COMPANY NEWS IN BRIEF
Glencore set to announce decision on possible coal split next weekGlobal mining and resources giant Glencore will announce next week if it intends to decide to demerge its coal assets from the group, including its mines in SA.
Glencore said it is in the process of consulting with shareholders to assess their views, and it intends to announce its decision along with its interim results next week. Glencore has previously committed to go ahead with the demerger if the move had shareholder support.
The concept of spinning off the coal assets emerged last year as part of Glencore's proposed merger with Teck Resources, a leading Canadian miner with prized coal and copper assets.
The merger proposal - which envisaged the formation of two separate coal and metals businesses – failed to get Teck's support, but Glencore has, however, now acquired Teck's 77% interest in its steelmaking coal business, Elk Valley Resources.
In SA, Glencore has four thermal coal operations in Mpumalanga, and it is one of SA's largest producers, producing for both export and domestic power generation. It is also one of Australia's largest coal producers.
Glencore's half-year production dropped across a number of business units – including copper and coal – but the group said its full-year 2024 production guidance has been maintained across its portfolio.
-FIN24
South African grocery retailer Shoprite's annual sales jump 12%
South Africa's biggest supermarket group Shoprite said on Tuesday that total sales of merchandise for the full year jumped 12%, buoyed by new store openings and as the majority of its store brands reported double digit sales growth.
Shoprite's total sales from continuing operations rose to 240.7 billion rand ($13 billion), including the hyperinflation impact in Ghana. Like-for-like sales growth for the period measured 6.3%, with the stores acquired from Walmart-owned Massmart included in like-for-like sales growth only for the second half period.
The group's core business, Supermarkets South Africa, grew sales by 12.3%, contributing 81% to group sales, with its upmarket grocery chain Checkers growing sales by 12.3%. The Checkers Sixty60 online grocery delivery business grew sales by 58.1%.
Its discount grocery brands, Shoprite and Usave, which compete with Pick n Pay's (PIKJ.J), opens new tab Boxer chain, reported sales growth of 10.7%.
The retailer, which also operates in nine countries across Africa, opened 292 stores during the period, including 63 new format, adjacent category specialist stores such as pet, baby and clothing, to a total of 3,639 stores from continuing operations, it said.
-REUTERS
Ethiopian Airlines posts 14% jump in full-year revenue
Ethiopian Airlines posted revenue of $7 billion for its 2023/24 financial year, up from $6.1 billion a year earlier, helped by higher passenger numbers, state-owned Ethiopian Broadcasting Corporation (EBC) reported on Monday.
The airline carried 17.1 million passengers in the same period, up 23%, the broadcaster quoted Ethiopian Airlines Chief Executive Mesfin Tasew as saying at a results press conference.
Mesfin said the airline expects to carry 20 million passengers in the financial year that started in July and plans to add five new routes, the EBC reported.
Africa's biggest airline has also ordered 125 more planes, he said without disclosing further detail.
Last May Mesfin said he expected the airline to transport 30% more passengers in the 2023/24 year, buoyed by new routes and a rebound in global travel.
-REUTERS-