Despite the effects of a weak rand, South African Plate Glass and Shatterprufe Industries Ltd (Plate Glass) is expected to increase earnings in real terms for the year ending March 1997.
“The contin…
Despite the effects of a weak rand, South African Plate Glass and Shatterprufe Industries Ltd (Plate Glass) is expected to increase earnings in real terms for the year ending March 1997. “The continued depreciation of the rand will inhibit business confidence in South Africa and internationally but the current exchange rate will generate new export opportunities…,” said Ronnie Lubner, executive chairman of the glass and board manufacturing group. The weaker rand could have a marked impact on the contribution to group earnings of Belron International, the group“s offshore arm, Lubner said. “On balance, however, the group is likely to increase earnings in real terms,” he said. Plate Glass reported a 16% rise in earnings to 745 cents a share in the year to end-March. Sales increased by 20% to R 4.5 billion. A final dividend of 184 cents was declared raising the total payout for the year to 333 cents a share compared to 290 cents a year ago. Lubner said sales from Belron“s US interests, which, as reported in Glass-Technology International No. 2-96, merged with those of Globe Glass to form US Autoglass, were expected to approach the US$ 1 billion mark by the year 2000. Group earnings, which rose by 52% in the past year following the financing of offshore acquisitions and related goodwill, was likely to reduce substantially in the new financial year, he said.