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York begins to turnaround from dismal 2009

30th September 2010

By: Creamer Media Reporter

  

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Forestry and forest products group York Timbers recorded a R64,6-million profit in the 2010 financial year, a significant turnaround on the R232-million net loss recorded in the previous financial year.

The group, which was hit by falling demand and prices during the 2009 recession, reported headline earnings a share of 40c a share for the year ended June 30, 2010, compared with a headline loss a share of 254c a share in the year ended June 2009.

York, led by CE Piet van Zyl, paid off R450-million of its debt during the financial year and also exceeded its cost reductions target for the year by R7-million.

The JSE-listed company said that it had also enhanced the sustainability of its plantations through accelerated replanting of areas damaged in fires in 2007. More than double the hectares of plantation were replanted, compared to the hectares that were harvested in the financial year.

The accelerated replanting would continue throughout the 2011 financial year, at which point all the fire damaged areas would have been replanted.

York expected the improved performance recoded during the second half of its 2010 financial year to be sustained.

Revenues for the first three months of the 2011 financial year were already higher than that of the first three months of the 2010 financial year, the company stated.

Edited by Mariaan Webb
Creamer Media Senior Deputy Editor Online

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