AFRIMAT one of the South Africa’s largest producers of aggregates, concrete bricks and blocks and ready-mixed concrete, has seen all its main indicators increase for the year to February, despite the slow pace of economic recovery.

The company’s mining and aggregates division, which accounts for 90% of business, saw revenue and operating profit leap by nearly 20% apiece, although profits fell from last year in concrete products and especially at its readymix division.

Mr Andries van Heerden CEO said that "There is a definite increase in tender activity, but instead of ZAR 20 billion projects, there are ZAR 300 million to ZAR 400 million private projects.” But he said that the move away from large-scale projects such as Soccer World Cup stadiums, Gauteng’s freeway improvement project and the Gautrain suited the company.

The company has a good footprint across SA and a strong presence in rural areas.

Mr van Heerden said Afrimat’s smaller customers in the construction market had full order books, despite a continuing slump in the housing market.

The company had also recently moved into industrial minerals through its buyout of former Exxaro Resources’ asset Glen Douglas Dolomite, providing steel makers with metallurgical dolomite and agricultural lime.

(Sourced from www.businessday.co.za)