Imperial Logistics expects lower earnings as it impairs SA assets

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The company says that the the state of SA’s economy and rising competition has led it to intensify efforts to restructure and rationalise its operations

The company says that the state of SA’s economy and rising competition has led it to intensify efforts to restructure and rationalise its operationsImperial Logistics says earnings will probably fall in the year to end-June as it writes down the value of its consumer packaged goods business in SA by up to R1.4bn.

But its consumer packaged goods business — which accounts for a fifth of revenue in SA — continues to be loss-making, it said. “This significant step does not represent our exit from the consumer industry [segment] in SA, but only the rationalisation of the multi-principal distribution capability that has become unviable,” it said.

 

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