MBABANE - Nkonyeni Pre-Cast Limited’s interim results for the six months ended December 31, 2025 reflect a period of operational pressure, shaped by deliberate investment decisions and structural changes within the business.
While the group reported a statutory profit for the period, this was largely driven by a once-off accounting gain arising from the acquisition of AT&T Quarries (Pty) Ltd. Excluding this non-cash gain, the underlying result reflects a loss before tax of approximately E1.6 million, highlighting the realities of a transitional phase in the group’s development.
This outcome was not unexpected. The period included the acquisition and initial integration of AT&T Quarries, which required upfront setup costs and contributed no revenue in the first two months following acquisition. At the same time, the business faced sustained pressure from elevated raw material costs, erratic weather conditions that disrupted production cycles and a marked increase in plant repairs and maintenance as the group prioritised operational reliability.
These factors combined to weigh on short-term performance, even as management continued to invest in strengthening the underlying business.
Against this backdrop, the group still delivered measurable progress across several key areas. Revenue increased to E27.6 million from E25.7 million in the comparable prior period, reflecting continued demand across core product lines and the resilience of the group’s customer base. This growth, achieved in a constrained operating environment, points to a business that continues to hold relevance in its market while adjusting its cost and operational base.
A central development during the period was the securing of E24 million in funding, which provided Nkonyeni Pre-cast Limited with the financial capacity to execute on its strategic priorities. This capital supported the acquisition of AT&T Quarries, enabled asset financing and strengthened working capital. It also marked an important step in aligning NPC’s balance sheet with its growth ambitions, allowing management to pursue expansion without compromising operational continuity.
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Nkonyeni Pre-Cast Managing Director Marissa van Zuydam.(Courtesy pic)