Grindrod revenue up 32% to R3.8bn

Grindrod, a leading logistics and shipping company, has reported a significant growth in revenue in the first half of the year, with a 32% increase to R3.8 billion. The CEO of Grindrod, Xolani Mbambo, attributes this growth to the company's operational performance in Mozambique, where they saw impressive growth in their port and terminals operations. The main port achieved a 30% growth, resulting in a record volume performance of 5.1 million tonnes. Additionally, their terminals in Maputo and Matola saw 38% and 10% growth in volumes respectively. The company also saw improvements in their operations in northern Mozambique and South Africa, particularly in their ships agency and clearing and forwarding business. Mbambo highlighted the success of their Eswatini multimodal corridor, which saw a 143% increase in bulk movement. This alternative route allowed Grindrod to control cargo flow and relieve congestion at the main border into Mozambique. The company has made significant investments in infrastructure, including a port warehouse in northern Mozambique and expansion of container terminal facilities in Johannesburg. Grindrod is also looking to further invest in upgrading their operations in Maputo, with a planned investment of $130 million. The company's partnership with Transnet for freight rail operations is crucial for the cargo flow in South Africa. The collaboration between the rail authorities in Mozambique and South Africa is aimed at creating efficiencies and reducing truck congestion at the border. Despite some losses in their equity portfolio, Grindrod remains focused on recovering their investments through strategic projects. The company's Africa strategy, particularly in Sierra Leone, has been a success story, with the redeveloped mine requiring Grindrod's rail solution to move cargo to the port. Overall, Grindrod's strong financial performance in the first half of the year reflects their strategic investments and operational excellence.