Logistics group Grindrod has highlighted that it expects an improvement in its overall performance in the second half of the year as weather-related disruptions ease and rail capacity recovers.
CEO Kwazi Mabaso expressed this sentiment during the company’s pre-close investor webinar on June 24.
Reflecting on the past five months, he said that favourable operating conditions at the Port of Maputo, in Mozambique, had resulted in an increase in cargo volumes by 30% during the five-month period ended May.
However, he added that the performance at Grindrod’s Terminal de Carvão da Matola (TCM) in Mozambique slowed by 8%, mainly owing to adverse weather conditions between January and February that affected the Phalaborwa region in Limpopo, South Africa, where magnetite is sourced. Magnetite contributes about 70% of TCM’s total cargo volumes.
“The volume recovery process at TCM Matola commenced in March when rain subsided and will continue into the second half of this year,” Mabaso said.
