Here’s what caught our attention on Monday:
1. Economic events
The September figures for total new vehicle sales as well as the Absa manufacturing PMI are expected to be released on Monday. In August, total new vehicle sales increased to 47 964 from 47 856 in July.
Absa Purchasing Managers’ Index (PMI) fell slightly in September, weighed down by a fall in new sales orders and employment, a survey showed on Monday. The index, was at 43.2 in September from 43.4 in August, staying below the 50-mark separating contraction from expansion.
2. Sanral results
The South African National Roads Agency (Sanral) released its integrated report for 2018 on Monday. The parastatal which is responsible for the construction and maintenance of the roads is reporting a 4% increase in non-toll related revenue to R9.018 billion, while revenue from toll operations increased by 5.77% to R5.194 billion for the year. Sanral says it received a R13.58 billion grant from the government, from which it says R6.361 billion was deferred for the year and used on capital projects. Sanral has declared no dividends for the period.
3. Conduit Capital results
Insurance company, Conduit Capital is reporting a 12.7% increase in net asset value to 190 cents for the year ended June 30, 2018. The company measures growth by change in net asset value per share. Headline earnings for the period also increased to R133.5 million from R82.7 million in 2017. Headline earnings per share was also at an increased delivery of 21 cents compared to last year’s loss of 20.8 cents. The board has not declared a dividend for the period.
4. Texton Property Fund
For the year ended June 30, 2018, Texton Property Fund’s rebased dividend per share fell by 13.1% to 89.31 cents, while its restated net tangible asset value fell by 15.7% to 659.57 cents for the period. The number of properties for the period also fell by 9.3% to 49, from 54 the previous year. Texton Property Fund says despite tough trading conditions, it was able to perform in its core portfolio and will therefore be declaring a final dividend of 41.36 cents.
5. What’s behind fuel hikes
The anticipation around fuel hikes for October is looming.
South Africa’s energy minister, Jeff Radebe was able to bypass fuel hikes in September to go easy on consumer’s pockets, but the action cannot be performed in October. The South African Petroleum Industry Association (Sapia) gave a breakdown into how fuel hikes and prices are determined, read more here.