Mauritian civic major Gamma ups sales to Rs 4.9bn in 2014; profits dip to Rs 22.9mn
Gamma Civic, Mauritius’ leading building materials, construction, property and lottery gaming group, posted revenues of Rs 4.9 billion but saw profits fall to Rs 22.9 million in 2014, even as the future outlook for the gaming segment spells uncertainty, given that the new government has announced that it is undertaking a general review of the gaming industry. (Image: Company)
Mauritius industry major Gamma Civic Ltd reported revenues of Rs 4.9 billion for the year 2014 as per earning report released on the 11th March 2015.
Gamma is Mauritius’s leading building materials, construction, property and lottery gaming group, ranked 16th in the top 100 Mauritian companies with its main segment being the contracting and lottery cluster, which posted revenues of Rs 2.0 billion and Rs 2.7 billion respectively, contributed positively towards the group sales figure of Rs 4.9 billion.
With a heavily reduced operating profit of Rs 106.8 million — the two major segments reported operating profit of Rs 69.6 million for the contracting business and Rs 199.0 million for lottery segment — the entity margin stood at 2.2% and realised profit levels of a mere Rs 22.9 million in 2014.
Gamma’s finance cost amounted to Rs 83.5 million on a debt level of Rs 2.3 billion which represented a gearing of 11% and total assets at the end of the period stood at Rs 5.1 billion.
It is worth noting that the cash flow position of the company was favourable for the period.
As part of the company’s larger geographic diversification strategy, the group has started to investigate investment opportunities in Africa and Asia in the building materials industry.
Recent developments include the company’s bid to acquire the 51% shareholding of Holcim Group in Holcim (Mauritius) Ltd for which negotiations are still ongoing as part of the worldwide merger between Holcim Group and Lafarge Group.
However, the future outlook for the gaming segment is uncertain, given the new government has announced that it is undertaking a general review of the gaming industry which may affect Lottotech Ltd, with no official announcement in respect of the changes.
It may be noted that Gamma Civic is listed on the Stock Exchange of Mauritius with a market capitalisation of Rs 5 billion, is currently trading at Rs 37.30 and represents 2.2% of the official market total capitalisation.