Operational review

Operational review
 

Bidvest Industrial and Commercial
A leading manufacturer and distributor of electrical products, appliances and
services, office stationery, office furniture, packaging closures and catering
equipment in southern Africa with a small presence in the United Kingdom.

     
 
 
R8,6 billion
Revenue 7,0% decrease  
 
R421,3 million
Trading profit 29,4% decrease  
 
Revenue
(Divisional contribution %)		   Trading profit
(Divisional contribution %)
 
  Bidvest Industrial and Commercial
Environment
Represented by ACTIVE chair range. South Africa is experiencing a shortage of pine timber that is affecting the cost of all wood-related production industries. Seating, for example, consumes 220m3 of veneer each month, extrapolating to 18 000 trees felled annually. By introducing the new ACTIVE range of chairs, made from injection moulded foam around a polyurethane frame, the company has been able to save 40m3 of veneer per month, or 3 000 trees annually.
 
     
 

Highlights

  • Significant cash generated from operations of R434 million
  • Improved working capital management
  • Expense savings across the business
  • ERP solutions being implemented
  • Businesses refocused to take advantage of new market realities
  • Bidvest Materials Handling integrated into our business
  • Injury rate as measured by LTIFR reduced by half
  • 22 micro-business owners reselling computer consumables supported by Kolok
  
     
 
Financial indicators
(for the year ended June 30) 		 2010  
R’m  		 2009    
R’m    
Revenue 8 643,6   9 290,9    
Trading profit 421,3   596,9    
Operating assets 3 136,6   3 179,2    
Operating liabilities 1 336,7   1 324,5    
Depreciation 72,2   71,3    
Amortisation and impairments of intangible assets 8,2   24,5    
Goodwill and intangible assets 104,5   88,6    
     
Sustainable development indicator overview      
Employees 6 849   7 428    
Total training spend (R’000) 54 720   38 673(1)
Training spend per employee (R) 7 989   5 206(1)
Employees attending HIV/Aids training (%) 15,1   20,6    
Lost-time injury frequency rate 4,6   9,2(2)
Work-related fatalities (number) –   –    
BEE procurement (R’000) 3 756 119   6 535 413    
CSI spend (R’000) 2 448   3 008    
Enterprise development spend (R’000) 3 171   1 483    
Total water usage (litres ’000) 174 949   145 730(2)
Total electricity usage (kWh ’000) 29 476   28 874    
Petrol (litres) 4 207 856   4 794 263    
Diesel (litres) 3 231 010   3 673 228(2)
Total carbon emissions (tonnes) 49 103   50 907(2)
Carbon emissions per employee (tonnes) 7,2   6,9(2)
(1) Restated to include learnerships
(2) Restated
 
     
  QUICK LINK: Historic divisional sustainable development data