KayDav final results December 2018
Revenue for the year increased to R999.2 million (2017: R945 million), gross profit rose to R272.6 million (2017: R258.1 million), operating profit soared to R42.6 million (2017: R21.8 million), profit for the year jumped to R26.5 million (2017: R10.4 million), while headline earnings per share grew to 15.1 cents per share (2017: 6 cents per share).
Distribution to shareholders
Notice was given that the board of directors of KayDav has resolved to make a distribution to shareholders by way of a capital reduction in lieu of a dividend out of share premium (a reduction of contributed tax capital as defined in the Income Tax Act, No. 58 of 1962) of 6.5 cents per share ("the cash distribution").
The Board Distribution and Adaptation segment consists of mature businesses with a large market share. To achieve profitable growth in the current tough economic environment is difficult. In order to maximise profit and cash generation in this segment, management remains committed to improved customer service, increased sales efforts, improved cost efficiencies and enhanced working capital management.
The Packaging segment provides opportunities for growth being a relatively small player in a large industry. Therefore, the Group continues to identify and introduce new product lines to drive growth.