• The Tongaat-Hulett Group operating profit grew by 40% to exceed R1 billion for the first time with ROCE increasing to 14,8%.
  • Moreland’s fourth successive year of record breaking performance with revenue increasing by 30% and operating profit increasing by 41% to R325 million.
  • Rolled products sales volumes increased by 6% to 183 000 tons annualised with Hulett Aluminium’s revenue exceeding R5 billion for the first time and operating profit increasing by 32% to R422 million.
  • Earnings growth acceleration continued in sugar operations with operating profit increasing by 42% to R356 million including dividends of R61 million received from Triangle in Zimbabwe.
  • The Tongaat-Hulett Group Headline earnings increased by 51% to R703 million in 2006.
  • Annual dividend payment to shareholders increased by 37,5% to 550 cents.
  • Proposed unbundling and listing of Hulett Aluminium announced.
  • Broad based BEE partners selected for equity participation in Tongaat-Hulett and Hulamin.


  • The R1,3 billion expansion of the Mafambisse and Xinavane sugar cane estates and milling operations was approved to take advantage of EU preferential market access from 2009.
  • European sugar reforms effective from July 2006 reduce EU sugar exports into the 40 million ton world sugar market from 2007.
  • Planning approvals for Izinga (Umhlanga Ridge) and Kindlewood (Mt Edgecombe South) residential estate property developments secured in December 2006.
  • Two major international hotel developments to commence in 2007:
    • Marriot International Hotel at Umhlanga Triangle
    • IFA’s 150 room, 5-star Fairmont Hotel and Gary Player designed Zimbali Lakes Golf Course.
  • A R950 million Hulett Aluminium expansion project approved in the last quarter of 2006, growing capacity to 250 000 tons and providing further mix enhancement by increasing output of thin gauge foil and heat treated plate.
  • Acquisition of 50,35% share in Hippo Valley sugar mill and estates in Zimbabwe for US$36 million.
  • Continued focus on customer service results in two customer service awards for African Products as the best raw materials supplier in 2006.
  • Huletts® again voted by an independent survey as the top sugar brand and the second leading food brand in South Africa.
  • Agricultural trials for a starch based super absorbent polymer result in yield and quality improvements of up to 50% with larger scale trials for the 2006/7 summer crop growing season.
  • The expanded aluminium heat treated plate facility was commissioned on schedule in the third quarter of 2006 and the first phase aluminium extrusion capacity expansion was completed.
  • Overhead cost increases in starch and glucose operations contained below inflation for the third consecutive year as organisational restructuring initiatives take effect.
  • Commercial production from the new white sugar technology plant at Felixton.
  • Following successful trials of silo bag storage for maize in the 2005/6 season Afprod has increased storage to 60 000 tons for the 2006/7 season.
  • Continued sales mix improvement with local rolled products and extrusions market volume growth of 11% and 15% respectively.


  • Total BEE preferential procurement spend increased to R919 million and 28% of the total available spend.
  • Blacks in management represent 49,3% of permanent staff at this level with 81,5% of skilled and supervisory positions comprising black incumbents.
  • Corporate Social Investment spend amounted to R6,8 million in 2006.
  • The total lost time injury frequency rate improved to 0,21 in 2006 from 0,31 in 2005 and 1,27 in 2003.
  • All South African and Swaziland sugar operations achieved ISO 14001:2004 certification.
  • 70% of the South African based employees participated in Voluntary HIV Counselling and testing.
  • Bridge City, an exciting public private partnership with the eThekwini Municipality, to be launched to the market early in 2007 as a mixed use town centre development serving the KwaMashu area northwest of Durban.