Senwes acquired three John Deere dealerships in East Germany during the current year . The dealerships merged into one company and rebranded operationally as S & L Connect . The merged business is similar to Senwes Equipment in terms of business model , structure , industry and product offering . A profit was delivered for the first three months and included in the group results as from the effective date . The weakened rand / euro average exchange rate during this period positively impacted the consolidated earnings .
The automotive division of KLK was sold during the six-month period under review .
RETAIL CLUSTER
October 2022 R ’ m
October 2021 R ’ m
Senwes area of responsibility ( Hinterland Group ) 32 32 KLK area of responsibility ( KLK Landbou ) 29 27 Profit after interest , before tax 61 59
The year-to-date results of the KLK ’ s Trading Division are higher than the previous year , mainly due to increased revenue generated by the retail branches and Build IT branches . The results of the fuel division decreased due to lower sales volumes .
Retail fuel volumes are under pressure due to high fuel prices . The actual number of transactions increased by 4 % compared to the previous year . However , the average tank-fill decreased by 8 %, indicating that customers spend the same rand value per transaction with more frequent transactions .
WHOLESALE CLUSTER
October 2022 R ’ m
October 2021 R ’ m
Wholesale distributer ( Agrinet ) 12 29 Pest control ( Protek ) 11 14 Profit after interest , before tax 23 43
Various factors influenced the decreased profitability of Agrinet compared to the previous year , such as the slow-down in the economy caused by rising oil and food prices , the SACCAWUstrike , rising interest rates and the impact of BOBS ( Botswana Bureau of Standards ) legislation on Botswana clients .
Protek`s results decreased from the previous year , mainly due to high oil prices which had a direct impact on the drastic increase in fertiliser prices . Due to the sudden increase in fertiliser prices from suppliers , Protek had to absorb the increased costs and lower margins were realised .
SENWES INTERIM RESULTS OCTOBER 2022
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