Listed ICT group, Business Connexion (BCX) on Tuesday reported a 5.5% lift in revenue to R6.5 billion for the ear ended August 2014.<\/p>\n
Operating profit increased by 30.4% to R420.8 million, while EBITDA was up by 17.8% to R660.3 million.<\/p>\n
Normalised diluted headline earnings per share of 39.8 cents per share, was down from 45.1 cents in 2013.<\/p>\n
The group declared a special gross cash dividend of 20 cents per share on 7 August 2014.<\/p>\n
In May, Telkom said it had entered into an agreement to acquire BCX in a R2.7 billion cash offer funded from its own cash resources.<\/p>\n
At a shareholders meeting in August 2014, shareholders voted in favour of the offer by Telkom to acquire the entire share capital of BCX by way of schemes of arrangement.<\/p>\n
The proposed transaction is now awaiting approval from the Competition Commission of South Africa; the Common Market for Eastern and Southern Africa; and the Independent Communications Authority of South Africa (Icasa).<\/p>\n
BCX said that costs relating to the Telkom transaction had amounted to R9.9 million.<\/p>\n
The group said its services division, which offers a full range of ICT infrastructure services and value added business solutions, including cloud services, grew revenue by 6.4% to R2.3 billion.<\/p>\n
The UCS division, which offers end-to-end solutions targeted at the retail industry, grew revenue by 9.6% to R1.28 billion, while operating profit improved to R108 million.<\/p>\n
The Canoa division offers Managed Print Solutions (MPS) and office automation, saw\u00a0 revenue decrease by 3.2% to R1.08 billion and operating profit decrease to R99.2 million, from R116 million in 2013.<\/p>\n
The Technology division achieved strong organic revenue growth of 19% to R826.4 million and a contribution of R34.4 million (2013: R26,5 million) to operating profit for the year.<\/p>\n
Revenue in the International division grew 28.8% to R685.5 million. However, the division delivered an operating loss of R27.6 million (2013: R11.1 million profit) for the year due to a poor performance in the Nigerian operations.<\/p>\n
“The operational challenges in Nigeria are being addressed,” BCX said.<\/p>\n
Business Connexion CEO passes away<\/strong><\/a><\/p>\n Telkom target BCX buys into Nigerian firm<\/strong><\/a><\/p>\n