SOE flags financial uncertainty, but eyes recovery

JOHANNESBURG - State-owned Transnet faces “material uncertainty” over its ability to continue,
as a going concern, with a net loss of R1.9 billion and liabilities exceeding R65 billion.

Despite operational and financial challenges, including credit rating downgrades and covenant breaches, Transnet’s directors remain confident.

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They point to a 7.8% revenue increase and R145.8 billion in government guarantees as signs of recovery.

Transnet plans to boost capital investment and improve cash flow to return to sustainable profitability.

However, risks and uncertainties remain.

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