Staff Writer
Barloworld Limited’s group revenue fell by 10%, dropping from N$37.4 billion to N$33.6 billion for the eleven months ended 31 August 2025 compared to the same period in 2024.
Barloworld Equipment, a subsidiary of Barloworld, operates in Namibia, Angola, Botswana, Eswatini, Lesotho, Malawi, Mozambique, South Africa, Zambia, Zimbabwe, and the Katanga province of the Democratic Republic of Congo.
In Namibia, the company distributes and supports Caterpillar and other heavy machinery for mining, construction, and related industries. Its operations in Windhoek, Walvis Bay, and Swakopmund offer marine power solutions, industrial and electric power ratings, oil and gas sustainability, and equipment support.
The company has also committed to participate in Namibia’s oil and gas sector.
EBITDA declined by 9% from N$4.2 billion to N$3.8 billion. The EBITDA margin improved slightly to 11.2% from 11.1% in the prior period, while the operating profit margin dropped to 7.5% from 8%.
Equipment Southern Africa generated N$21.8 billion in revenue, 3.9% lower than the N$22.7 billion in the prior period. Excluding the currency impact of a stronger rand against the dollar, revenue was down 1.5%. Revenue was supported by strong rental growth and some gains in machine sales, but aftersales revenue declined. The sales mix reduced profit margins. EBITDA ended at N$2.3 billion compared to N$2.7 billion in the prior period, with the EBITDA margin falling to 10.7% from 11.8%.
The group maintained adequate headroom for both offshore and onshore operations. Net debt rose to N$5.4 billion, N$1.9 billion higher than the N$3.5 billion reported in the prior period.
Last week, the Namibian Competition Commission (NaCC) approved unconditionally the takeover of Barloworld’s operations in Namibia by Newco.
Barloworld and Newco announced the proposed deal on 28 February, followed by regulatory approvals across the region.
In September, the South African Competition Tribunal approved Newco’s N$23 billion acquisition of Barloworld, subject to public interest conditions. These include implementing a comprehensive black economic empowerment structure after the company’s delisting. The approval came after a positive recommendation from the South African Competition Commission in June.
Barloworld said the only remaining approvals for the takeover are from COMESA and competition authorities in Angola.
In December, Saudi Caterpillar dealer Zahid announced it had acquired 49% of Barloworld in South Africa.
Barloworld is the largest Caterpillar dealer in Africa, one of the largest globally, and owns the world’s second-largest Caterpillar equipment remanufacturing plant.
Zahid Group, a Saudi Arabian family-owned business, operates in construction, energy, manufacturing, travel, finance, hospitality, oil, and marketing.
Newco is part of a consortium led by Zahid, which includes Gulf Falcon Holding, a Zahid subsidiary, and Entsha.
