Financial Services
CREDIT CLUSTER
October 2022 R ’ m
October 2021 R ’ m
Credit ( Agri Credit Solutions ) 67 70
Profit after interest , before tax 67 70
The new season hectares financed are 17 % lower than the previous season . This is due to the improved cash flow position of most clients who could purchase some inputs , such as fertiliser , using surplus cash . The implementation of the capital allocation strategy also contributed to a lower credit book , but higher returns on capital employed .
INSURANCE AND ADVICE CLUSTER
Molemi Sele ’ s results are mainly driven by the Guardrisk Cell Captive investment in which credit life insurance is managed . Molemi Sele ’ s results increased year-on-year , due to the increase in the credit life insurance book and decrease in claims against the cell captive . Senwes exited the Molemi Sele cell captive structure on 1 November 2022 and continued in a newly established sole owner cell .
Processing , Conditioning and Markets
The lower results of Bastion compared to the previous year were due to decreased volumes sold as a result of the wet conditions , limiting producers ’ ability to harvest and to process soil samples . It also caused delays in the delivery of lime orders .
Lower than expected raisin sales volumes are due to shipping challenges encountered as a result of the global shortage of ships and containers caused by the conflict in Ukraine and the priority given to fresh produce at present . Along with this , a decrease in sales to customers in Germany was experienced who had , historically , requested product earlier in the year , as well as the weaker European economy . More focus is being placed on the USA to obtain a larger customer base , with increased sales to the USA over the next five months .
8 Reimagine Agriculture
October 2022 R ’ m
October 2021 R ’ m
Insurance brokers ( Certisure Group and Raddix Group ) 4 4
Wealth Management ( SS Wealth ) ( 1 ) - Insurance fund 9 5 Underwriting cell captive ( Molemi Sele : 36 % share ) 3 1 Digital strategy ( 2 ) - Profit after interest , before tax 13 10
MANUFACTURING CLUSTER
October 2022 R ’ m
October 2021 R ’ m
Lime production ( Bastion Group : 50 % share ) 11 16
Seed processing ( Senwes Seed ) 5 4 Raisin conditioning ( Carpe Diem Group ) 17 21 Laboratory services ( NviroTek ) 11 10 Profit after interest , before tax 44 51