ANNOUNCING the company’s results for the financial year ended 31 December 2023, the JSE-listed freight logistics company, Grindrod Limited said its headline earnings from its core operations grew by 29% to R1.4 billion.

The company generated EBITDA of 2.5 billion, up 16% from the prior year, and increased its full-year dividend to its shareholders by 84% to 72.4 cents per share. The results were delivered despite the challenging macroeconomic environment and softening prices in some of the commodities it handled within its portfolio, Grindrod said.

The port of Maputo achieved record volumes of 12.6 million tonnes, a growth of 28% on the prior period. Grindrod’s dry bulk terminals in Mozambique handled 12.9 million tonnes, an increase of 14% on the prior period, with Matola terminal achieving a record performance of 8.9 million tonnes.

The extension of the concession to operate the Port of Maputo until 2058 was confirmed and formally granted by the Government of Mozambique in February 2024 and reflects positively on the sustainability of the operations and Grindrod’s investment in the port.

Grindrod’s Logistics segment delivered strong results despite subdued charter markets and the impact of the 49% disposal of the sea freight and container handling depot business. The ships agency, clearing and forwarding businesses continued to grow. The locomotive deployment rate closed strong at 70% with positive prospects in the short to medium term.

“Cost-effectiveness of our integrated logistics solutions will be key to sustaining the growth of our customers’ cargo flows in the current challenging trading environment. Rail is an important enabler in achieving this”, said Xolani Mbambo, CEO of Grindrod Limited.