TechCentralTechCentral
    Facebook Twitter YouTube LinkedIn
    Facebook Twitter LinkedIn YouTube
    TechCentral TechCentral
    NEWSLETTER
    • News

      Management shake-up at TymeBank – including a new CEO

      24 May 2022

      Standard Bank CEO apologises for weekend downtime

      24 May 2022

      South Africa fifth in Africa for blockchain funding

      24 May 2022

      Hein Engelbrecht to lead Mustek on interim basis

      24 May 2022

      Datatec in talks over Analysys Mason unit

      24 May 2022
    • World

      Terra collapse triggers $83-billion DeFi slump

      24 May 2022

      Zuckerberg sued in personal capacity over Cambridge Analytica

      24 May 2022

      Is the end of the bitcoin winter nigh?

      24 May 2022

      Zoom leaps higher on upbeat forecast

      24 May 2022

      Michael Dell becomes kingmaker in Broadcom, VMware deal

      23 May 2022
    • In-depth

      Bernie Fanaroff – the scientist who put African astronomy on the map

      23 May 2022

      Chip giant ASML places big bets on a tiny future

      20 May 2022

      Elon Musk is becoming like Henry Ford – and that’s not a good thing

      17 May 2022

      Stablecoins wend wobbly way into the unknown

      17 May 2022

      The standard model of particle physics may be broken

      11 May 2022
    • Podcasts

      The rewarding and lucrative careers to be had in infosec

      23 May 2022

      Dean Broadley on why product design at Yoco is an evolving art

      18 May 2022

      Everything PC S01E02 – ‘AMD: Ryzen from the dead – part 2’

      17 May 2022

      Everything PC S01E01 – ‘AMD: Ryzen from the dead – part 1’

      10 May 2022

      Llew Claasen on how exchange controls are harming SA tech start-ups

      2 May 2022
    • Opinion

      A proposed solution to crypto’s stablecoin problem

      19 May 2022

      From spectrum to roads, why fixing SA’s problems is an uphill battle

      19 April 2022

      How AI is being deployed in the fight against cybercriminals

      8 April 2022

      Cash is still king … but not for much longer

      31 March 2022

      Icasa on the role of TV white spaces and dynamic spectrum access

      31 March 2022
    • Company Hubs
      • 1-grid
      • Altron Document Solutions
      • Amplitude
      • Atvance Intellect
      • Axiz
      • BOATech
      • CallMiner
      • Digital Generation
      • E4
      • ESET
      • Euphoria Telecom
      • IBM
      • Kyocera Document Solutions
      • Microsoft
      • Nutanix
      • One Trust
      • Pinnacle
      • Skybox Security
      • SkyWire
      • Tarsus on Demand
      • Videri Digital
      • Zendesk
    • Sections
      • Banking
      • Broadcasting and Media
      • Cloud computing
      • Consumer electronics
      • Cryptocurrencies
      • Education and skills
      • Energy
      • Fintech
      • Information security
      • Internet and connectivity
      • Internet of Things
      • Investment
      • IT services
      • Motoring and transport
      • Public sector
      • Science
      • Social media
      • Talent and leadership
      • Telecoms
    • Advertise
    TechCentralTechCentral
    Home»News»Altech slumps to R485m pretax loss

    Altech slumps to R485m pretax loss

    News By Duncan McLeod26 September 2012
    Facebook Twitter LinkedIn WhatsApp Telegram Email
    Craig Venter

    Altech’s headline earnings per share in the six months ended 31 August 2012 have fallen by 19% over the same period in 2011 as the result of continued poor performance by its businesses in East and West Africa.

    Due to write-downs in goodwill and the carrying value of those businesses, Altech has reported an accounting loss before tax for the six months of R485m.

    The JSE-listed technology group’s revenue rose by 6,8% to R5,2bn, while operating profit before capital items was 13,5% lower. It says that apart from East and West Africa, it’s businesses performed to expectations, with Altech UEC, the Durban-based manufacturer of decoders and set-top boxes, returning to a “more acceptable profit level”.

    In a statement to shareholders, the group says it is “confident that it will resolve the operational challenges in East Africa and return to its normal pattern of growth and profitability”. It has reached a deal to dispose of its 75% interest in the West African business.

    The group’s largest subsidiary, mobile service provider Altech Autopage Cellular, increased its operating profit by 3,7% on the back of a rise in revenue of 0,3%. The slow growth, it says, is due to a contraction in mobile airtime revenue and slower than expected Internet service provider revenue growth. This was mitigated by increased prepaid and value-added service revenues.

    Average revenue per user for the period, including value-added services, fell by 12,5% due to the acquisition of customers on hybrid tariffs, lower spend due to additional value in network price plans and general consumer pressure.

    Altech says ongoing dilution on post-paid airtime revenue — as illustrated by falling revenue per user — is expected to continue as the mobile networks release new products at lower prices and offer heavily discounted tariffs for data in an increasingly competitive market.

    Vehicle tracking company Altech Netstar grew revenue by 4% in the six months over the same period in 2011, with a net growth in subscribers of 14 000, bringing the active base in SA to nearly 540 000 vehicles.

    Altech CEO Craig Venter will present the group’s interim results to shareholders on Thursday. TechCentral will bring you an interview with him later in the day.  — (c) 2012 NewsCentral Media

    Altech Altech Autopage Cellular Altech Netstar Altech UEC Craig Venter NetStar
    Share. Facebook Twitter LinkedIn WhatsApp Telegram Email
    Previous ArticleTelkom decision imminent – Pule
    Next Article Vodacom, MTN in race to 4G

    Related Posts

    Management shake-up at TymeBank – including a new CEO

    24 May 2022

    Standard Bank CEO apologises for weekend downtime

    24 May 2022

    South Africa fifth in Africa for blockchain funding

    24 May 2022
    Add A Comment

    Comments are closed.

    Promoted

    Generalists tend to outperform specialists when the going gets tough

    24 May 2022

    Vodacom champions innovation acceleration in Africa

    23 May 2022

    Kyocera answers top 10 questions on enterprise content management

    23 May 2022
    Opinion

    A proposed solution to crypto’s stablecoin problem

    19 May 2022

    From spectrum to roads, why fixing SA’s problems is an uphill battle

    19 April 2022

    How AI is being deployed in the fight against cybercriminals

    8 April 2022

    Subscribe to Updates

    Get the best South African technology news and analysis delivered to your e-mail inbox every morning.

    © 2009 - 2022 NewsCentral Media

    Type above and press Enter to search. Press Esc to cancel.