South Africa coal company, Wescoal, has announced a fall in turnover for the year to 31 March 2016 to ZAR 1.6 billion (US$102.7 million) compared to ZAR 1.7 billion (US$109.1 million) in 2015.
Gross profit increased, however, to ZAR 251.7 million (US$16.1 million) from ZAR 219.6 million (US$14.1 million) last year. Operating profit jumped further to ZAR 100.9 million (US$ 6.5 million) – more than doubling from last year’s ZAR 46.2 million (US$2.9 million).
“Wescoal seeks to build on this robust operations performance and to continue delivering solid, predictable and sustainable operational performances,” the company.
“The group is on its way to achieving its short-term strategic objective of BEE ownership of 50%,” the company continued. Black Economic Empowerment (BEE) ownership is a government-mandated programme to extend ownership of the South African economy to previously disadvantaged groups.
The company also said that it was developing a business plan for supply of coal to Eskom, South Africa’s state-owned utility, as well as working towards increasing its exports to 1 million tpy over the next three years.