South African fresh produce giant Capespan has reported strong results in 2011 despite tough economic conditions globally.
Revenue at the company grew by only 2.9 per cent, but net profit increased by 28.7 per cent to R139.5 million (£11m).
Revenue growth, to R2.76bn, is in line with the weighted average depreciation of the rand during 2011, Capespan said. The company’s farming division increased its revenue because of better prices for table grapes, as well as the inclusion of the division’s results as a subsidiary for the full year.
Volumes of produce handled by Capespan's fruit division declined as a result of climatic conditions and the resultant seasonal reduction in volumes as the group focused on improving margins, which it achieved with a two per cent increase in revenue for the division despite lower volume.
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