The Port of Maputo has become an increasingly popular choice with major industries in South Africa requiring offshore trade, due to bottlenecks and other problems at the Port of Durban.
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Grindrod, the southern African trade corridor logistics operator, delivered record‑setting operational results and a special dividend for the 2025 financial year.
However, the share price fell by nearly 8% on the JSE to R16,05 on Friday, in spite of the favourable results.
The group reported robust growth across all key performance indicators for its financial year to December 31, including port volumes increasing 6% to 15,2 million tons and Matola Terminal volumes rising 22% to 9,9 million tons.
Core headline earnings increased 17% to R1,2 billion. Core earnings before interest, tax, depreciation, and amortisation (EBITDA) was up 13% to R2,3bn, while core earnings increased 107% to R2,1bn.
A special and ordinary dividend of 68,2 cents per share arose from the strong performance and proceeds from the exit of non-core operations.
“Despite a rapidly shifting operating environment, Grindrod’s teams showed remarkable agility and discipline, ensuring the business not only navigated uncertainty, but also emerged stronger, more efficient, and positioned for sustained long‑term growth,” said Kwazi Mabaso, CEO of Grindrod, in a statement.
He said in response to BR questions that the current geopolitical situation has become more heightened over the last week with the crisis in the Middle East.
“At Grindrod, our approach remains firmly focused on what we can control—specifically, our operations and ensuring the continued flow of cargo for our customers. While it’s too early to predict the full extent of the impact, we’ll keep monitoring developments closely and adapt as needed,” he said.
He said Grindrod traditionally experienced a moderate first half, with performance typically strengthening in the second half of the year.
“While there have been some short-term disruptions from weather events (in Mozambique), these are cyclical and not unusual for us. Our team’s resilience and expertise have allowed us to navigate such periods effectively,” he said.
He said the port’s efficiency, reliability, and strategic location as a gateway to global markets continued to make it an excellent environment for investment and long-term growth. “We remain committed to the region’s potential and to supporting its development,” he added.
He said Grindrod continued to invest in infrastructure that supports long-term capacity and competitiveness. Capital allocation was disciplined and several initiatives were ongoing.
The Matola Terminal was being expanded with a R40m investment. Phase 1 was set for completion by early 2027, which would raise its annual throughput capacity to 12 million tons. The terminal, which handles mainly coal and magnetite, currently has a capacity of some 7,5 million tons.
The project involved expanding the terminal’s back area from 40,800 square metres to 157,760 square metres and introducing full mechanisation to boost operational efficiency.
Recently, the Matola terminal sub-concession was extended until 2058, providing long-term earnings stability and reinforcing Grindrod’s strategic investments along the corridor.
At the Port of Maputo, a capital dredging programme was planned to allow the port to handle larger vessels, including full Cape-size vessels, and increase quayside capacity for vessels up to 170,000 tons.
Preparations were also underway for the rail open access initiative, following the slot allocation in 2025, aiming to improve inbound rail capacity and resolve key logistics challenges.
“Grindrod’s strategically positioned infrastructure supports its role as a critical gateway connecting Sub‑Saharan Africa to the world. By integrating inland logistics, port operations, and global market connectivity, the company continues to offer efficient, cost-effective cargo solutions at scale,” said Mabaso.
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