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Ansa McAL assets cross $14b
Ansa McAL’s total asset base have crossed the $14 billion mark, an improvement of 3 per cent over the prior year, while revenue to total assets ratio remains at over 30 per cent.
Group chairman A Norman Sabga said the results reflect the full consolidation of the assets of three regional Berger Paints companies. However, in accordance with the Accounting Standards, revenues and profitability reflect the results since the acquisition date of July 24. The full benefit of the acquisition will be experienced in 2018. “The manufacturing, packaging and brewing segment recorded a 6 per cent-plus growth whilst the financial services segment reported an 8 per cent-plus growth,” he said.
“Due to significant contraction in consumer spending, the automotive, trading and distribution segment declined by 61 per cent whilst media, services, retail and parent company declined by 54 per cent. Our overseas territories have recorded strong growth.”
Sabga said the increase in statutory tax rate reduced the group’s reported profit after tax (PAT) by $26 million and contributed to the lower earnings per share (EPS) result. As a consequence the group’s effective tax rate increased significantly compared with the prior period.
“Despite these challenges,” he said, “group consolidated revenues reported for the nine months ended September 30, 2017 were broadly consistent with the previous comparative period, closing the period at $4,371 million ($4,376 million – 2016). Profit before tax decreased by 13 per cent to $598 million (690 million – 2016). Profit after taxation (PAT) generated was $416.8 million ($527.8 million – 2016), whilst earnings per share was $2.02 ($2.63 – 2016) both representing a decline of 23 per cent.
“The Group is now in its peak trading period (October to December) and despite the challenging economy and the increased costs of doing business, we remain confident of our ability to continue to deliver superior returns to our shareholders.”