Especially after PSG / Paladin's bid for an increased stake in Topfix, it is interest to peruse the construction-related business's latest set of interim results.

Topfix's original business is that of renting and selling scaffolding to construction firms that produced operating profit R8,3 million versus the comparable period's operating profit of R98 million.  Recessionary pressures in the local construction sector appear to blame for this, but luckily the Group's results were propped up by its two other segments being Personnel Outsourcing and Safety Surveillance.  The former segment produced operating profits of R10,3 million (up from R9,8 million) and the latter produced R10,3 million (up from R8,6 million).

Bottom line HEPS grew to 6,8c from 6c in the 2008 interim period and critical cash flow from operations was R23,4 million.

In closing, directors say how "...the recent Scaffolding expansion programme and local shortage of skilled artisans leave both the Scaffolding and Personnel Outsourcing operations well placed to take advantage of opportunities in South Africa. In addition, with the
Scaffolding operation`s recently awarded contracts in Richards Bay [worth R100 million over the next 3 years], the Group expects to achieve satisfactory results for the year to 30 June 2010, should there be no further economic deterioration."

---