Reunert has blamed a difficult buying and selling setting during which key initiatives had been delayed for a drop in interim income and earnings.
The corporate, which has its main itemizing on the JSE the place it’s valued at simply greater than R11.14bn, can be traded on the A2X.
Its operations embrace the design and manufacturing {of electrical} conductors, cables and equipment, in addition to ICT-related providers for companies. It additionally has area of interest companies that cowl communications and radar methods.
“Reunert expects the transmission grid and associated infrastructure initiatives to solely begin within the 2026 monetary yr. Consequently, the broad SA macroeconomic setting skilled within the first half of 2025 is predicted to proceed for the rest of the yr,” the electronics group stated on Wednesday because it reported earnings for the six months to
end-March.
The firm is one among a handful of firms that weathered the fallout from Eskom’s load-shedding, due to its investments in renewable vitality and provide contracts with the facility sector. Its photo voltaic vitality enterprise had a robust efficiency as construct charges, margins and photo voltaic vitality property beneath possession all improved within the latest interval.
Nevertheless, bettering load-shedding has led to a reversal of this success.
“The battery storage market continued to be extraordinarily weak. The residential and small business battery storage market remained constrained within the absence of load-shedding, whereas the big battery storage market skilled gradual order receipts and elevated competitors,” stated the group.
The board thus determined to eliminate battery specialist Blue Nova Power “because it not helps the group’s strategic and monetary goals”.
Income for the interval decreased 5% yr on yr to R6.21bn and working revenue fell 16% to R585m, pushed by a lower within the utilized electronics section’s income attributable to the deferment of a fuse contract into the second half of the yr.
The group — established greater than 130 years in the past — has three segments: electrical engineering, which incorporates energy and telecom cables; ICT; and utilized electronics, which incorporates renewable vitality options and radars.
Revenue fell 19% to R382m and headline earnings per share retreated 20% to 238c. The group declared an interim dividend of 90c per share, up 8.4%.
In 2023, the group finalised a deal to take a 74.2% stake in IQbusiness, one among SA’s largest administration and expertise consulting companies. It employs greater than 1,000 individuals and generates greater than R1bn in income yearly, providing insights, consulting and contracting throughout client convergence within the monetary providers, retail and telecommunications sectors and the manufacturing trade.
Reunert not too long ago merged IQbusiness and its +OneX enterprise unit to create a single model.
Charl de Villiers, head of equities at Ashburton Investments, stated Reunert’s acquisition of IQbusiness signalled a daring transfer into digital consulting and data-led options.
Analysts are waiting for progress on integration, consumer retention and margin outlook. A chance to look at is Reunert’s strategic diversification away from hardware-reliant enterprise items — the place a mixture of Nashua’s SME community and IQ’s digital capabilities might drive a brand new development engine for the corporate.
Reunert shares had been up 1.48% by 2pm on Wednesday at R61.13. The share is down 18.49% to this point in 2025.
gavazam@businesslive.co.za
