Corporate

 

Highlights

  Eighth programme completed at the Bidvest Academy  
  Clips of Pilobolus corporate ads reach global audience via social media  
  Status secured as preferred suppliers to World Cup’s biggest service provider  
  Bidvest Wits boosts brand awareness among black South Africans  
  Transformation momentum maintained  
  Quality of property portfolio shines through in a difficult year  
  Restructuring completed at Ontime Automotive in UK  

    Brian Joffe, chief executive
 

 

  Financial indicators
(for the year ended June 30) 		 2009   
R'm   		 2008  
R'm  		 %  
change  
  Revenue   727,0    993,5   (26,8) 
  Trading profit   65,0    98,0   (33,7) 
  Operating profit   209,5    111,3   88,2  
  Operating assets   2 471,0    2 809,8   (12,1) 
  Operating liabilities   180,7    412,3   (56,2) 
  Depreciation   61,6    58,4   5,5  
  Amortisation and impairments of intangible assets   2,7    2,8   (3,6) 
  Goodwill and intangible assets   8,3    7,4   12,2  
         
         
  Sustainable development indicator overview   2009** 2008   2007  
  Employees   610    2 600   *  
  Total training spend incurred at Corporate (R’000)  30 556     28 202   22 654  
  Employees attending HIV/Aids training (%)  4,3    10,3   *  
  Lost time injury frequency rate   16,6    14,2   9,9  
  Work-related fatalities (number)  0    0   0  
  BEE procurement (R’000)  786 971    360 175   27 182  
  CSI spend (R’000)  4 806    2 243   13 473  
  Enterprise development spend (R’000)  5 879    4 554   *  
  Total water usage (litres ’000)  26 312    36 579   *  
  Total electricity usage (kWh ’000)  1 727    6 807   *  
  Petrol (litres)  20 807    691 471   *  
  Diesel (litres)  7 053 994    9 669 141   7 203 350  
  Total carbon emissions (tonnes)  21 209    44 280   *  
  Carbon emissions per employee (tonnes)  34,5    17,0   *  
*Information not collated, not relevant or not entirely reliable
**Consolidation of Bidvest’s Namibian interests reported 2009 for the first time as a division
The prior year numbers include subsidiaries that are now part of Bidvest Namibia. The benefit of restating the prior year numbers does not justify the cost

 

Strategic proposition

The corporate office is a facilitator not a dictator. Divisional autonomy is respected. Corporate provides support by identifying growth opportunities and ensuring that Group resources are leveraged effectively. The unit houses Group investments, fosters Bidvest’s entrepreneurial culture and helps to drive Group-wide initiatives.

Sustainable development

The Corporate office provides leadership in sustainable development across Bidvest. Through idea and experience sharing, individual innovation is woven into overall strategy in support of the proudly Bidvest brand.

Sustainability governance is being strengthened at all levels and A practical guide to sustainable development was compiled and distributed electronically to 30 000 employees.

Our online sustainability data collation toolkit was expanded to all operations while roadshows at our divisions improved understanding of sustainability and the need for measurement.

Bidvest Property Holdings reduces our environmental footprint through “green building” practices. We strive to save energy and maximise usable building space.

Ontime Automotive’s headcount fell from 835 to 436. Company leadership managed the situation in a highly transparent manner. Retrenchment processes included consultation periods and measures to help employees find new jobs.

Sadly, a member of the public was fatally injured in a collision with one of our Rescue & Recovery trucks. We extended condolences to the family and provided counselling to the driver.

We increased health and safety training and received accreditation from the Contractors Health and Safety Accreditation Scheme.

To achieve Euro 5 emissions standards we fitted catalytic converters to our new Ontime vehicles. Additional sustainability information is available on the Bidvest website.

QUICK LINK

 

Performance

Revenue dropped 26,8% to R727,0 million (2008: R993,5 million). In extremely difficult business conditions, trading profit dropped 33,7% to R65,0 million (2008: R98,0 million).

Bidvest Namibia exited the Corporate fold and took on full divisional status ahead of a planned listing on the Namibian Stock Exchange in October. We wish our colleagues every success. Our other business interests are Bidvest Properties, which put in a pleasing performance, and UK-based Ontime Automotive, which was restructured to curtail persistent loss.

In addition, a small acquisition was made; that of MSC Sports.