Star 2024-09-04

SASOL said yesterday that it was intensifying its pursuit and commitment to cut its carbon emissions by 30% over the next six years, although that would probably see the company review its pathway towards attainment of the target. In January this year, shareholders approved Sasol’s controversial climate- change commitment to a decarbonisation pathway towards achieving its 2030 target and 2050 net zero ambition. However, over the past few weeks, there have been reports that Sasol was reneging on its 30% carbon emissions cut target for 2030. The company responded by saying this was “only an example of an approach addressing the complexity” of its transition. “Sasol remains committed to a sustainable energy transition and work continues to refine our strategic direction, which includes our GHG emission roadmap to 2030 and…

Agriculture Minister John Steenhuisen signed three key market access instruments with China on Monday, including the Memorandum of Understanding (MoU) on foot-and-mouth disease (FMD), and two protocols for the export of greasy wool and dairy products from South Africa to China. Steenhuisen told Business Report yesterday that the dairy protocol would allow access to the Chinese market for South African dairy products, while the greasy wool protocol would keep the trade in greasy wool open after an agreed treatment method. “The foot-and-mouth MoU will mean that, for the first time, the Chinese will accept a compartmentalisation of the import of South African beef products. In the past, an outbreak of foot-and-mouth anywhere in the country would have led to a shutdown of the entire beef export market,” Steenhuisen said. “Under…

South Africa’s gross domestic product (GDP) increased by an unsurprising yet welcome 0.4% in the second quarter of 2024, as it avoided a technical recession following no growth in the first quarter. The first quarter’s figure has been revised from an initial print of negative 0.1% and followed a 0.3% increase in the fourth quarter of 2023. North West University Business School economist, Professor Raymond Parsons, said the gain “could represent a turning point in South Africa’s business cycle, as our growth performance has clearly been too low for too long”. Yet, Casey Sprake, investment analyst of fixed income at Anchor Capital, pointed out that the “economy is simply not growing at an adequate rate to sustainably boost long-term employment prospects for South Africans”. The ideal rate, she said, was…

Shoprite Holdings, which reported its fifth consecutive year of outrunning the grocery market, said yesterday it would sell its furniture businesses to Pepkor Holdings for R3.2 billion, increasing the number of furniture stores in Pepkor’s stable by nearly half. Shoprite reported 12% growth in revenue to R246.1 billion for the 52 weeks to June 30 and increased its full year dividend by 7.4% to 712 cents. CEO Pieter Engelbrecht said in a presentation they had seen 64 months of consecutive market share gains, a performance that outstrips that of any other major retailers in South Africa. Notwithstanding the deal to sell the furniture business and the strong, market beating results, Shoprite’s share price declined 5% to R297.82 on the JSE yesterday afternoon, a large decline considering the All Share Index…

Motus Holdings’ share price fell 4.2% yesterday on the JSE after it reported a 26.7% lower dividend of 520 cents a share for the year to June 30, notwithstanding a resilient financial performance in tough vehicle market conditions. Revenue was up 7% to R113.76 billion. Operating profit fell 4% to R5.5bn. Headline earnings per share was down 28% to 1 479c per share. Cash flows from operating activities increased sharply to R3.53bn compared with last year’s outflow of R1.19bn. The share price traded at R118.97 yesterday afternoon, 4.2% below the opening price, but nevertheless 13.8% higher than the R104.52 that it traded at a year ago. Motus’s directors said yesterday that their business had been supported by strategies of international expansion and diversification, beyond vehicle sales in…

Orion Minerals managing director, Errol Smart, said yesterday that completion of the drilling at the company’s Okiep Copper Project allows the company to speedily expand the operation’s life of mine and initial production profile. Earlier this month, Orion Minerals secured two high priority prospecting rights that enable it to progress the Okiep copper project in the Northern Cape. The company yesterday said it had received positive results from diamond drill holes completed at Flat Mine North and from Flat Mine South. “Importantly, now that the Flat Mines Project is fully permitted for mining and that we have secured all the surrounding prospecting rights, this high-quality drilling data is expected to provide a pathway for Orion to fast track the expansion of the initial production profile and mine life outlined…