CARTRACK LIFTS INTERIM DIVIDEND BY 335 PERCENT

CARTRACK Holdings, a global provider of mobility solutions for asset management and asset recovery, lifted its interim dividend 335 percent to 87 cents per share in the half- year to August. This after it reported robust interim results despite the weak global economy, with headline earnings per share up 21 percent to 87.2c, while subscriber growth was robust, rising 13 percent to 1 175 173. The company, which operates in 23 countries and on five continents, and which designs, manufactures and sells its own hardware and software, reported a strong performance across all of its key growth metrics. Covid- 19 was expected to have less of an impact on the third and fourth quarters of the 2021 financial year, and new subscriber add- ons and subscription revenues were likely to experience solid growth compared with the first half. Revenue was up 16 percent to R1.1 billion in the interim period. The last two quarters of the period had seen the group’s best months of new subscriber additions. Operating profit increased 16 percent to R368 million. The South African segment delivered subscription revenue growth of 17 percent to R763m and subscriber growth of 13 percent. It reported

14 percent year- on- year growth in earnings before interest, tax, depreciation and amortisation ( Ebitda) of R386m. Asia Pacific was the second largest revenue contributor and the fastestgrowing segment, with subscription revenue up 33 percent to R140m and subscriber growth of 28 percent. Ebitda grew 66 percent R55m, and the Asia Pacific region presented the greatest medium- to long- term potential, the company said. The European segment delivered subscription revenue growth of 34 percent to R109m, subscriber growth of 11 percent and an Ebitda of R60m with growth of 43 percent. Cartrack continued to evaluate its strategy to expand into the rest of Europe. The subscriber base in Africa ( excluding South Africa) grew 2 percent, and subscription revenue for the period was flat at R54m. The region recorded an Ebitda of R23m, with growth of 6 percent, and remained a positive cash generator. |