OVERVIEW
QUARTER 3
QUARTER 4
Grasland’s plant at Britten agricultural lime mine was upgraded to
enable them to produce and deliver an additional product, pro
cessed gypsum, which represents 2% of the current year’s turnover.
Development of new grain procurement process and application.
The objective of the project is to train, develop and empower pro
curers and it is expected that it will result in a 10% increase in the
market share of Grain Procurement.
Employee benefits were moved to Old Mutual and Nedbank, which
contributed to a R20 million benefit for the Senwes group in terms
of employee cost savings.
The implementation of integration and innovation actions in the
group in order to promote market share, is already rendering positive
results.
Senwes and Senwesbel listed its shares on the ZAR X platform.
Tradevantage, the soft commodity trading house, obtained a level
5-status on its B-BBEE-scorecard. Nation in Conversation introduced a new format for a 13-episode
television series and reached a total of 24 million duplicated viewers
across kykNET, Business Day TV and Soweto TV.
Record attendance of approximately 300 producers at the Senwes
Young Farmer Congress, with the theme Family Farming. Despite a shortage of grain and negative carrying costs in the mar
ket, Tradevantage managed to meet its contractual obligations.
Tradevantage was significantly exposed to price-based risk on the
pricing portfolio and the strategy of agency grain. Risk mitigating
measures were implemented and focused attention was afforded
to these measures. Control measures were implemented to mitigate
current as well as future risks.
Senwes’ proactive drought-mitigating actions in order to get risk and
return on an acceptable level, contributed to an increase in profit
before tax of R142 million.
Residual risk decreased by 27,7% for the financial year and is now
within acceptable levels.
Senwes launched its farm-loading project in order to receive grain
more economically from non-traditional areas. On average approxi
mately 12% of the expected grain receipts for the 2016/17 harvest
are received on this basis.
A record attendance of 1 100 farmers were recorded at the Senwes
Equipment Expo.
Improved control measures implemented and an efficiency investiga
tion launched, with the possibility of increasing productivity by 10%.
Announcement of share repurchase scheme to the value of R45 mil
lion, which will commence on 30 June 2017.
Loan facilities of R4,5 billion successfully negotiated without any re
pricing.
Interim dividend of 20 cents per share was paid, while a final divi
dend of 25 cents per share was proposed.
Implementation of King IV.
New human resources strategy was implemented.
The first solar power energy system was installed at Hennenman silo
and expected energy savings amount to 450 000 kWh per annum.
http://senwes.co/zarx
http://senwes.co/NiCTV2017
http://senwes.co/EquipExpo17
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