SEGMENTAL RESULTS
MARKET ACCESS
A smaller and later harvest resulted in smaller silo services fees of R168m whilst R90m was created with more effective management of grain
inventory, even after taking into account the cost to correct lower quality commodities.
R’m
300
250
200
150
300
(19)
90
(16) (1)
186
100
(168)
50
-
Results 2019
Lower recoupment
of costs
Lower grain
volumes received
Increased
efficiencies in
grain management
stock
Loyalty scheme
expense
Other Results 2020
INPUT SUPPLY
Input Supply’s results improved by R117m for the year. The main contributor was the inclusion of KLK’s profit for the period of 8 months. The
Hinterland Group’s operational results also continued its upward trend even with the Covid-19 influence on fuel and retail sales. The gross profit
margin of Senwes Equipment remained under pressure as margins were decreased to stimulate sales.
210
R’m
180
150
120
90
123
15
(13)
(7)
148
60
30
30
0
Results 2019
Inclusion of KLK
profit
Increased wholesale
net profit margins
Margins lost due to
lower equipment
sales
Other Results 2020
FINANCIAL SERVICES
Senwes Credit experienced a very profitable 2020 financial year, with a 29% increase in profit since 2019. The main reason for this increase is the
increase in gross profit of R17m due to a higher debtor’s book. The Certisure Group also increased its result by 27,9% due to an increase in credit
life insurance, crop insurance and funeral cover income.
210
180
168
4
17
(2)
14 201
150
120
90
R’m
60
30
0
Results 2019
Higher Certisure
margins
Higher credit margin
due to late harvest
and settlements
of debt
Loyalty scheme
expense
Other
Results 2020
76 ROOTED IN AGRICULTURE