Omnia Profit Rises to Record on Higher Explosives Sales to MinesKamlesh Bhuckory
Omnia Holdings Ltd., a South African manufacturer of fertilizers and explosives, said annual profit rose 13 percent after higher sales to the mining industry.
Net income climbed to 996 million ($94 million) in the 12 months through March, from 883 million rand a year earlier, the Johannesburg-based company said in a statement today. Sales increased 21 percent to 16.3 billion rand.
Omnia said its mining and agricultural divisions benefited from a gradual recovery in the global economy. A weaker rand boosted exports to Australia, Brazil and other African countries, the company said.
“The macro environment for next year appears positive and will be strongly influenced by the direction of the rand,” the company said. “Our mining division anticipates further volume growth across its entire product range at growth rates similar to that of” last year, it said.
Omnia shares have advanced 13 percent this year to value the company at 15.4 billion rand, compared with a 0.3 percent decline for AECI Ltd., the country’s biggest chemical and explosives company. Omnia declared a final dividend of 2.9 rand, bringing its total payout for the year to 4.75 rand, a 13 percent increase from the previous year.