Profits at retailer and property company Nictus rose 48% in the 12 months to March compared with the previous year, after its management decided to let subsidiaries operate more independently.

The holding company — whose subsidiaries were involved in the furniture retail, motor retail, carpet and wholesale and immovable properties sectors — said in reporting its financial results yesterday that its improved performance was owing to its various segments having acted with more independence.

Profit before taxation increased by R3,8m, from R7,9m to R11,7m, while revenue increased just 4,1%, from R369,5m to R384,6m.

Chairman Wicus Olivier said: “The process whereby the MDs and boards have each taken ownership of their respective segments, with the holding company board acting as an investment holding company, contributed to the success of the group and confirms the board’s previous decisions in this regard.”

CE Nico Tromp said he was thankful to report that his group had been successfully weathering global economic uncertainty.

Even though he admitted the global economy would take longer to recover than he initially thought, he was pleased that his company was a major player in the Namibian market and was expecting a faster recovery in that country’s economy.

Mr Tromp said the company was satisfied with the performance of all of its segments, despite some limiting conditions. He said the motor segment had suffered a 3% drop in turnover during the year and was experiencing inventory shortages that would harm future profits.

The group’s asset base rose 28,8%, with the cash position of the group improving 45,5% to R238m. The net asset value per share rose 25,1% to R186,47.

Nictus declared a dividend of 6,25c per share.