Innehållsförteckning för 2024-11-11 från Mercury

As the South African marketplace becomes increasingly cutthroat amid economic challenges, a concerning trend is emerging: companies are increasingly adopting unethical marketing practices to gain a competitive edge. Recent findings by the Advertising Regulatory Board (ARB), alongside court decisions, reveal a disconcerting rise in the imitation of established brands, along with a slew of misleading advertising tactics. ARB CEO Gail Schimmel told Business Report last week that the body was seeing a slight increase in complaints about imitation and exploitation of goodwill. This, she said, was partially due to more confidence in the board, but also a growing move towards unethical advertising in the marketplace. “There does seem to be an increase of this behaviour in the marketplace. The increase in the marketplace is partly due to an increase in…

Previous Trump administration was perceived as antagonistic to free trade agreements As the dust of political uncertainty settles around Donald Trump reclaiming the White House after the US election, investors and foreign policy and international trade analysts have said that South Africa stands at a unique crossroads with opportunities and challenges under the forthcoming US administration. Trump ran his entire campaign on implementing aggressive tariffs on imports, deregulation, and promised corporate tax cuts as well as a transactional approach to international relations. Rashaad Tayob, macro strategist and portfolio manager at Foord, said on Friday that there were serious trade implications for South Africa under the Trump presidency. “With 10% of South African exports going to the US, new tariffs could affect trade under the African Growth and Opportunity Act (Agoa),”…

Operating losses in Eastern Platinum (Eastplats) widened to $5.7 million (R105m) in the third quarter period to the end of September despite a decrease in finance costs and foreign exchange rate gains, although the company had a working capital deficit of $26.6m. The company, which has a secondary listing on the JSE, saw its operating loss widen for the period from $3.6m recorded in the 2023 comparative same period. Over the year to September 2024, Eastplats’ operating loss however lowered from $15.8m to $4.1m. This translated to Eastplats’ net loss attributable to equity shareholders of $3.4m for the period compared to a net income attributable to equity shareholders of $3.1m for the same period in 2023. “The decrease in Q3 2024 net income was largely attributable to lower chrome…

The National Energy Regulator of South Africa (Nersa) has initiated a public consultation process for Eskom’s proposed Retail Tariff Plan, introducing significant changes aimed at ensuring customers pay only for the electricity costs they incur. This move responds to the evolving landscape of the electricity supply industry and prioritises affordability, fairness, and transparency for all consumers. In a statement on Friday, Eskom Group executive for distribution Monde Bala emphasised the importance of broad stakeholder engagement. “The electricity supply industry is undergoing fundamental changes that will set the course for economic growth and prosperity in the years ahead,” Bala said. “It is therefore vital that as many stakeholders as possible engage with Nersa on the proposed changes to support the determination of tariffs that are as fair as possible for all…

Freddie Nyathela of the South African Roadies Association, who has been accused of unrelentingly attacking and publicly slandering the National Arts Council of South Africa and management on social media platforms, will not go to jail at this stage. The Gauteng High Court, Johannesburg, earlier ordered Nyathela’s incarceration for 60 days, as it was said that he had contravened an order that interdicted him from slandering the arts council on social media and other platforms. The arts council, in an urgent application, asked for his imprisonment, as it said he continued with his social media campaign. However, Nyathela has now filed an application for leave to appeal the order that committed him to prison for contempt of the previous court order. This placed the order committing him to jail on…

A company, Zoloscore Investments, owes the eThekwini Municipality millions of rand in unpaid fees for services. A report tabled before the council last week shows that Zoloscore has failed to pay the rates, services and costs incurred by the City to secure its damaged building. The revelations have triggered calls from councillors for the City to tighten its by-laws to ensure it has the means to hold developers to account. The report breaks down the debt owed to the City by this company into two parts. The first part relates to its building, which was damaged by fire and had to be demolished, while the second part pertains to the accounts for its municipal services. The report states that Zoloscore owns several sectional title units. “The building forming…

In a gripping afternoon at Stamford Bridge, Chelsea and Arsenal battled to a hard-fought 1-1 draw, complicating their pursuit of Premier League leaders Liverpool, who remain a daunting nine points ahead. The match, defined by fierce tackling and tactical acumen, was crucial for both sides as they sought to re-establish momentum in a challenging season. Arsenal broke the deadlock in the second half through the skilful Gabriel Martinelli, who finished a beautifully lifted ball from captain Martin Odegaard in the 60th minute. Odegaard’s return from injury proved pivotal for the Gunners, especially after a frustrating spell where they failed to find the net in their previous two outings. However, the Blues responded ten minutes later when substitute Enzo Fernandez orchestrated an equaliser. Setting up the lively Pedro Neto just outside…

The Foschini Group (TFG) saw markedly strengthened gross profits in the face of tough trading conditions in all territories in the six months to September 30 on the back of weak top-line growth. Things started to look up post the interim period. However, in the five weeks thereafter, TFG Africa sales growth was up 8.3% compared to 0.1% decline for the interim period, while both London and Australia businesses posted stronger growth. The share price gave up 2.53% to R143.15 on Friday after the release of the results – the price is nevertheless up 40.3% over a year. Echoing the weak top-line growth of peers such as Truworths, mainly due to lower consumer disposable incomes, TFG’s revenue increased by only 0.6% in TFG Africa in the six months, and was…

With the market having rallied strongly coming out of the South African elections, a lot of good news has now been discounted in share prices and valuations. Fresh in investors’ minds would be the experience from Ramaphoria where optimism faded as earnings and cash flows disappointed, with the market realising that an expected improvement in fundamentals did not materialise. With a focus on the industrial sector, we outline our thinking on which stocks are likely to start realising the benefits of the new dispensation earliest - as opposed to those whose upside is more long dated. We also look at which businesses are most geared to a stronger local economy, thus benefiting the most - though that upside may be long dated, requiring more patience. The early birds: Much like…

South African equity prices continue to weaken for the second consecutive week. Global share markets were uncertain and mostly negative at the beginning of last week as they awaited the results of the US presidential election and the interest rate decision by the Federal Open Market Committee of the US Federal Reserve last Thursday. Investors discounted the effect on the South African economy and risky assets with the possibility that Donald Trump might win. Concerns for South Africa’s economy and its trade and political relations with the US became more pronounced as Trump's win seemed increasingly likely. South Africa’s position under the African Growth and Opportunity Act (Agoa) became a point of concern, alongside broader political relations between Washington and Pretoria, given South Africa’s recent alignment with Russia and…

Delta Corporation, Zimbabwe’s leading brewer and soft drinks manufacturer, has reported mixed results for its interim period ending September, reflecting the significant challenges posed by exchange rate volatility, electricity shortages, and fluctuating commodity prices such as platinum and copper. The effects of these issues have been particularly pronounced in both Zimbabwe and Zambia, where the firm has operations and where economic conditions remain precarious. Zimbabwe and Zambia are big producers of platinum and copper, respectively. Prices of the two metals have been volatile over the six month period to end September, impacting the earnings potential of the company. Moreover, the two markets are undergoing severe electricity supply deficits while their respective domestic currencies have been volatile. In Zimbabwe, Delta Corp said while the exchange rate for the Zimbabwe Gold unit…

The agricultural outlook for South Africa’s 2024/25 season hangs in the balance as hot and dry conditions persist, leading to rising anxieties among farmers about potential yield losses. According to Absa AgriBusiness, these weather patterns pose a significant threat to crop production, particularly if timely rainfall does not materialise. Dr Marlene Louw, senior economist at Absa AgriBusiness, has been closely monitoring the situation, emphasising that “sufficient rainfall within the next few days is crucial, especially in the Eastern parts of the country, which have an earlier summer grain and oilseed planting window.” Without this much-needed moisture, the implications could echo throughout the agricultural sector. The Department of Agriculture, Land Reform and Rural Development (Dalrrd) recently released a climate advisory detailing the state of veld and livestock conditions across the nation,…

MIXED reactions from residents emerged during the resumption of public hearings on the Tobacco Products and Electronic Delivery Systems Control Bill of 2022 in Durban yesterday. The portfolio committee on health conducted public hearings in seven provinces, with the hearings coming to an end in KwaZulu-Natal. The bill seeks to strengthen public health protection measures, align South African tobacco control law with the World Health Organization Framework Convention and repeal the Tobacco Control Act of 1993. The proposed legislative and policy changes seek to make indoor public places and certain outdoor areas 100% smoke-free, ban the sale of cigarettes through vending machines, require plain packaging with graphic health warnings and pictorials, ban the display of products at the point of sale and regulate and control electronic nicotine delivery systems and…

The Matzikama municipality, in the Western Cape, has referred recommendations back to the office of Local Government, Environmental Affairs and Development Planning MEC Anton Bredell regarding the investigation into the irregular appointment of Heinrich Koopman. A forensic investigation spearheaded by Bredell found that the appointment of Koopman, the son of current Matzikama deputy mayor Amelia Job, deviated from the requisite local government frameworks and failed to comply with the Recruitment and Selection Policy. The report recommended that Koopman be removed from his position as an Administrative Official and the position be readvertised. The investigation report stated that while Koopman applied for a job at the municipality, declared his relationship with Job and the selection panel was aware of this relationship, there was insufficient evidence to conclusively prove nepotism in the…

shakirah.thebus@inl.co.za Hawk-eyed invigilators have detected cases of 2024 National Senior Certificate (NSC) candidates with cellphones or crib notes in the examination venue. Western Cape Education MEC, David Maynier, said nine such cases were found midway through the examinations. “Every candidate must carefully check their pockets for notes or cell phones before they sit down to write, as ‘forgetting’ that they are carrying these items is unfortunately not an excuse,” Maynier said. While no cases of paper leaks have been reported, Maynier urged matriculants to report any information related to suspected leaks. “We have reached the halfway point in the 2024 matric exams and are pleased to report that they are proceeding smoothly. “We thank the public for the support they have shown our matrics since the exams began on October…

India: 124/6 Hardik Pandya 39*; Aiden Markram 1/4 South Africa: 128/7 Tristan Stubbs 47*; Varun Chakravarthy 5/17 South Africa won by three wickets with six balls to spare In a nail-biting encounter at St George’s Park, the Proteas staged a thrilling comeback yesterday, defeating India in a anxious victory to level the T20I series at 1-1. A heroic, unbeaten 47 runs off 41 balls from Tristan Stubbs and Gerald Coetzee’s unbeaten 19 runs off nine balls saw South Africa chase down the 125 runs set by India with an over to spare. The Proteas’ run chase was flawed throughout as leg-breaks Varun Chakravarthy (5/17) and Ravi Bishnoi (1/21) brought the recent horrors of the Tour of the UAE to South Africa: As the Proteas batters were absolutely dominated by…

MARUMO GALLANTS 0 MAMELODI SUNDOWNS (0) 2 Ribeiro (pen) 53, Maema 90+4 Mamelodi Sundowns proved that they are blessed with oodles of depth and adaptability, as they beat Marumo Gallants yesterday to reach the Carling Knockout final. Sundowns will face Magesi in that match later his month at Toyota Stadium, which is just a stone’s throw away from yesterday’s venue, Dr Petrus Molemela Stadium, in Bloemfontein. Reaching the final will mean a lot to the Brazilians, as it will be their chance to win their first Cup since beating Gallants in the 2022 Nedbank Cup final. And while the Brazilians walked away with the victory here, Gallants will also be proud of their first half efforts, having shown no fear against their more illustrious opponent. Gallants coach, Dan Malesela, has…

Compagnie Financière Richemont was one of the biggest downward movers on the JSE on Friday following the release of financial results that showed its interim profit had fallen a fifth. The share, a favourite among institutional investors, closed 5% lower at R2 417.94, making it one of the top five major declines on the JSE on Friday. The share is little changed from the R2 200.00 that it traded at on the JSE a year previously. Interim results for the Switzerland-based group, which is chaired by South African billionaire businessman Johann Rupert, showed that profit from continuing operations fell 20% to €1.73 billion (R32.6bn) from €2.16bn. Also, in a reflection of the tough markets worldwide where consumers have seen disposable incomes pared by high interest rates and inflation, low growth…

As the global community grapples with the escalating climate crisis, the International Renewable Energy Agency (IRENA) has issued a stark warning at the opening of the UN Climate Conference COP29 in Baku, Azerbaijan. IRENA’s latest report released on Friday, the World Energy Transitions Outlook 2024, outlines a significant CO2 emission gap that remains despite existing political commitments towards achieving net-zero emissions by mid-century. The report’s 1.5°C Scenario emphasises that even if all pledges made to date were fully implemented, substantial challenges necessitate drastic changes in energy transition strategies. Francesco La Camera, IRENA’s director-general, articulated the urgent stakes. “We have reached crunch time. A robust global finance deal and the next Nationally Determined Contributions (NDCs) in 2025 are ‘make or break’ moments to keep 1.5°C alive,” La Camera said. “NDCs 3.0…

The recent deaths of 12 children from poisoned food in Gauteng, the 2022 Enyobeni Tavern tragedy that claimed 21 young lives, and the 2022 Pongola crash that killed 19 students were all preventable catastrophes. They are symptoms of a broader, systemic issue—an indictment of the policies of SA Inc. A 2020 report by Statistician-General Risenga Maluleke, titled Child Poverty in South Africa: A Multiple Overlapping Deprivation Analysis, points directly to the root of these tragedies: growing poverty across South Africa. Though based on data from the 2015 Living Conditions Survey (LCS), conditions have only worsened. Between 2011 and 2016, multidimensional poverty rose in 82 of the country’s 252 municipalities, leaving more and more young people in conditions of acute deprivation. For youth aged 15-34, multidimensional poverty is especially stark, driven…

Huge Group grew net asset value per share 2.6% to 983.73 cents in the six months to August 31 on the back of generally solid performances from its portfolio investments in the branded mobile and telecoms sectors. Operating profit increased 17.8% to R33.45 million from R28.39m. Headline earnings were up 17.3% to R19.3m. No dividend was declared by the company that owns portfolio investment companies (PICs) in the connectivity, voice, SD-WAN management, connectivity aggregation, cyber security, PBX, cloud, and hosting services and products segments. “We are proud we have built a defensive portfolio that has shown resilience in a very challenging environment, and we are pleased with the progress made by our PICs in the evolution of our investment ecosystem, as we position it for sustainable near-term and longer-term growth,”…

Floyd Shivambu, the newly appointed secretary-general of the Umkhonto weSizwe Party (MKP), has expressed confidence in his ability to hold the position effectively. Shivambu was responding shortly after it was announced that Dr Sifiso Maseko, the former secretary-general of the party, had resigned to return to his job in the Gauteng Department of Health. He told a national broadcaster that he is a competent individual capable of fulfilling any role that the party assigns to him. Prior to this appointment, Shivambu served as the MKP’s national organiser. That position is now vacant for the time being until the leadership of the party decides on a replacement appointment. The party’s secretary-general’s office has experienced a high turnover of leaders, with Shivambu being at least the third individual to hold the position.…

Higher Education Minister Nobuhle Nkabane said work is underway to move the National Student Financial Aid Scheme (NSFAS) out of its headquarters in Cape Town and set up regional offices in the provinces. “The NSFAS legal services unit is in the process of finalising a thorough review of the current lease agreement for the Cape Town offices. “The review aims to assess options, including the possibility of reducing the number of floors being rented or alternatively initiating a full termination of the lease,” Nkabane said. She was responding to parliamentary questions from DA MP Letta Mathlodi Maseko, who inquired about details of the termination of the current lease agreement for NSFAS offices. Last month, Nkabane told the standing committee on public accounts that NSFAS was paying R2.5 million per month…

Paraplegic Andrew Merryweather’s appeal to have his legal costs paid by the father of his alleged attacker, Oliver Scholtz, has failed in the Supreme Court of Appeal (SCA). In the same matter, Scholtz’s cross-appeal, in which he was ordered to pay for three of the medical experts that gave testimony during the trial, also failed in the same court. Both matters were scrapped from the SCA court roll. The Western Cape High Court found that Merryweather had not proved his case that he was “spear tackled” by Scholtz and that it was more probable that he was injured as a result of the swivel and push defence, rather than a spear tackle. The high court found that Scholtz’s reaction to avert the further threat to him was reasonable. The SCA…

Scotland (9) 15 Penalties: Russell (5) South Africa (19) 32 Tries: Mapimpi (2), T du Toit, Jasper Wiese; Conversions: Pollard (3); Penalty: Pollard It was clumsy and uneasy on the eye for long periods, but the Springboks had too much class over the full 80 minutes to close out their game against Scotland last night, winning 32-15. The last 10 minutes saw a complete momentum shift as the slow poison of 15 forwards out of the match 23 bit into the tiring Scots. The match-defining moment came eight minutes from time when yet another Springbok scrum penalty allowed Handre Pollard to kick his team into a ten-point lead. The Boks have viewed this tour as an opportunity to make a statement in the north after dominating the south in the…

Bafana Bafana coach Hugo Broos is confident that his squad's balance will guide them to success in their last two Africa Cup of Nations qualifiers. With a commendable performance thus far, the team sits second in Group K with eight points, trailing Uganda by two points. The Cranes have already secured their place in next year's finals in Morocco, positioning Bafana as the clear favourites to follow suit from the group. To ensure qualification, Bafana needs at least three points from their remaining matches, facing Uganda away on Friday and South Sudan at home next Tuesday. Broos has placed his faith in a 23-member squad that he unveiled last Thursday, signalling his intent to steer the team into the tournament. Notably, Orlando Pirates’ striker Evidence Makgopa makes his return to…