In an update of its performance for the 11 months to November 30, JSE-listed logistics services company Grindrod says the average price of dry-bulk mining commodities decreased by 12% when compared with the same period in 2024.

Despite some price softening during the 11 months under review, demand for both iron-ore and chrome has remained robust. Mining commodity markets mostly performed poorly, influenced by shifts in supply-demand dynamics, heightened geopolitical risks and seasonal trends, the company says.

Further, Grindrod's dry-bulk terminal operated by the Port of Maputo exported 13.9-million tonnes for the period, up from 13.2-million tonnes to end-November 2024.

Its dry-bulk terminals handled 15.2-million tonnes for the period, down from 15.5-million tonnes to end November 2024, with Terminal de Carvão da Matola (TCM) volumes reaching a record 9.1-million tonnes, and exceeding 2024 full-year volumes of 8.1-million tonnes.

In its logistics segment, the ships agency and clearing/forwarding operations remained resilient. The container and graphite handling businesses are recovering, albeit more slowly.

Expected low locomotive deployment impacted on rail performance, but the refurbishment programme is progressing, the company reports in a trading statement.

Grindrod’s 24.7% share of earnings from the Port of Maputo was R338.3-million, up from R320.5-million in the same 11-month period in 2024.

The earnings before interest, taxes, depreciation and amortisation (Ebitda) margin in the port and terminals segment was 39%, up from 35% in the comparable prior-year period.

The logistics segment Ebitda margin, excluding transport brokering, declined to 25% from 27% in the prior comparable period.

However, gross debt as at November 30, increased to R3.7-billion, up from R2.9-billion gross debt at the end of December 2024, largely owing to the subconcession lease liabilities at the Matola and Maputo terminals, offset by debt repayments.

Further, the group’s net cash at the end of the period amounted to R200-million, compared with net debt of R400-million at the end of December 2024. The company, therefore, has healthy headroom from a covenant perspective, and which reflects a strong balance sheet poised for growth, it says.

Meanwhile, the group's strategic focus during this year was streamlining and focusing the business, which benefited the company while it navigated a significant leadership transition.

Its focus now shifts from restructuring to optimising its core operations while executing on its strategic growth project pipeline that includes rail, container terminal and TCM’s three-million-tonne-a-year capacity expansion, Grindrod says.

It will release its results for the 12 months ending December 31, on or about March 6.