Gold Reef Resorts Reports 25 Percent Hike in Profits
March 28 - The popularity of gambling is on the rise in South Africa judging by
the impressive 25 percent increase in earnings by Gold Reef Resorts, a leading
South African leisure and gambling group.
Gold Reef Resorts, which owns and operates five land casinos including Gold Reef City
casino and resort in Johannesburg, reported a 24.8 percent increase of its annual headline
earnings per share earlier this month, attributing the hike to the strong performance
of its casinos.
The group's Earning Per Share (EPS) increased in 2006 to 127.4 cents while its
revenue increased to R1.5 billion before tax, interest, amortisation and
depreciation, resulting in a rise of 27.8 percent to R623.7 million.
A Gold Reef Resorts spokesperson said that a deal to make a large portion of the
group available to black investors would aid the group in creating new business
opportunities as well as potential acquisitions within South Africa and
abroad.
At the beginning of March this year, Gold Reef Resorts issued a release that it had approved a R640
million deal designed to give black investors a further 25.1 percent stake in
the company.
