Media and entertainment group Johnnic Communications has increased its revenue for the six months to September by 32% to R5 billion.
Basic headline earnings per share grew by 17% to 148c from 127c last year and attributable earnings dropped by 21% to 125c per share from 158c last year due to amortisation of goodwill and a higher effective tax rate.
The group attributes this growth largely to the 40% growth in revenue and an improvement of margins from its telecommunications division.
M-Cell`s revenue grew 40% for the interim period to R3.8 billion, nudged along by a strong growth in MTN subscribers.
Basic headline earnings for the division increased by 94% to R432.5 million, although this was affected by development costs in Cameroon and Ghana of R43 million. The group says this will be felt in the short-term, but expects good future returns from its African operations.
Digital media division Johnnic e-Ventures achieved revenue of R3.2 million and a headline loss of R8.8 million for the period.
e-Ventures had been on an acquisition spree during the period, acquiring a 51% stake in CareerJunction, 51% in Tradeworld, 50% in Compress, and a 30% stake in Sportal.
As a group, Johnnic Communications reduced debt by R1.3 billion, which it says will have a significant impact on headline earnings for the second six months.
However, it is expected that attributable earnings will continue to be affected by amortisation of goodwill related to acquisitions.
The group remains unhappy with its pyramidal structure and cautioned investors that further restructuring will occur in the new year.
Related stories
Johnnic pours R50 million into new net ventures
Share
