A creditable performance was achieved despite strike action in the security and cleaning industries. Growth in tourism, property and petro-chemicals has knockon benefits for numerous Bidserv units. Higher interest rates were mildly positive for financial service activities. Trading profit grew by 19,0% to R669,4 million on a 16,2% increase in revenue to R5,4 billion.

Bidserv increased its ownership of Master Currency to 100% in a transaction that only became eff ective in July 2007 while Hotel Amenities Suppliers (ex-Bidfood) joined Bidserv. TMS bought a small industrial services company to complement its existing product range.

The market for cleaning services remained buoyant. Opportunities are being examined in areas such as food hygiene. Laundry Services achieved pleasing profitability levels in a year of consolidation.

Investment in infrastructure and consolidation is driving continued growth at TMS, now positioned as a strong partner able to assist major industrial and petro-chemical companies.

The Steiner Division achieved good growth. Last year’s inclusion of Execuflora within the division proved highly successful. Steiner has opened operations in Mozambique and Botswana.

Industrial Products has built strong momentum and has created the industry’s first workwear cash-and-carry operation. National rollout of G. Fox products has helped this business grow by 50% in two years. Malawi-based Giant Clothing put in another strong performance.

Green Services had a record year following further expansion into golf course design and development. Aviation Services enjoyed substantial growth and has become a significant player in the growing airport services market. Aviation Services was awarded a super licence which will commence in March 2008.

Bidrisk Solutions (the guarding and electronics security businesses) was aff ected by the aftermath of the strikes. Magnum’s results were extremely disappointing. Vericon’s security off erings did well. Provicom Electronics put in another satisfactory performance.

Global Payment Technologies has formed strong relationships in the financial services sector and continues to secure acceptable growth. Pleasing progress at Business Solutions and Group Procurement is expected to continue.

Office automation did well and won a major government tender. Konica Minolta’s market leadership has been strongly entrenched.

Bidtravel Services put in an outstanding performance, buoyed by airline business growth, strong car rental demand and high hotel occupancies.

The interest rate climate, high demand for travelrelated forex and a strengthened management team underpinned a pleasing performance at Bidvest Bank. We regard financial services as an area of strategic opportunity, particularly within the wider Group.

Bidserv anticipates continued growth as its strategy of taking a bigger basket of value-adding services to a corporate customer-base has growing appeal.