Star 2024-12-02

QUANTUM FOODS made a strong turnaround in the year to September 30 after its management had to deal with extraordinary headwinds at South Africa’s biggest egg producer following the outbreak of the bird flu. On Friday, the company reported headline earnings per share increased significantly to 80.4 cents from a 17.4 cents headline loss per share the year before. The share price was unchanged at R8.50 on Friday, but investors appeared to have foreseen the turnaround because the price is 95.6% up on the same time last year. “Financial 2024 will be remembered for the severe impact of (highly pathogenic) avian influenza (HPAI) on our layer farming and egg businesses, the Malmesbury feed mill explosion, leadership changes and dramatic fluctuation in our share price on the back of shareholder activity,”…

A South African company is taking on a Russian insurance giant in a multimillion-dollar court matter over the Russian company’s refusal to pay out an insurance claim, with wrangling over the issue dating back to 2012. South Africa’s Global Aviation Investments, a company that provides charter flights including for the UN, is arguing that Russia’s insurance company, Ingosstrakh, owes it money after one of its aircraft suffered engine damage before take-off when the motors were at full throttle. The matter went all the way to the Constitutional Court, which ruled in January 2022 that Ingosstrakh could not appeal a Supreme Court of Appeal (SCA) ruling, which allows Global Aviation Investments to proceed with a default judgment for a claim worth millions. In 2012, Ingosstrakh agreed to provide insurance to Global…

If tariffs were to be imposed, the repercussions could be punitive for South Africa US President-elect Donald Trump has threatened to impose punitive tariffs on imports from BRICS member states, potentially putting billions of rand of South Africa’s exports at serious risk. This warning comes at a time when South Africa’s trade surplus was the highest in three months, showing signs of economic resilience. Trump posted on social media on Saturday that his administration will punish BRICS member states who are trying to de-emphasise the US dollar as the world’s reserve currency. “We require a commitment from these countries that they will neither create a new BRICS currency, nor back any other currency to replace the mighty US dollar or, they will face 100% tariffs, and should expect to say…

siphelele.dludla@inl.co.za Sizwe Africa IT (Sizwe) has denied being involved in the conflict of interest in a more than R500 million contract for the procurement of 55 000 Samsung Galaxy Tab A 8.0-inch LTE tablets for schools in the Eastern Cape. This comes after media reports from weekend newspapers that the Directorate for Priority Crime Investigation (the Hawks) were investigating Dr Naledi Mbude-Mehana, a senior national education department official, and her husband Reverend Vukile Mehana, the former chairman of IT group Sizwe Africa, for their involvement in payments allegedly for an illegal contract. According to reports, the contract’s estimated price increased from R160 million to R537.4m, and the State Information Technology Agency (Sita) found it unlawful and invalid as it had not been taken through the appropriate channels. Sizwe yesterday said…

AYO Technology Solutions’ did well to cut its loss to 72.02 cents per share for the year to end-August 31, 2024 compared with a loss per share of 180.53 cents per share for the previous year to end-August 31. “The past year has been one of considerable change and challenge, but we look forward to further capital preservation, supporting subsidiary growth and continued commitment to serving customers, positively impacting the communities in which we operate and creating value for stakeholders,” AYO’s directors said. Revenue decreased by 17% to R1.9 billion from R2.3bn. The pre-tax loss decreased by 65% to R229m from R653m in the prior financial year. The headline loss per share per share decreased by 59.31% from 176.46 cents per share. No dividend was declared. The decline in group…

By PPS Investments Given the current market environment, investors should prepare for modest central bank easing and steady economic growth in 2025 while remaining mindful of inflation risks that lean to the upside. A pro-growth portfolio strategy is essential, but flexibility and adaptability are equally critical to navigating a shifting landscape. For example, recent developments, like the US election, could shape future economic policies, contributing to market volatility in the near term. Rather than focusing on a single outcome, investors should consider multiple scenarios to account for uncertainty. On a positive note, the normalisation of interest rates and an expanding range of opportunities beyond equities make diversification more accessible than before, offering investors a solid foundation for building resilient portfolios. What’s next for Local and Global Equities? The outlook for…