Barloworld shows resilience

Barloworld has produced a “resilient result” in the year to the end of September, despite tough trading conditions, especially in SA.

The operating performance of its main Southern Africa equipment division “significantly improved” in the year following a rebound in mining and infrastructure demand.

The internationally diversified Caterpillar dealer will report its Equipment Iberia business in Spain and Portugal as a discontinued operation with assets and liabilities held for sale.

“Activity in the discontinued Equipment Iberia operations remained at low levels, with an operating loss, mainly as a result of restructuring costs,” the group said on Monday.

“Our joint venture in the Katanga province of the Democratic Republic of Congo generated a strongly improved result, driven by improved commodity prices and following the resumption of mining activity by one of our major mining customers,” it said.

Barloworld said revenue of its Russia equipment division was up significantly in dollar terms, driven by improved mining and after-sales activity.

The automotive and logistics division produced “pleasing results despite challenging market conditions”. Revenue and operating profit exceeded 2016 levels, Barloworld said.