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The Star
a day ago
- Health
- The Star
Weskoppies Hospital remains fully operational despite power cut, says Gauteng Health
The Gauteng Department of Health (GDoH) has confirmed that Weskoppies Psychiatric Hospital remains fully operational and that patient care has not been compromised, despite the disconnection of electricity at the facility by the City of Tshwane on Monday. According to the department, the power cut occurred while a payment of R1.2 million for March and April electricity consumption was already being processed. The delay in settling the account has been attributed to the transition into the new financial year. 'The hospital normally makes additional payments to ensure continuous electricity supply, however, this time around it could not do so,' said the Gauteng health spokesperson, Motalatale Modiba, adding that the outstanding amount is currently in the payment process. In the meantime, the facility has remained functional through the use of five backup generators and a solar power system. 'We want to assure the public again that the backup power supply system, which includes five generators and a solar system at Weskoppies, is fully operational, and patient care will continue uninterrupted while the normal electricity supply is being reconnected,' said Modiba. The department also highlighted that, on the same day as the power disconnection, it had already paid R3.8 million to the City of Tshwane in relation to other healthcare facilities in the municipality.
IOL News
3 days ago
- Business
- IOL News
Lewis Group's growth strategy: New stores and record earnings
A Lewis furniture store. The group with store brands that also includes Beares and Bedzone, plans to open a minimum of 20 new traditional retail stores and 20 specialist bed stores in the 2026 financial year. Image: Supplied Lewis Group's robust 66.9% increase in operating profit to R1.2 billion for the year to March 31 was driven by strong credit sales, expanding margins and good growth in the debtors' portfolio. The exceptional results saw investors drive up the share price by 6.28% on Thursday afternoon to R83.45, bringing the rally in the price to 83% over 12 months. Satisfactory paying customers for the retailer of furniture, home appliances, electronics and homeware reached a new record high. The operating margin improved significantly by 790 basis points to 22.7% from 14.8%. CEO Johan Enslin said in an interview that sales and collections in April and May were in line with their expectations. He said that exclusive new ranges in August and September would boost sales, and the group was on track to open at least 40 new stores in the upcoming financial year. The furniture retail group increased headline earnings by 53.5% to R768 million and headline earnings per share by 60.3% to 1 483 cents, supported by the positive leverage from the share repurchase program. Enslin said the share buyback program was on pause for now, after the valuation gap in the share price had closed following 8 years of share buybacks that had seen the group buy back some 48% of its shares. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Next Stay Close ✕ The final dividend was increased 66.7% to 500 cents a share, bringing the total for the year to 800 cents a share, with the strong increase indicating confidence from management in the group's cash-generating ability and growth prospects. Cash flow from operations increased by 34%. Gearing sat at a comfortable 36.6% and the balance sheet was healthy, said Enslin. The group exceeded its medium-term return on equity target of 15%, improving the return from 9.3% to 15.4% through higher profitability and the share repurchase program aimed at maximising shareholder returns. He said they increased the store footprint to 918 with the opening of a net 33 new stores, and an additional 16 stores that were acquired through the purchase of cash retail bed specialist, Real Beds. The acquisition would be integrated into the group through the new financial year, and there were no other acquisitions on the horizon at this stage, said Enslin. Merchandise sales gained momentum in the second half and increased by 9.2% to R5.1bn. Credit sales increased 12.1%, with credit sales accounting for 68% of total merchandise sales compared to 66.2% last year. Total revenue, comprising merchandise sales and other revenue, increased by 13.5% to R9.3bn. Enslin said sales were robust, despite a constrained consumer spending environment, because the group made it easy to buy on credit and because there were items in the home that needed to be replaced periodically. He said the gross profit margin strengthened 30 basis points to 43.4% due to lower negotiated shipping rates on imported merchandise in the second half as well as the favourable movement in the rand/US dollar exchange rate. The debtors' book grew by 14.5% and the portfolio was of a high quality, said Enslin. Satisfactory paying customers increased to a high 83.5% from 81.3% in the previous year, and the collection rate ended at 78.9%. Non-performing accounts reduced from 5.5% to 4.1% of credit customers. On the outlook, Enslin said geopolitical tensions had created uncertainty across international markets and increased business risks locally. This uncertainty was compounded by recent instability within the Government of National Unity, he said. 'The challenging environment has slowed the country's economic recovery and dampened growth prospects. We expect a sustained turnaround in retail spending will now take longer to materialise than previously anticipated. Consumer demand for credit is expected to remain high,' said Enslin. He said they were not expecting economic growth in the country this year and the group's growth would likely be at the expense of market share from competitors. The group intended to open a minimum of 20 new traditional retail stores and 20 specialist bed stores in the 2026 financial year. BUSINESS REPORT Visit:
The Citizen
3 days ago
- Business
- The Citizen
RAF ‘deliberately withholding' information from Scopa
The SIU tells us that one law firm has received an incredibly disproportionate portion of the work allocated by the RAF – Scopa chair. What is the RAF hiding, and why does its R1.2m-a-year chair not think it 'important enough' to make sure Scopa is given the information it asked for? Picture: Moneyweb The Road Accident Fund (RAF) has been accused of deliberately withholding information from Parliament's Standing Committee on Public Accounts (Scopa) about the top 10 law firms to receive briefs and payments from the fund. Scopa chair Songeza Zibi said on Wednesday he has asked for this information twice, the first time on 6 November 2024. He now believes 'this information is being deliberately withheld from the committee for improper reasons'. 'In the intervening period, the SIU [Special Investigating Unit] came to brief the committee and one of the things that they told us is that one of the law firms has received an incredibly disproportionate portion of the work allocated by the RAF. 'We do not know who that law firm is but you can see why that information is pertinent.' He said he cannot understand 'why it is easy to provide the plaintiff information but it seems impossible to provide the corporate legal services information' when the committee has asked for it in writing and in the sitting. Zibi said one of the things he is concerned about is that there are names of law firms that appear on both the lists. ALSO READ: RAF CEO placed on special leave with full pay, as MPs grill fund What does the RAF chair say? RAF chair Lorraine Francois apologised for the information not being provided and assured the committee it will be provided. Zibi said his difficulty is that Francois was in the meeting and knew Scopa asked for this information, which has not been provided. Zibi said it would not be unfair to hold Francois responsible for the failure to provide this information because the board is the accounting authority. Francois said the RAF board secretary takes note of Scopa's requirements but they always assume that it is the responsibility of the RAF CEO and executive to put this information together. Controversial RAF CEO Collins Letsoalo was placed on special leave with full pay and benefits by the board on Tuesday as a precautionary measure, but it was stated that this did not constitute disciplinary action. ALSO READ: R25.5 billion deficit over five years — Can RAF afford to pay out claims? Francois said most of the time, the information requested gets submitted directly to Scopa. 'We are a non-executive board so we don't review everything that comes here directly. 'That is the responsibility of the executive. Now I take full accountability and will ensure this happens. But to respect the request of this committee, I will now get to that level to make sure we will provide this information,' she said. Scopa member Mark Burke of the DA took issue with her answer and asked her what her annual compensation is. Francois said it is about R1.2 million. 'You get paid R1.2 million, which is the equivalent of a parliamentary salary and in your mind it's too operational for you to respond to the [request] for information,' said Burke. 'That [it] is beyond the scope of your work. Does that seem reasonable to you?' Zibi said he would answer this question. 'You [Francois] didn't think it was important enough because I have raised it twice and you simply didn't bother to check. 'We are not asking you to be operational. I am asking you to ensure that the needs of the committee are met by way of information,' he said. ALSO READ: RAF national crisis demands urgent action – expert 'Terminate the board immediately' Scopa member Alan Beesley of ActionSA followed up by stating that he found Francois's response dumbfounding. 'I saw the list that [Zibi] asked for. It's not an extensive list,' said Beesley. He requested that Deputy Minister of Transport Mkhuleko Hlengwa write letters of termination immediately to the RAF board because it is acting with immunity at the moment and treating parliament with disrespect, which is totally unacceptable. Acting RAF CEO Phathutshedzo Lukhwareni said a panel of 43 law firms was appointed by the RAF in December 2023, but only 19 were briefed and paid during the 2023 and 2024 financial years 'at the time of preparing the report'. Lukhwareni said a total R6 million was paid to these law firms in 2023, and around R104 million in 2024. He said it is a panel (of law firms) and obviously the selection takes place depending on the complexity of the matter. ALSO READ: RAF at risk of imploding No state security clearance Scopa was also told that not a single member of the RAF's board or senior executive has a security clearance from the State Security Agency (SSA). Lukhwareni said all the forms have been submitted to the SSA for the vetting process and interviews have been held with some of the executives but 'from here on it's beyond our control from a RAF perspective and SSA is responsible'. Zibi said something does not match because on 16 October 2024 he had an exchange with Francois about the vetting of officials and one official, Letsoalo, was said to be vetted. Zibi pointed out that Letsoalo said in March 2025 that he had been vetted – and the difference between what he said then and the state of affairs now 'means for the second time he lied to the committee'. 'I asked him about the treasurer at the RAF and he [also] lied about that.' Scopa member Patrick Atkinson of the DA said Letsoalo – who was initially acting CEO of the RAF and has now been CEO for five years – has been without a security clearance for seven years. Atkinson said the problem with that is that (without clearance) Letsoalo has not been legally appointed to that position and the question then is how would he have the authority to take the legal action he has against the Auditor-General (AG). ALSO READ: Expert accuses RAF of misrepresenting itself and its purpose The RAF unsuccessfully applied to review and set aside the AG's disclaimer of the fund's 2020/2021 annual financial results and to declare the disclaimer invalid and unlawful. The AG issued the disclaimer because the RAF used an accounting standard it was not permitted to use. 'I understand the court might give him six months to get his security clearance but not seven years,' Atkinson said. 'If he has been operating for seven years without a security clearance, it raises a massive legal issue about a whole variety [of issues] about the accounting principles, not paying out medical aids and foreigners and a whole variety of board minutes which are illegal.' Zibi said he would have to take legal advice on that and would not hold the Department of Transport or RAF responsible for the tardiness of the SSA. He said Scopa will take that up with the responsible minister, but the committee needs to work out if Scopa was misled when the CEO told the committee that he had been vetted. This article was republished from Moneyweb. Read the original here.
The Citizen
22-05-2025
- Business
- The Citizen
‘We pay too much': Public funds wasted on inflated government costs, says Zibi
The Scopa chair called for stricter financial discipline, and proposed benchmarks to curb excessive spending. Rise Mzansi leader Songezo Zibi has criticised the government for wasting public funds by overpaying for goods and services, and failing to hold officials accountable for wasteful spending. His comments came during a media briefing by parliament's finance cluster on Thursday, a day after South Africa's third national budget was tabled. The latest fiscal plan outlined R68 billion in spending cuts over the next three years. The reductions aim to address revenue losses caused by the government's decision not to increase the value-added tax (VAT) rate. 'Pro-poor' budget During Thursday's briefing, Joe Maswanganyi, chairperson of the Standing Committee on Finance, described the 2025/2026 budget as 'pro-poor'. 'The budget, we believe, will bring inclusive growth even under constrained conditions,' he said. 'The budget contains hard choices, but it protects the vulnerable and positions our economy for stability and reforms.' ALSO READ: Pressure on Sars to prevent tax increases in 2026 Maswanganyi also praised the R7.5 billion allocated to the South African Revenue Service (Sars), aimed at boosting revenue collection. 'This reinforces fairness in our tax system, ensuring that all citizens and companies, especially the wealthy, pay what they owe.' However, he raised a red flag over the country's debt costs, pointing out that South Africa spends R1.2 billion per day on servicing debt. 'That needs to be addressed.' Watch the briefing below: Budget should prioritise solving real problems Zibi, the chairperson of the Standing Committee on Public Accounts (Scopa), spoke of the positive elements in the budget process, especially the growing engagement of South Africans. 'Taxpayers finally said, 'No more money. We make do with what we already give you'. 'This is a very good thing because people can now appreciate that the government, and that means taxpayers themselves, do not have limitless resources. READ MORE: Sensible or underwhelming? Economists react to Godongwana's Budget 3.0 'Money does not fall from trees. So you cannot commit to do everything, pay for everything, and not have problems thereafter.' He argued that the controversy over VAT had detracted from the real purpose of a national budget, which is setting expenditure priorities. 'Budgets are meant to solve problems. The debate around budgets is supposed to be about the order of those priorities and whether these allocations are sufficient or to be spent in an efficient manner.' Government wasting money Zibi highlighted flaws in how the government allocates and manages expenditure, pointing out that over R820 billion is spent on salaries, R440 billion on social grants, and R424 billion on debt servicing. The Rise Mzansi leader criticised government inefficiency and overspending, particularly in the procurement of goods and services. 'We pay too much because some of them are poorly conceived, poorly planned, poorly managed and often there is corruption.' READ MORE: Budget 3.0: not austerity budget, but a redistributive budget He called for expenditure reviews to ensure that 'every rent goes as far as possible' and also questioned whether the government remains fit for purpose. 'Do we have the right number of civil servants doing the kind of work that needs to be done? Or are we trying to fit a square into a circle?' Zibi called for stricter financial discipline and proposed the introduction of benchmarks to curb excessive spending. 'We need to set benchmarks where the government does not spend more than 100% of planned project spend, and staff are incentivised for projects that are completed on time and within budget. 'We cannot have civil and construction projects lasting double or triple the time, at double or triple the cost that was initially planned. That is not value for money.' Budget expenditure review Zibi further recommended 'centralising' project management to improve oversight and reduce inefficiencies. 'Consulting engineers, we've learned, are a massive weakness, failing to ensure that the work is of the right quality, payments are only made when the work is done, and when those payments are made, they're in line with what we should be paying. 'Fighting corruption is a priority to the minister reaffirmed yesterday.' Zibi added that both National Treasury and the Government Technical Advisory Centre (GTAC) have done work in recent years to better understand public expenditure patterns. He revealed that he has invited Finance Minister Enoch Godongwana for further engagements on the matter. 'We will look at exploring a joint sitting between the finance committees where he will lay out for two days, the areas where the government since 2013-2014 has been spending money, where that expenditure has been efficient, whether that expenditure has not been efficient, and what some of the critical interventions that can be made are.' NOW READ: Godongwana cuts zero-rated food basket in Budget 3.0
Eyewitness News
22-05-2025
- Business
- Eyewitness News
Govt's debt service costs must be renegotiated, says chair of Parliament's finance committee
CAPE TOWN - The chairperson of Parliament's standing committee on finance, Joe Maswanganyi, believes the government's debt service costs must be renegotiated. The country spends R1.2 billion a day paying off its debt. With the Finance Minister backtracking on a value-added tax (VAT) increase to fund the 2025 national budget, this will widen the deficit and increase public debt. Responding to the second tabling of a national budget on Wednesday, Maswanganyi said at a parliamentary briefing on Thursday that he believes the third version is credible, pro-poor and pragmatic.
