Omnia Full-Year Profit Gains 40% on Mining and Agriculture Sales
Omnia Ltd. (OMN), a South African manufacturer of explosives and chemicals, said full-year profit surged 40 percent as sales to the mining and agriculture industries rose.
Net income increased to 883 million rand ($88 million) in the 12 months through March, compared with 630 million rand a year earlier, the Johannesburg-based company said in a statement today. Sales advanced 24 percent to 13.5 billion rand. Omnia increased its dividend by 50 percent to 4.2 rand.
“The macro environment for this year was exceptionally positive for our mining division, good for our agriculture division and difficult for our chemicals division,” the company said.
Omnia is benefiting from a weak rand, which declined 10 percent against the dollar in the six months through March, as it exported products to international markets including Brazil and Australasia. “The macro environment for next year appears promising and will be strongly influenced by the direction of the rand,” the company said.
Omnia shares declined 3.4 percent yesterday, giving the company a market value of 11.4 billion rand. The stock has gained 23 percent this year, compared with a 3 percent fall on the FTSE/JSE Africa All Share Index.
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