Grindrod reported a 52% rise in first-half 2026 EBITDA to ZAR 884 million, driven by the full consolidation of Matola Terminals Concession Management (TCM) and strong port throughput in Maputo and Richards Bay.
Group revenue increased 19% year-on-year to ZAR 2.85 billion, though normalized for prior-period consolidation effects, revenue declined 7%. Headline earnings remained flat at ZAR 593 million, with a normalized comparison showing a 6% shortfall against ZAR 637 million in the prior period. Cash generated from operations rose 28% to ZAR 561 million, while the group maintained a net cash position of ZAR 535 million, down from ZAR 699 million at the start of the period.
Port of Maputo handled a record 8.4 million tonnes in the first half, a 29% increase from 6.5 million tonnes in H1 2025, reflecting a 17% compound annual growth rate since 2022. Richards Bay Navitrade processed 1.7 million tonnes of coal, while Durban’s multipurpose terminal handled 1.3 million tonnes of spodumene. Matola TCM contributed ZAR 371 million in incremental EBITDA despite a 7% volume decline to 4.2 million tonnes, attributed to weather disruptions and elevated freight costs.
The logistics segment reported mixed performance, with locomotive deployment rates at 46% in H1, improving to 65% in H2, while agency and forwarding activity softened. Terminals headline earnings reached ZAR 535 million, up 18% excluding prior-period COVID-19-related proceeds, with EBITDA margins expanding by 13 percentage points to 43%.
Grindrod declared an interim dividend of ZAR 0.243 per share, a 66% increase year-on-year, with dividend cover at 3.5 times headline earnings. Shares traded at ZAR 22,500, 13.3% above the 52-week low and 45.3% below the 52-week high.
The group outlined several growth initiatives, including the near-completion of the Matola back-of-terminal expansion, expected to boost capacity to 12 million tonnes annually by Q1 2027. A test train operation is slated for year-end 2026, with rail services commencing in April 2027 under South Africa’s open-access rail framework. Dredging at Maputo Port is scheduled to begin in H2 2026, with completion expected in Q4 2027, enabling handling of Capesize vessels up to 170,000 tonnes.
Macroeconomic projections for 2026 anticipate global growth of 3%, with China at 4.6%, India at 6.4%, South Africa at 1.1%, and Mozambique at 0.5%, the latter constrained by January 2026 floods.
