Sasol's [JSE:SOL] profitability has been negatively impacted by a stronger rand, prolonged strike action in Secunda and the reversal of a provision. The chemicals and energy group's operating profit is down 8% to R13.7bn compared to the previous period. "The valuation impact of the stronger closing exchange rate for the period under review negatively impacted earnings by approximately R1.46 per share," the group explained. Further, the strike in Secunda resulted in an additional net cost of R1bn, or R1.06 per share. Operating profit for Mozambican operations increased from R437m previously to R988m due to increased production volumes.

Source: The North Africa Journal February 28, 2017 08:52 UTC