A distinguishing feature of the Group is the existence of substantial opportunities to proactively increase earnings performance from its current base. Consequently, the focus on unlocking and accelerating earnings growth from the existing platform is common to all four of the Group’s operating companies, regardless of the direction in which external factors move.
On the first page of last year’s Annual Report, we clearly set out our comprehensive action plan and it is pleasing to report on our progress against those targets. The benefits of these actions have only just started to be reflected in the current financial results and they will realise further considerable value from the established asset and business base, as the Group moves forward.
Move to a leaner and more decentralised management approach and reduce head office overheads by at least 50 percent
Milling costs targeted to be reduced by 10 percent
Increase benefits from refining value chain
Leverage technology base and improve its commercial capabilities, focusing on future growth opportunities
Optimise capacity utilisation at all mills through cane supply initiatives in South Africa
Achieve a turnaround in Mozambique, with a positive contribution in 2004
Proactively manage Triangle in Zimbabwe
Implement new maize procurement/product pricing model
Enhance sales mix
Capitalise on solid platform
Unlock project pipeline to sustain earnings
Expand business model
Peter Chief Executive Officer