The group produced mixed results this year where solid performances from both the African
operations (including South Africa) and United Kingdom (UK) operations were overshadowed by the recognition of a significant provision in respect of anticipated losses on the Western Roads Upgrade (WRU) project in Australia.
– Revenue for the year increased by 16% to R41 billion (2018: R35 billion)
– Earnings per share decreased by 39% to 939 cents per share (2018: 1 534 cents per share)
– Headline earnings per share decreased by 34% to 932 cents per share (2018: 1 415 cents per share)
– Final dividend declared of 190 cents per share resulting in a total dividend for the year of 190 cents per share (2018: 475 cents per share)
– The net asset value amounts to R6.1 billion (2018: R6 billion)
Change in responsibilities and appointment of executive director
Mike Wylie, after 45 years of exemplary service, has indicated that he intends to retire at our Annual General Meeting on the 20th November 2019. His leadership throughout this time has resulted in the continued growth and stability of WBHO.
MARKET UPDATE: JUNE 2019
The directors of Wilson Bayly Holmes-Ovcon Limited (‘WBHO’ / ‘the group’) wish to advise shareholders of
developments within the group during the second half of the financial year ending 30 June 2019.
The group delivered disappointing results over the first six months of the financial year principally due to the recognition of a provision in respect of anticipated future losses on the Western Roads Upgrade (WRU) project (previously referred to as OSAR) in Australia.
The operating performance of the group over the first six months of the financial year will be negatively affected upon the recognition of a material provision in respect of the anticipated loss to complete the OSAR Western Roads infrastructure project in Australia. The completion of contract anticipated loss is due to the interpretation of the technical specifications within the contract bid design resulting in the underestimation of the physical construction works required under the design and construct contract. The Group is investigating all possible recoveries.