Buildmax reported headline earnings per share (HEPS) of 3.7c for the six months ended August 31, against 9.5c earlier.
Opencast coal mining contractor and supplier of construction materials Buildmax on Monday reported headline earnings per share (HEPS) of 3.7 cents for the six months ended August 31, against 9.5 cents earlier.
Core HEPS of 4.5 cents were reported, from 10.6 cents previously.
Earnings per share (EPS) of 3.2 cents was 70% lower than the pro forma historical EPS of 10.5 cents.
Revenue increased to R957.3 million, from R845.7 million earlier.
Operating profit (EBIDTA) was at R186.8 million, from R255.2 million earlier.
Buildmax said that cash generated from operations of R242 million was 15% higher than the cash generated from operations in the comparative period of R211 million.
In line with group strategy, capital expenditure of R122 million was incurred for the interim period, compared with R323 million in the comparative period, Buildmax said.
Mining Services delivered revenue growth of 27%, but was unable to convert the higher revenue into increased profits, it said.
"The loss in revenue due to the industrial action and the downtime in July approximated R95 million, while fixed costs remained ongoing and additional HR costs were incurred.
"Construction Materials reported a decrease in revenue of 16% primarily due to the severe decline in the residential sector," Buildmax said.
"Compared to the prior interim period the international and local business environment has deteriorated significantly which, combined with industrial action at Diesel Power Open Cast Mining ("Diesel Power"), the group's largest subsidiary, negatively impacted Buildmax's results," the group said.
Looking ahead, it said that trading conditions remained challenging.
"Provided there is no further deterioration in the local and international economic environment and absenting abnormally high rainfall the group is optimistic that the results for the second half of the year will be stronger than for the first half," it concluded.
