CA Sales expansion continues
CA Sales continues with its expansion plans across the southern Africa region by growing its client and customer networks despite economic uncertainties brought by Covid- 19.
In its year ended December 2021, the group profit after tax increased by 23.1 percent to R284 million. Commenting on the published results, CA & S Group Chief Executive Officer, Duncan Lewis said the group results for the year ending 31 December 2021, have been exceptional despite another year of COVID- 19 related trading restrictions.
He said the group will continue its expansion, where feasible, by growing its client and customer networks and making value- adding acquisitions.
“The lingering impact of COVID- 19 on the economic environment is still uncertain. However, the group is well positioned with a strong balance sheet and a diverse geographical presence across southern Africa.” CA& S Group operates in nine Southern African countries including Botswana, Eswatini, Namibia, South Africa, Lesotho, Mauritius, Mozambique, Zambia and Zimbabwe.
Botswana operations which is the major contributor to revenue, recorded marginal revenue decline of 1.5 percent compared to R4,6 billion in the prior year.
Lewis said the group’s diversified portfolio should continue to enable it to deliver sustainable results for the foreseeable future. The group revenue increased by 1.2 percent to over R8 billion despite trading restrictions and supply constraints, triggered by uncertainty during the pandemic. Gross profit increased by 4.8 percent on the prior year to R1.1 billion while net profit after taxation, increased on the prior year aided by continual focus on operational efficiency. Headline earnings of R271.6 million grew by 17.1 percent compared to R232 million recorded in the prior year.
The group had an impairment of goodwill to the value of R7.5 million, relating to the investment in Expo Africa Group and Promexs Limited. “The Expo Africa Group has been making losses for the past two years and a decision was made to close the business.” Said Lewis.
Promexs is operating in Zambia, where the currency devaluation has negatively impacted on the company’s results, compared to expectation.
The group increased its shareholding in Pack ‘ n Stack Investment Holdings ( Pty) Ltd and Logico Unlimited.