrated market access and logistics solutions, with a focus on the following key industries ‐ healthcare, consumer, automotive, chemicals, industrial and commodities. We take our clients and principals’ products to some of the fastest growing and most challenging markets in the world. Ranked among the top 30 global logistics providers and listed on the JSE in South Africa, we seek out and leverage new technology to deliver innovative, end‐to‐end solutions. Through our significant African footprint and international expertise, and with the support of our 25 000 people, Imperial’s purpose is connecting Africa and the world ‐ and improving people’s lives with access to quality products and services.
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Business overview
Market Access ‐ in which close to 100% of revenue is generated in Africa ‐ is integral to our ‘Gateway to Africa’ and ‘One Imperial’ strategy. Our market access solutions see us taking ownership of inventory and responsibility for the full order‐to‐cash function. We build complex route‐to‐market solutions that provide our principals with access to patients and consumers through comprehensive channel strategies that integrate sourcing, sales, distribution and marketing. Our solutions also create opportunities to leverage our freight and contract logistics capabilities. Through our operations in mainly East, West and Southern Africa, we are able to provide market access and logistics services in more than 20 countries on the African continent. Our activities currently focus on two key, defensive industries ‐ healthcare and consumer.
- Revenue up 35% to R7.4bn
- Operating profit down 17% to R422m
- Operating margin 5.7% (H1 F2020: 9.2%)
- 28% group revenue
- 34% group operating profit
- ROIC of 11.3% versus WACC of 11.9%
