EOH now ‘normal business’ after troubled four years

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EOH reports R110 million in operating profit from continuing operations, as it recovers after four troubled years. FinancialResults

After years of being dogged by allegations of corruption surrounding public sector contracts and failures in corporate governance, among other issues, EOH is now a “normal business”.

According to EOH, revenue from continuing operations increased 8%, despite a challenging local operating environment. “This business is fairly reliant on SOEs and mining in South Africa, but diversification initiatives have started, with investments in West and East Africa through the exclusive AVEVA rights, as well as a focus on manufacturing and FMCG clients in South Africa,” EOH says.

The largest operating division, Digital Enablement, led the way with a 20% increase in revenue and 24% increase in earnings before interest, taxes, depreciation and amortisation at improved margins. With the improved operating performance and outlook in FY2022, the board was able to approve an R80 million strategic investment in the business, of which R48 million has been invested in the first six months.

 

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