Featured

Group Five has announced that Eric Vemer, the company’s CEO, has stepped down. This follows its first six-month loss in 11 years as a result of a R255 million settlement with the government for collusion. Group Five was one of seven construction companies fined.

Group CEO Eric VernerVemer’s resignation was unexpected, effective “within the next few weeks” he said at a financial results presentation. He took on the role of CEO on 1 December 2014, taking over from Mike Upton. No successor has been named.

“I will move on to new opportunities, but will assist the board during the transition and search for a new CEO,” Vemer said in a statement. Group Five Engineering & Construction (E&C) executive director Willie Zeelie will also be leaving the company. Mark Humphreys, current E&C chief operations officer has been appointed as the new head of the E&C business.

Shares in Group Five fell 2.91% to R23.32 rand after it announced the loss, which was also due to weakness in orders in its main engineering and construction business, and a drastic cut to its dividend, according to the company. Group revenue fell to R5.83-billion in the six months ended December 31, down from the R7.26-billion reported in the same period in 2015.

Group Five, which makes 81.2% of its group revenue from the E&C division, said revenue in that division decreased by 23.4% to R4.8 billion. In addition to the impact of the settlement agreement with government, the commercial close-out and final settlement of a dispute with Transnet on its new multi-products pipeline (NMMP) negatively impacted E&C’s operating profit by a further R244-million.

Excluding the effects of the two settlement agreements, the company’s building and housing division showed a R23-million profit, civil engineering a R49-million loss, projects a R106-million loss, and the energy division a R12-million profit. Group Five’s Investments and Concessions business reported a 36% drop in core operating profit, to R145-million. Manufacturing increased its core operating profit by 25%, to R35-million.

The group cut its dividend by 67% to 14 cents per share, from 42 cents.

Magazines

African Fusion

AfricanFusionAfrican Fusion, the official publication of the Southern African Institute of Welding (SAIW), aims to provide up-to-date insight into welding technology and the welding industry.

Capital Equipment News

Capital Equipment News is dedicated to the application of equipment and modes of transport that are used in the mining, construction, quarrying, and transport industries.

Construction World

ConstructionWorldConstruction World was first published in 1982 and has grown to become a leader in its field, offering a unique mix of editorial coverage to satisfy the diverse needs of its readers.

Electricity + Control

ElectricityandControlE + C publishes innovative, technical articles that provide solutions to engineering challenges in measurement, automation, control, and energy management.

Lighting in Design

LightingandDesignLighting in Design is a glossy, upmarket publication aimed at lighting professionals. It is the only B2B magazine in SA that is dedicated solely to the subject of lighting.

MechChem Africa

MechChemJanuary2017cover MechChem Africa supports African engineering and technical managers across the full spectrum of chemical and mechanical disciplines.

Modern Mining

ModernMiningEstablished in 2005, Modern Mining is one of SA's leading monthly mining magazines, noted for the quality and accuracy of its writing and the breadth of its coverage.

Modern Quarrying

ModernQuarryingModern Quarrying is firmly entrenched as a leading industry-specific magazine. It focuses on promoting the science and practice of quarrying and processing in southern Africa.

Sparks Electrical News

SparksElectricalNewsReadable and informative, Sparks Electrical News is the newspaper for those involved in installing and maintaining electrical supplies and equipment.

 
Full Name*
Invalid Input

Company Name*
Invalid Input

Your Email*
Invalid Input

Phone*
Invalid Input

Postal Address 1*
Invalid Input

Postal Address 2*
Invalid Input

Postal Code*
Invalid Input

Street Address 1
Invalid Input

Street Address 2
Invalid Input

Postal Code
Invalid Input

Town / City*
Invalid Input

Country*
Invalid Input

Magazine

Invalid Input

Invalid Input