Conglomerate Innscor Holdings recorded a 69 percent rise in profit before tax for FY2019 at $4.54 billion on the back of improved income.

Annual headline earnings per share of 450.56 cents, was an 84 percent increase over the prior comparative period.

National Foods, Prodiary, Natpak, Probrands and Irvines all recorded improved volumes over the period.

The group reported full year revenues of $23.93 billion during the year under review, representing a 24 percent increase on the comparative year.

“Revenue growth was achieved on the back of mixed volume performance, the gradual removal of subsidies on most products, as well as infl ation-induced price adjustments,” said the group.

“The group’s improved product mix, coupled with a well-priced strategic raw material investment and enhanced production and overhead efficencies, combined to deliver an operating profit of $3.859 billion for the year under review, representing a growth of 54 percent over the comparative year.”

Innscor’s financial income was dominated by revaluation gains on financial assets whilst fair value losses on biological assets resulted from the reduction in the real market value of parts of the group’s livestock herds, and represents lower real sales pricing being realised within the protein markets.

Management said the increase in the depreciation charge to 606 million arose primarily as a result of additions to fixed assets and a small adjustment resulting from the initial adoption of IFRS16 (Leases).

Despite the reduction in net gearing levels, resulting from scarce liquidity and the steady devaluation of the local currency; the net interest expense increased, mainly due to the various monetary policy measures that resulted in a higher cost of borrowing from local financial institutions.

As indicated earlier, group associates delivered a pleasing increase in rarnings with all business units contributing positively to the overall
result.

A monetary gain of $263 million was recorded during the year under review, indicating the efficient deployment of resources to non-monetary assets.

The increase in other comprehensive income to $1.48 billion was largely attributable to exchange differences arising on the translation of foreign operations.

The board declare a final dividend of 100 cents per share for the year under review.