SENS Note - 25 May 2009

Infrasors final results February 09

Revenue increased to R250.3 million (R245.6 million). EBITDA declined to R46.7 million (R81.4 million) and net attributable profit for the year was down to R30.1 million (R103.3 million). In addition, headline earnings amounted to 17.5cps.


No dividend has been declared.


The anticipated downturn in the South African economy and global financial instability has resulted in a slowdown in demand by Infrasors' key clients in industry and construction. Such circumstances have had a knock-on effect impacting on production demand and off take at Infrasors' mines. Infrasors' principal subsidiaries, Lyttelton Dolomite, Delf Sand and Infrabric continue to be profitable, solvent, cash generative and fully operational. The businesses are well managed, fully capitalised and financially healthy. The group balance sheet at 28 February 2009 has net assets in excess of 207 cents per share and is conservatively geared with a low level of borrowings. Pressure on operating margins has lessened in calendar 2009 due to the softening oil price compared to the year under review. Whilst demand for the group's products and services has fluctuated in certain industries pursuant to the economic downturn, Infrasors' overall position as a producer and supplier of base minerals and materials remains essential to its customers and the end users.