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BARLOWORLD LIMITED - Interim results for the six months ended 31 March 2019

Release Date: 20/05/2019 07:15
Code(s): BAW BAWP     PDF:  
 
Wrap Text
Interim results for the six months ended 31 March 2019

Barloworld Limited
(Incorporated in the Republic of South Africa)
(Registration number 1918/000095/06)
(Income tax registration number 9000/051/71/5)
(JSE share code: BAW)
(JSE ISIN: ZAE000026639)
(Share code: BAWP)
(JSE ISIN: ZAE000026647)
(Namibian Stock Exchange share code: BWL)
(Barloworld or the company)

Interim results for the six months ended 31 March 2019

About Barloworld
Barloworld is a distributor of leading international brands providing integrated rental, fleet management, product
support and logistics solutions. The core divisions of the group comprise Equipment (earthmoving equipment and power
systems), Automotive (car rental, motor retail, fleet services, used vehicles and disposal solutions) and Logistics 
(logistics management and supply chain optimisation). We offer flexible, value adding, innovative business solutions 
to our customers backed by leading global brands. The brands we represent on behalf of our principals include 
Caterpillar, Avis, Budget, Mercedes-Benz, Toyota, Volkswagen, Audi, BMW, Ford, Mazda, and others.

Barloworld has a proven track record of long-term relationships with global principals and customers. We have an
ability to develop and grow businesses in multiple geographies including challenging territories with high growth 
prospects. One of our core competencies is an ability to leverage systems and best practices across our chosen 
business segments. As an organisation we are committed to sustainable development and playing a leading role in 
empowerment and transformation. The company was founded in 1902 and currently has operations in 16 countries 
around the world with 79% of just over 17 400 employees in South Africa.

Salient features

- "Khula Sizwe" B-BBEE transaction, approved by shareholders and launched successfully      
- Equipment southern Africa generates strong results                                        
- Automotive division generates good operating performance in a weak local market           
- Equipment Russia remains resilient                                                        
- Strategy implementation well on track                                                     
- Group return on invested capital of 11.3% (1H'18: 11.0%)                                  
- Normalised headline earnings per share at 521.4 cents up 14.1% 
  (1H'18: 457.1 cents)*      
- Interim dividend per share of 165 cents up 13.8%                                          
  (1H'18: 145 cents)                                                                        

Chief executive's report
Dominic Sewela, CE of Barloworld, said:

"The group delivered pleasing results for the six months ended 31 March 2019 in challenging trading 
conditions with normalised headline earnings per share up 14.1% on the prior period*. The execution of 
our optimisation strategy is well on track, with Equipment southern Africa and Motor Retail positively 
contributing to our performance. The group is currently in negotiations and due diligence to acquire a 
contiguous Equipment territory. We are very pleased with the successful launch of the Barloworld "Khula 
Sizwe" B-BBEE transaction that in time should benefit the broad-based public."

20 May 2019

Overview
The group performed well in challenging economic and trading conditions. The headline earnings per share (HEPS) 
from continuing operations for the six months ended 31 March 2019 of 476.0 cents, was up 4.1% over the 457.1 cents 
generated for the six months ended 31 March 2018. 

Normalised headline earnings per share (normalised HEPS)*, excluding the impact of the B-BBEE transaction charges 
and the UK pension scheme guaranteed minimum pension (GMP) equalisation charge were up 14.1% on the prior period to 
521.4 cents compared to 457.1 cents in 1H'18. 

The group generated a return on invested capital (ROIC) of 11.3%, slightly up on the 11.0% achieved in the 
comparative period.

An interim dividend of 165 cents per share was declared compared to 145 cents per share last period representing 
an increase of 13.8%.

Operational review
Health and safety
During the period, Equipment Russia reported another work-related fatality as a result of a motor accident that
occurred in December 2018. This is deeply regrettable and our condolences go out to the bereaved family and friends. 
Following a thorough investigation, management is refocusing on improving safety awareness practices and introducing 
advanced winter driving training in the division.

Equipment 
Equipment southern Africa generated strong results during the period with revenue up 15.7% to R10.0 billion on the 
prior period driven by strong machine sales in South Africa as well as increased machine and after-market sales 
activity in Zambia and Mozambique. The operating profit of R806 million was up 9.8% but with a lower operating 
margin of 8.0% (1H'18: 8.5%) impacted by increased machine sales in the sales mix. Income from associates increased 
10.9% to R119 million (1H'18:R107 million) driven by 20.7% growth in operating profit from the Bartrac joint venture 
in the DRC.

Equipment Russia generated robust results in the period under review, with revenue of US$229.3 million reported 
for the period. The reduction in turnover of 22.7% in US Dollar (US$) terms was driven primarily by the inclusion 
of large package mining machine deals in the 2018 results not repeated in the current period. The imposition of 
increased duties for US manufactured products in August 2018 impacted demand but had a lesser effect than 
originally estimated. A strong increase in after-market sales offset some of the reduction in new machine 
revenues and boosted profits. The operating profit of US$22.3 million was 9.4% down in US$ terms but slightly 
up in South African Rand (ZAR) terms due to the weaker Rand. The operating margin for the first half of 9.7% 
was up on the 8.2% generated in the prior period driven by increased after-market sales in the revenue mix and 
continued cost control.

Automotive and Logistics
The Automotive division generated a good operating performance in a weak local market, with the operating profit
slightly up on the prior period and the operating margin improving from 5.7% to 6.2%. The revenue, however, was 
down due mainly to the change in revenue recognition for Mercedes-Benz passenger vehicle sales in the prior period. 

The Logistics revenue for the period of R2.9 billion was 3.3% down on the prior period mainly impacted by reduced
revenues in Supply Chain Management following a decision to close the KLL business. The operating profit of 
R68 million was adversely impacted by KLL trading losses and subsequent closure costs totalling R66 million. 
The disposal of the held-for-sale SmartMatta and Middle East businesses are forecast to be concluded at the end of
the second half of this financial year. 

Funding
In the six months to March 2019, net interest-bearing debt of R4.7 billion was R1.5 billion up on the September 2018
position of R3.3 billion but R4.9 billion below the net debt level of March 2018. In line with previous years the group
absorbed cash in the first half of the year mainly in the form of increased working capital in most divisions. The bulk
of this R1.5 billion increase came from reduced payables.

Directorate
At the annual general meeting (AGM) on 14 February 2019, Ms Bongiwe Mkhabela and Mr Isaac Shongwe retired as directors
of the board. In line with a structured board nomination process, Ms Neo Mokhesi and Mr Hugh Molotsi were appointed as
independent non-executive directors with effect from 1 February 2019. 

Ms Olufunke Ighodaro the chief financial officer (CFO) designate and director resigned as a director of the board
effective 1 February 2019. Mr Donald Wilson who retired as a member of the board and finance director at the AGM 
will serve as the acting CFO until further notice. The JSE Limited has given the company until 30 August 2019 to 
formalise the appointment of a finance director.

With the resignation of Mr Keith Rankin effective 31 May 2019, Mr Kamogelo Mmutlana was appointed as the executive 
responsible for the Automotive and Logistics divisions effective 1 June 2019. Mr Charl Groenewald was appointed 
as divisional chief executive officer (CEO) for Barloworld Logistics and a member of the Barloworld executive 
committee effective 1 June 2019. 

Ms Hilary Wilton retires from the Barloworld executive committee at the end of May 2019. 

The board wishes to thank the executives and non-executive directors for their valuable contribution to the company.
The board welcomes the new directors and congratulates the executives on their new roles. 

Human capital, diversity and inclusion, and corporate affairs
Our human capital initiatives are aimed at ensuring we have the requisite talent to execute our strategy successfully.
Mobilising and focusing talent on the most critical group issues remains a strategic imperative. During the period, our
leadership competencies were assessed, performance contracting concluded and the necessary training and development
programmes initiated. We also continue to focus on succession planning for key, strategic, critical and scarce roles.

The Barloworld "Khula Sizwe" B-BBEE transaction was approved by shareholders at the February 2019 AGM. The much
anticipated public offering for shares in the Khula Sizwe Property Holdings (RF) Limited to raise total equity of 
R163.4 million opened on 10 April 2019 and closes on 31 May 2019. More details on the scheme are available on 
www.barloworldkhulasizwe.com.

Corporate level strategy
Progress continues in respect of all four areas identified in the group strategy.

Fix - The group continues to review all areas of underperformance in its portfolio. Two businesses within the
Logistics division remain held for sale as the group considers the sale of non-core assets. 

Optimise - Equipment southern Africa continues with its operational transformation project, while Motor Retail has 
an ongoing review of its dealer network and cost structures. Options for the optimal deployment of capital into the
Automotive Leasing business continue to be addressed. Critical to the success of this initiative are the formation of 
a joint venture, sourcing long-term sustainable funding with no recourse to Barloworld, and achieving market-leading 
empowerment credentials for the Leasing business. The group continues to explore further opportunities to enhance 
the return on capital with the Car Rental business.

Active shareholder model - The group has fully adopted its managing for intrinsic value approach and is now turning 
its efforts towards strategy deployment via the Barloworld Business System. This system will enhance foundational 
capabilities across the group by developing and rolling out process optimisation supported by process automation 
capabilities. 

The redevelopment of Barlow Park at 180 Katherine Street precinct in Sandton commenced in April 2019.

Grow - The group continues to review various options as part of its stringent capital deployment philosophy. 
It is currently involved in negotiations and a due diligence process to acquire a contiguous Equipment territory. 

Outlook
The Equipment southern African firm order book at the end of March 2019 of R2.4 billion was in line with September
2018 driven by strong demand from contract miners. The outlook for mining activity in Russia remains positive. The order
book at March 2019 of US$83.4 million improved on the September 2018 book of US$44 million. The bulk of the deliveries
being to mining applications. The pipeline for major projects in Russia remains strong.

The South African consumer remains under pressure with the industry outlook negatively impacted by the declining
prospects for growth in the economy. It is anticipated that new vehicle sales will remain challenging in the second 
half, with the premium segment growth expected to be negative for the full period while volume brands provide 
resilience over the period. Management continues to focus on improving the profitability and returns of each 
dealership to ensure resilience in the short to medium term.

Industry rental days are expected to remain subdued in Car Rental. The business plans to drive top line revenue 
growth through yield management. 

The Avis Fleet business is forecast to show some finance fleet growth in the corporate segment in the coming months 
as we fleet up for the recent contract gains. The timing of the de-fleeting of the City of Johannesburg contract 
vehicles remains uncertain which could impact the profitability in the second half. The business is awaiting the 
outcome of a tender currently in the adjudication process which could impact the medium-term performance of 
the business.

Logistics is expecting a stronger second half performance following the closure of the loss making KLL business. 
The divisional turnaround project continues to be a priority for management and remains a key factor in ensuring 
ongoing improved returns.

DM Sewela
Chief executive 

Group financial review
The group adopted IFRS 15 and IFRS 9 in the reporting period, however, the impact of these new accounting standards
has not been significant on the group's results. Accordingly, we have not restated the prior period results but have
elected to take the prior period impact as an adjustment through equity. Commentary is therefore against the 2018 
results as reported. 

Financial performance from continuing operations for the six months ended 31 March 2019
Revenue for the first six months was down by 1.6% to R30.4 billion (1H'18: R30.9 billion) despite strong revenue growth
in Equipment southern Africa which grew by 15.7% to R10.0 billion (1H'18: R8.7 billion). This was driven by increased
mining, construction and service activity in South Africa, together with increased machine and after-market sales in
Mozambique and Zambia. Following the record sales in FY18, Equipment Russia revenues reduced by 22.7% to US$229 million
(1H'18: US$297 million). Revenues in Rand terms from our Equipment businesses were positively impacted by the weaker 
Rand exchange rate, which increased total revenue by R628 million. Year-on-year Automotive revenues were down by 7.7% 
to R14.2 billion (1H'18: R15.4 billion) and were affected by the change in dealership revenue model for Mercedes-Benz. 
Logistics revenues were 3.3% down on the prior period at R2.9 billion (1H'18: R3.0 billion) resulting from contract 
losses and the closure of KLL.

Operating profit was down 4.0% to R1 876 million (1H'18: R1 954 million). The performance of the group was impacted by
a once-off charge of R88 million (?4.7 million) which was required to equalise the GMP requirements of the UK defined
benefit pension scheme, together with R24 million of costs related to the implementation of our "Khula Sizwe" B-BBEE
transaction. Equipment southern Africa's operating profit was well up at R806 million (1H'18: R734 million) and Equipment
Russia was marginally higher in Rand terms but down in US Dollars to US$22.3 million (1H'18: US$24.6 million). In a
difficult trading environment, Automotive operating profit was slightly improved at R885 million (1H'18: R883 million) 
and the operating margin improved to 6.2%. In Logistics, operating profit was impacted by KLL losses and closure costs 
amounting to R66 million (1H'18 losses of R24 million). The group's operating profit margin of 6.2% was down on the 
6.3% achieved at March 2018, impacted by stronger machine sales mix contributions in Equipment southern Africa. 

The net fair value adjustments on financial instruments of R76 million (1H'18: R127 million) mainly comprise the cost
of forward points on foreign exchange contracts and movements on foreign currency denominated monetary assets and
liabilities in Equipment southern Africa. Finance costs remained largely in line with the prior period (R580 million 
1H'19 versus R583 million 1H'18). 

Losses from non-operating and capital items of R68 million relate to further impairments of the Logistics Middle East
and SmartMatta operations together with property and investment impairments in Automotive. 

The taxation charge decreased by R8 million to R398 million while the effective taxation rate for the period
(excluding prior period taxation and taxation on non-operating and capital items) decrease to 29.5% against the prior 
period March effective tax rate of 31.0%. This was a result of permanent differences, local currency movements against 
the US Dollar functional currency of the offshore operations coupled with reductions in inventory and property, 
plant and equipment holdings.

Profits from associates increased to R116 million (1H'18: R113 million) driven by the increased activity in our
Bartrac Equipment joint venture in the Katanga province of the DRC which increased profits by 20.7% compared to 1H'18.
However, these gains were offset by losses of R20 million incurred in our Zimbabwean investment Barzem arising from the
devaluation of its local currency based monetary assets. 

Normalised headline earning per share (Normalised HEPS), excluding the impact of the B-BBEE transaction charges 
and the GMP equalisation charge was up 14.1% on the prior period to 521.1 cents compared to 457.1 cents in 1H'18. 
Including these charges, HEPS was up 4.1% at 476.0 cents.

Cash flow 
The group's investment in working capital increased by R1.5 billion compared to September 2018 due to a decrease 
in payables in the period. Reduced investment in rental and leasing fleets of R1.4 billion (1H?18: R1.8 billion) 
was driven by Equipment southern Africa Rental. Consequently, cash generated by operations of R483 million was 
significantly up on the R1.4 billion utilised in the prior period and net cash applied to operating activities of 
R1.3 billion was well down on the R3.1 billion utilised in 1H'18. 

Net cash used in investment activities of R129 million included the settlement of US$7 million of Angolan US$-linked
government bonds and investments in technology intangibles. We remain invested in Angolan US$-linked government bonds 
to hedge against Angolan currency devaluation, while also taking advantage of increased Dollar liquidity which was
allocated, to reduce this exposure. At March 2019 we held US$57 million of these bonds compared to US$64 million at
September 2018 and we have also reduced our restricted Kwanza cash balance by US$4 million to US$6 million. 

The net cash outflow before financing activities and dividends (free cash flow or FCF) for the period of R695 million
was R2.3 billion below the R3 billion utilised in the first half of 2018. 

In line with previous years we expect to reduce our working capital utilisation in the second half to ensure that we
are cash positive for the full year.

Financial position 
Total assets employed in the group decreased by R1.5 billion (3.3%) to R47.7 billion, compared to September 2018
(September 2018: R49.3 billion) driven by lower cash on hand. 

Assets held for sale of R311 million (September 2018: R497 million) comprise the Logistics Middle East and SmartMatta
businesses together with the Barlow Park office park that is currently undergoing redevelopment. The KLL business
previously held for sale was closed during the period.

Returns                                                              
                                               March        March     
                                                2019         2018    
ROIC (rolling 12 months) (%)                    11.3         11.0    
EP (rolling 12 months) (R million)              (344)        (446)   
FCF (R million)                                 (695)      (3 013)   
Return on ordinary                               9.0          9.7    
shareholders funds (%)                                               

ROIC, EP and FCF, all of which are key performance measures of our divisions, have shown positive growth in the first
half of the year driven by our focus on optimising cost structures and growing NOPAT, together with reducing invested
capital. The group's return on equity (ROE) of 9.0% against 9.7% at March last year impacted by low gearing levels 
arising from capital releases across the group and the once off items incurred in the period. We remain committed to 
deploying capital towards targeted growth opportunities that will create value for our shareholders and should these 
opportunities not materialise, capital will be released to shareholders.

Debt
Total interest-bearing debt at 31 March 2019 increased by R410 million to R10.8 billion (September 2018: 
R11.2 billion) while cash and cash equivalents decreased by R1.9 billion to R6.0 billion (September 2018: R7.9 billion). 
Net interest-bearing debt at 31 March 2019 of R4.7 billion was R1.5 billion up on the September 2018 position of 
R3.3 billion as a result of the reduction in payables but was R4.9 billion down on net debt at March 2018.

At 31 March 2019 the group had unutilised borrowing facilities of R8.6 billion (September 2018: R10.6 billion) of
which R6.8 billion (September 2018: R8.1 billion) was committed. The group's ratio of long-term to short-term debt 
improved to 60%:40% (September 2018: 54%:46%). 

Net debt to EBITDA of 0.8 times, while up on the year-end ratio of 0.5 times, is still at a level that supports our
capacity for future growth. Net debt to equity has increased to 20.9% from 14.7% in the prior period with 139% of our
half-year net debt in the Leasing and Car Rental business segments and the Trading segment in a net cash position. 

Outlook for the year end
Despite the challenging trading conditions we expect to improve the ROIC closer to the 13% hurdle rate by the year
end. In line with cyclical and historical trends, we expect a higher level of working capital to be released into  
cash in the second half of the year. 

As announced on SENS on 11 April 2019, the group is exploring a strategic acquisition to complement our existing
Equipment operations. This acquisition should go some way to optimising the group's capital structure and delivering 
enhanced shareholder returns. Our "Khula Sizwe" B-BBEE transaction, which was approved by shareholders on 
14 February 2019, is in the process of implementation and will release a further R2.4 billion of capital through 
the sale of the majority of our South African property portfolio to the B-BBEE entity. Further opportunities to 
optimise the group's capital structure and to improve returns to shareholder are also under consideration.

DG Wilson 
Acting CFO

Operational reviews
Equipment
                               Revenue                    Operating profit               Net operating assets
                                             Year                            Year                           Year 
                      Six months ended      ended     Six months ended      ended      Six months ended    ended 
                      31 Mar     31 Mar   30 Sept     31 Mar     31 Mar   30 Sept     31 Mar     31 Mar   30 Sept     
                        2019       2018      2018       2019       2018      2018       2019       2018      2018    
                    Reviewed   Reviewed   Audited   Reviewed   Reviewed   Audited   Reviewed   Reviewed   Audited     
                          Rm         Rm        Rm         Rm         Rm        Rm         Rm         Rm        Rm    
Equipment             13 270     12 436    27 572      1 120      1 044     2 594     14 877     16 177    14 596    
- Southern Africa     10 033      8 670    19 775        806        734     1 790     11 892     11 748    11 637    
- Europe                                                                                          2 007              
- Russia               3 237      3 766     7 797        314        310       804      2 985      2 422     2 959    
Handling                  21         53       114                    (9)      (20)       290        361       306    
                      13 291     12 489    27 686      1 120      1 035     2 574     15 167     16 538    14 902    
Share of                                                                                     
associate income                                         116        117       241

Equipment southern Africa delivered a strong performance for the period. Revenue increased 15.7% to R10.0 billion, as
a result of a 32.2% growth in machine sales and 23% growth in service. Operating profit, at R806 million was 9.8% up with
the operating margin decreasing to 8.0% from 8.5% last year mainly due to the increase of machines in the sales mix.
Overall, earnings before interest and tax increased by 16.6% to R753 million. Due to continuous focus on cost containment
and drive for operational efficiency, the net expense to revenue ratio improved by 1.1%. 

Income from associates was up 10.9% to R119 million (1H'18: R107 million). While Bartrac's profitability grew by 
20.7% to R134 million (1H'18: R111 million), this was partially offset by the share of losses in Zimbabwe of R20 million
which arose from currency devaluation. Despite a slight increase in invested capital, Equipment southern Africa was 
able to deliver ROIC of 12.7% (1H'18: 12.4%). 

Mining equipment machine sales increased by 121.9% driven by large surface and underground mining machine deliveries
to Mozambique, Zambia and South Africa. Market sentiments in the sector remain positive supported by favourable commodity
fundamentals and the preference towards contract mining remains strong. Machine sales to contract miners contributed
56.0% of total mining sales over the period.

Construction sales grew by 8.1% in a declining market. The construction industry has declined significantly over the
last six months, resulting in some large construction companies going into business rescue. Growth in the sector was due
to market share gains on the back of new product introductions and offering competitive financing solutions supported by
Caterpillar Finance. 

Equipment Russia continued to benefit from robust mining activity combined with stability in commodity prices,
particularly in the gold sector. Revenue for the six months to March of US$229.3 million was 22.7% lower than the prior 
period due to a decrease in mining prime product sales. A number of large mining package deals were delivered in 2018 
resulting in higher revenues. After-market revenue increased by 16.5% to US$113.8 million in the period, boosting 
profits. The imposition of increased import tariffs on certain US sourced machines in 2018 had a lesser impact than 
originally anticipated due to strong mining demand and close collaboration with Caterpillar and customers. Operating 
profit to March of US$22.3 million decreased by 9.4% against the prior period. The operating margin of 9.7% was higher 
than the prior period's 8.2% mostly due to a change in revenue mix because of an increased after-market contribution 
and continued cost control.

Automotive and Logistics
                               Revenue                    Operating profit               Net operating assets
                                             Year                            Year                            Year  
                      Six months ended      ended     Six months ended      ended      Six months ended     ended  
                      31 Mar     31 Mar   30 Sept     31 Mar     31 Mar   30 Sept     31 Mar     31 Mar   30 Sept    
                        2019       2018      2018       2019       2018      2018       2019       2018      2018    
                    Reviewed   Reviewed   Audited   Reviewed   Reviewed   Audited   Reviewed   Reviewed   Audited    
                          Rm         Rm        Rm         Rm         Rm        Rm         Rm         Rm        Rm    
Automotive            14 188     15 372    29 809        885        883     1 701     10 016      9 873     8 758    
Car Rental             3 296      3 399     6 528        281        301       536      3 424      3 676     2 854    
Avis Fleet             1 643      1 726     3 326        329        308       641      4 128      3 848     3 778    
Motor Trading          9 249     10 247    19 955        275        274       524      2 464      2 349     2 126    
Logistics              2 889      2 989     5 924         68         99       262      1 712      2 334     1 538    
Southern Africa        2 832      2 932     5 807         65         96       255      1 657      2 251     1 445    
Middle East               57         57       117          3          3         7         55         83        93
                      17 077     18 361    35 733        953        982     1 963     11 728     12 207    10 296    
Share of                                                                                               
associate loss                                                       (4)       (6)  

The Automotive division delivered a good result in a challenging trading environment. The operating profit increased
marginally compared to the prior period on the back of a 7.7% reduction in revenue. Revenue was mainly impacted by the
change of revenue recognition for Mercedes-Benz (Passenger) in Motor Trading. The division's operating margin increased 
to 6.2% compared to 5.7% in the prior period. A ROIC of 11.2% was achieved compared to 11.6% in 2018. The ROIC is 
expected to improve in the second half as invested capital reduces.

Car Rental produced a reasonable result in a declining market. Operating profit reduced by 6.6% to R281 million.
Following on 2018's negative growth, the car rental industry declined by a further 2.0% in rental days for the period.
Notwithstanding the decline in rental days, the business increased the rate per day and managed vehicle fleet costs. 
Vehicle damage expenses were kept below prior period. The used vehicle market is currently subdued, negatively 
impacting margins and the overall contribution. The business is aligning its cost base to the current trading 
environment to improve performance and counter the impact of external factors. 

Avis Fleet delivered a good result. Compared to the prior period, revenue was down 4.8% mainly due to reduced used vehicle
contribution as a result of less de-fleeted units as contracts were extended. The operating profit was up by 6.8% to
R329 million and the operating margin increased to 20.0% compared to 17.9% in 2018. Total fleet under management grew 
by 2.7% on prior period. The business is exiting its loss making operation in Tanzania.

The South African new vehicle dealer market was down by 4.6% with the premium segment continuing to decline at 
a higher rate than the non-premium segment. 

Motor Trading revenue decreased by 9.7% compared to the prior period mainly impacted by the change in revenue
recognition in Mercedes-Benz. Revenue was further negatively impacted by reduced new unit sales and customers buying  
down to lower priced vehicle models. Operating profit increased slightly by 0.4% to R275 million. The business 
achieved an operating margin of 3.0% compared to 2.7% in the prior period. After-market revenues were a strong 
contributor, however, margins were under pressure and volumes impacted by the declining new vehicle market. 
Continuous focus on cost containment and the proactive closure of loss making businesses shielded the business 
from further decline. 

The Logistics revenue for the period of R2.9 billion was 3.3% down on prior period. This was mainly due to the closure
of the KLL operation as well as tough trading conditions. On the other hand, revenue from the Transport business
increased by 1.7%. The operating profit of R68 million was 31% lower than the prior period. The KLL business contributed 
R66 million in losses as a result of lower trading year-on-year and closure costs. Excluding KLL losses, Logistics 
would have delivered an increase in operating profit of 8.9% to R134 million; achieved in spite of difficult trading
conditions in the consumer, agriculture and construction sectors. Cost containment initiatives implemented in the prior 
period contributed positively to the trading result. A consistent performance in the Freight Forwarding operation and the
continuation of key client contracts provide a solid base to build on. The net operating assets decreased by 26.6% compared 
to the prior period on the back of initiatives implemented in 2018 as well as continued focus on working capital
management. The disposal of SmartMatta and Middle East remains a priority and is expected to be finalised at the end 
of the financial year. 

Corporate 
                                                                                         Net operating assets/
                               Revenue                    Operating loss                     (liabilities)
                                             Year                            Year                            Year    
                      Six months ended      ended     Six months ended      ended      Six months ended     ended  
                      31 Mar     31 Mar   30 Sept     31 Mar     31 Mar   30 Sept     31 Mar     31 Mar   30 Sept
                        2019       2018      2018       2019       2018      2018       2019       2018      2018   
                    Reviewed   Reviewed   Audited   Reviewed   Reviewed   Audited   Reviewed   Reviewed   Audited   
                          Rm         Rm        Rm         Rm         Rm        Rm         Rm         Rm        Rm   
Southern Africa            1                    1        (75)       (24)      (74)       685        588       580    
Europe                                                  (122)       (39)      (59)    (1 834)    (2 016)   (1 739)   
                           1                    1       (197)       (63)     (133)    (1 149)    (1 428)   (1 159)   

The Corporate Office primarily comprises the operations of the group headquarters and treasury in Johannesburg, the
treasury in Maidenhead (United Kingdom) and the captive insurance company in the Isle of Man. Southern Africa incurred
higher operating losses of R75 million (1H'18: R24 million) mainly due to higher employment and corporate social 
investment costs and costs associated with the implementation of our "Khula Sizwe" B-BBEE transaction (R24 million). 
The higher UK operating losses of R122 million (1H'18: R39 million) includes a once-off pre-tax R88 million 
(?4.7 million) charge to equalise guaranteed minimum pensions (GMP) in the UK pension scheme. 
* Certain information presented in this announcement is regarded as pro forma information. This information has been
  prepared for illustrative purposes only, is the responsibility of the board of directors of Barloworld Limited 
  and has not been reviewed or reported on by the company's external auditors.

Dividend declaration 
Dividend number 181
Notice is hereby given that interim dividend number 181 of 165 cents (gross) per ordinary share in respect 
of the six months ended March 2019 has been declared subject to the applicable dividends tax levied in terms 
of the Income Tax Act (Act No. 58 of 1962) (as amended) (the Income Tax Act). 

In accordance with paragraphs 11.17(a)(i) to (ix) and 11.17(c) of the JSE Listings Requirements the following
additional information is disclosed: 
- The dividend has been declared out of income reserves;
- Local dividends tax rate is 20% (twenty per centum); 
- Barloworld has 212 692 583 ordinary shares in issue;
- The gross local dividend amount is 165 cents per ordinary share;
- The net dividend amount is 132 cents per share.

In compliance with the requirements of Strate and the JSE Limited, the following dates are applicable: 
Dividend declared                                Monday, 20 May 2019 
Last day to trade cum dividend                  Tuesday, 4 June 2019
Ordinary shares trade ex-dividend             Wednesday, 5 June 2019
Record date                                      Friday, 7 June 2019 
Payment date                                    Monday, 10 June 2019

Share certificates may not be dematerialised or rematerialised between Wednesday, 5 June 2019 and 
Friday, 7 June 2019, both days inclusive. 

On behalf of the board
Andiswa Ndoni
Group company secretary

Condensed consolidated income statement
                                                                    Six months ended        Year ended    
                                                                  31 Mar        31 Mar         30 Sept    
                                                                    2019          2018            2018    
                                                                Reviewed      Reviewed         Audited    
                                                      Notes           Rm            Rm              Rm    
CONTINUING OPERATIONS                                                                                     
Revenue                                                           30 369        30 850          63 420    
Operating profit before items listed below (EBITDA)                3 149         3 228           6 978    
Depreciation                                                      (1 195)       (1 212)         (2 433)   
Amortisation of intangible assets                                    (54)          (62)           (141)   
Operating profit before B-BBEE transaction charge         3        1 900         1 954           4 404    
B-BBEE transaction charge                                            (24)                                 
Operating profit                                          3        1 876         1 954           4 404    
Fair value adjustments on financial instruments                      (76)         (127)           (133)   
Finance costs                                                       (580)         (583)         (1 182)   
Income from investments                                               80            64             147    
Profit before non-operating and capital items                      1 300         1 308           3 236    
Non-operating and capital items                           4          (68)          (14)           (248)   
Profit before taxation                                             1 232         1 294           2 988    
Taxation                                                  5         (398)         (406)           (950)   
Profit after taxation                                                834           888           2 038    
Profit from associates and joint ventures                            116           113             235    
Net profit from continuing operations for the period                 950         1 001           2 273    
DISCONTINUED OPERATION                                                                                    
Profit from discontinued operation                        8                         57           1 647    
Net profit for the period                                            950         1 058           3 920    
Net profit attributable to:                                                                               
Owners of Barloworld Limited                                         924         1 007           3 846    
Non-controlling interests in subsidiaries                             26            51              74    
                                                                     950         1 058           3 920    
Earnings per share (cents)                                                                                
- basic                                                            438.1         477.8         1 823.8    
- diluted                                                          436.9         474.2         1 812.9    
Earnings per share from continuing operations (cents)                                                     
- basic                                                            438.1         450.8         1 042.8    
- diluted                                                          436.9         447.4         1 036.5    
Earnings per share from discontinued operation (cents)                                                    
- basic                                                                           27.0           781.0    
- diluted                                                                         26.8           776.4    


Condensed consolidated statement of other comprehensive income
                                                                   Six months ended         Year ended    
                                                                  31 Mar        31 Mar         30 Sept    
                                                                    2019          2018            2018    
                                                                Reviewed      Reviewed         Audited    
                                                                      Rm            Rm              Rm    
Profit for the period                                                950         1 058           3 920    
Items that may be reclassified subsequently to profit or loss:       188        (1 090)           (874)   
Exchange gain/(loss) on translation of foreign operations            180        (1 007)            645    
Translation reserves realised on disposal of foreign          
joint venture and subsidiaries                                                                  (1 502)   
Gain/(loss) on cash flow hedges                                       11          (115)            (23)   
Deferred taxation on cash flow hedges                                 (3)           32               6    
Items that will not be reclassified to profit or loss:                                             345    
Actuarial gain on post-retirement benefit obligations                                              415    
Taxation effect                                                                                    (70)   
                                                                                                          
Other comprehensive income/(loss) for the period                     188        (1 090)           (529)   
Total comprehensive income/(loss) for the period                   1 138           (32)          3 391    
Total comprehensive income/(loss) attributable to:                                                        
Owners of Barloworld Limited                                       1 112           (83)          3 317    
Non-controlling interests in subsidiaries                             26            51              74    
                                                                   1 138           (32)          3 391    


Condensed consolidated statement of financial position
                                                                   Six months ended         Year ended    
                                                                  31 Mar        31 Mar         30 Sept    
                                                                    2019          2018            2018    
                                                                Reviewed      Reviewed         Audited    
                                                      Notes           Rm            Rm              Rm    
ASSETS                                                                                                    
Non-current assets                                                19 469        19 028          19 231    
Property, plant and equipment                                     12 721        12 931          12 657    
Goodwill                                                           1 878         1 902           1 873    
Intangible assets                                                  1 564         1 466           1 528    
Investment in associates and joint ventures               6        1 466         1 246           1 343    
Finance lease receivables                                            187           226             211    
Long-term financial assets                                7          945           564             909    
Deferred taxation assets                                             708           693             710    
Current assets                                                    27 968        25 085          29 531    
Vehicle rental fleet                                               3 337         3 472           3 058    
Inventories                                                        9 647         9 690           9 592    
Trade and other receivables                                        8 803         9 583           8 883    
Taxation                                                             150           168             105    
Cash and cash equivalents                                13        6 031         2 172           7 893    
Assets classified as held for sale                        8          311         3 245             497    
Total assets                                                      47 748        47 358          49 259    
EQUITY AND LIABILITIES                                                                                    
Capital and reserves                                                                                      
Share capital and premium                                            441           441             441    
Other reserves                                                     4 123         3 858           4 194    
Retained income                                                   18 034        15 184          17 598    
Interest of shareholders of Barloworld Limited                    22 598        19 483          22 233    
Non-controlling interest                                             529           535             517    
Interest of all shareholders                                      23 127        20 018          22 750    
Non-current liabilities                                            9 480        10 445           8 917    
Interest-bearing                                                   6 405         7 302           5 995    
Deferred taxation liabilities                                        628           582             632    
Provisions                                                           100            32              47    
Other non-current liabilities                                      2 347         2 529           2 243    
Current liabilities                                               15 082        15 988          17 466    
Trade and other payables                                           9 559        10 560          11 122    
Provisions                                                         1 170           844           1 100    
Taxation                                                                           125              70    
Amounts due to bankers and short-term loans                        4 353         4 459           5 174    
Liabilities directly associated with                          
assets classified as held for sale                        8           59           907             126    
Total equity and liabilities                                      47 748        47 358          49 259    


Condensed consolidated statement of changes in equity
                                                                     Attribu-                             
                                                                     table to                              
                                     Share                         Barloworld                 Interest     
                                   capital                            Limited          Non-     of all    
                                       and      Other   Retained       share-   controlling     share-    
                                   premium   reserves     income      holders      interest    holders    
                                        Rm         Rm         Rm           Rm            Rm         Rm    
Balance at 1 October 2017         
(audited)                              441      5 144     14 690       20 275           602     20 877    
Total other comprehensive (loss)/                                                            
income for the period                          (1 090)     1 007          (83)           51        (32)   
Other reserve movements                          (196)       234           38            (1)        37    
Other changes in minority         
shareholders interest and         
minority loans                                              (183)        (183)          (75)      (258)   
Dividends                                                   (564)        (564)          (42)      (606)   
Balance at 31 March 2018          
(reviewed)                             441      3 858     15 184       19 483           535     20 018    
Total other comprehensive                                                                    
income for the period                             216      3 184        3 400            23      3 423    
Other reserve movements                           155       (179)         (24)           (2)       (26)   
Disposal of subsidiary                            (35)      (283)        (318)                    (318)   
Dividends                                                   (308)        (308)          (39)      (347)   
Balance at 30 September 2018      
(audited)                              441      4 194     17 598       22 233           517     22 750    
Total other comprehensive                                                                    
income for the period                             188        924        1 112            26      1 138    
Cumulative adjustments            
for adoption of new accounting    
standards                                                     20           20                       20    
Other reserve movements                          (259)       166          (93)                     (93)   
Dividends                                                   (674)        (674)          (14)      (688)   
Balance at 31 March 2019          
(reviewed)                             441      4 123     18 034       22 598           529     23 127    


Condensed consolidated statement of cash flows                                    
                                                                     Six months ended       Year ended    
                                                                  31 Mar        31 Mar         30 Sept    
                                                                    2019          2018            2018    
                                                                Reviewed      Reviewed         Audited    
                                                      Notes           Rm            Rm              Rm    
Cash flow from operating activities                                                                       
Operating cash flows before movements                       
in working capital                                                 3 375         3 416           8 111    
Movement in working capital                                       (1 529)       (3 075)         (2 065)   
Cash generated from operations before                       
investment in rental fleets                                        1 846           341           6 046    
Fleet leasing and equipment rental fleet                            (701)       (1 117)         (1 593)   
  Additions                                                       (1 480)       (2 055)         (3 305)   
  Proceeds on disposal                                               779           938           1 713    
Vehicles rental fleet                                               (662)         (658)           (631)   
  Additions                                                       (2 022)       (2 352)         (3 921)   
  Proceeds on disposal                                             1 360         1 694           3 290    
Cash generated from/(utilised in) operations                         483        (1 434)          3 822    
Realised fair value adjustments on                          
financial instruments                                                (57)         (115)           (140)   
Finance costs and investment income                                 (491)         (505)           (924)   
Taxation paid                                                       (501)         (477)         (1 058)   
Cash (outflow)/inflow from operations                               (566)       (2 531)          1 700    
Dividends paid (including                                   
non-controlling interest)                                           (688)         (606)           (953)   
Net cash (applied to)/retained from                         
operating activities                                              (1 254)       (3 137)            747    
Net cash (used in)/generated from                           
investing activities                                                (129)         (482)          1 891    
  Acquisition of subsidiaries,                              
  investments and intangibles                            11            8          (282)            (86)   
  Proceeds on disposal of subsidiaries,                     
  investments and intangibles                            12                                      2 342    
  Net investment in leasing receivables                               32            77             (53)   
  Acquisition of property, plant and equipment                      (204)         (341)           (618)   
  Proceeds on disposal of property,                         
  plant and equipment                                                 35            64             306    
Net cash (outflow)/inflow before                            
financing activities                                              (1 383)       (3 619)          2 638    
Net cash (used in)/from financing activities                        (553)        2 063           1 080    
Shares (repurchased)/proceeds for                           
equity-settled share-based payment                                  (121)           18             (43)   
Purchase of non-controlling interest                                              (257)           (257)   
Net (decrease)/increase in                                  
interest-bearing liabilities                                        (432)        2 302           1 380    
Net (decrease)/increase in cash and                         
cash equivalents                                                  (1 936)       (1 556)          3 718    
Cash and cash equivalents at beginning of period                   7 893         3 925           3 925    
Cash and cash equivalents held for sale                     
at beginning of period                                                19           102             102    
Effect of foreign exchange rate movements                             85          (130)            167    
Effect of cash balances held for sale                                (30)         (169)            (19)   
Cash and cash equivalents at end of period                         6 031         2 172           7 893    


Notes to the condensed consolidated financial statements

1.  BASIS OF PREPARATION
    The condensed consolidated interim financial statements are prepared in accordance with the requirements 
    of the JSE Limited Listings Requirements for interim reports, and the requirements of the Companies Act 
    applicable to financial statements.

    The JSE Listings Requirements require interim reports to be prepared in accordance with IAS 34 Interim 
    Financial Reporting and the SAICA Financial Reporting Guides as issued by the Accounting Practices Committee 
    and the Financial Pronouncements as issued by the Financial Reporting Standards Council. The accounting policies 
    applied in the preparation of the condensed consolidated interim financial statements are derived in terms of 
    International Financial Reporting Standards and are consistent with those accounting policies applied in the 
    preparation of the annual financial statements for the year ended 30 September 2018, with the exception of the 
    adoption of new policies as required by new and/or revised International Financial Reporting Standards issued 
    and in effect for the current financial year. Specifically, the group has applied IFRS 15 Revenue from Contracts 
    with Customers and IFRS 9 Financial Instruments for the first time, effective 1 October 2018. Refer to note 17 
    for further information regarding the impact of these new accounting standards and consideration of IFRS 16 
    Leases which will be applicable to Barloworld effective 1 October 2019.

    The condensed consolidated interim financial statements are presented in South African Rand, which is Barloworld 
    Limited's functional and presentation currency. The condensed consolidated interim financial statements do not 
    include all the disclosures required for complete annual financial statements prepared in accordance with IFRS 
    as issued by the International Accounting Standards Board. The board is satisfied that the company is sufficiently 
    liquid and solvent to be able to support the current operations for the next 12 months. Accordingly, the 
    condensed consolidated interim financial statements are prepared on a going concern basis.

    The condensed consolidated interim financial statements appearing in this announcement are the responsibility 
    of the directors. The directors take full responsibility for the preparation of the condensed consolidated 
    interim financial statements.

    This report was prepared under the supervision of RL Pole CA(SA) (Group general manager: finance).

                                                                       Six months ended        Year ended    
                                                                     31 Mar        31 Mar         30 Sept    
                                                                       2019          2018            2018    
                                                                   Reviewed      Reviewed         Audited    
                                                                         Rm            Rm              Rm    
2.  RECONCILIATION OF NET PROFIT TO HEADLINE EARNINGS                                                        
    Net profit attributable to Barloworld shareholders                  924         1 007           3 846    
    Adjusted for the following:                                                                              
    Profit on disposal of subsidiaries and investments (IFRS 10)                                      (98)   
    Profit on disposal of plant, property, equipment and other     
    assets excluding rental assets (IAS 16 and IAS 38)                                (17)            (10)    
    Impairment of goodwill (IFRS 3)                                                                    70    
    Impairment of plant and equipment (IAS 16) and                 
    intangibles (IAS 38) and other assets                                59            24             155    
    Impairment of investments in associates                        
    and joint ventures (IAS 36)                                           9                            24    
    Realisation of translation reserve on disposal                 
    of foreign subsidiaries (IAS 21)                                                               (1 502)   
    Taxation effects of remeasurements                                   12            (1)            (18)   
    Associate and non-controlling interest in remeasurements                            1              47    
    Headline earnings                                                 1 004         1 014           2 514    
    Continuing operations                                                                                    
    Profit from continuing operations                                   950         1 001           2 273    
    Non-controlling shareholders' interest in net profit           
    from continuing operations                                          (26)          (51)            (74)   
    Profit from continuing operations attributable to              
    Barloworld Limited shareholders                                     924           950           2 199    
    Adjusted for the following:                                                                              
    Profit on disposal of plant, property, equipment and other     
    assets excluding rental assets (IAS 16 and IAS 38)                                 (8)             (1)    
    Impairment of goodwill (IFRS 3)                                                                    70    
    Impairment of plant and equipment (IAS 16) and                 
    intangibles (IAS 38) and other assets                                59            24             155    
    Impairment of investments in associates                        
    and joint ventures (IAS 36)                                           9                            24    
    Taxation effect of remeasurements                                    12            (3)            (20)   
    Net remeasurements excluded from headline                      
    earnings from continuing operations                                  80            13             228    
    Headline earnings from continuing operations                      1 004           963           2 427    
    Discontinued operation                                                                                   
    Profit from discontinued operation attributable                
    to Barloworld Limited shareholders                                                 57           1 647    
    Adjusted for the following:                                                                              
    Profit on disposal of subsidiaries (IFRS 10)                                                      (98)    
    Profit on disposal of property and other assets (IAS 16)                           (9)             (9)    
    Realisation of translation reserve on disposal                 
    of foreign subsidiaries (IAS 21)                                                               (1 502)   
    Taxation effect of remeasurements                                                   2               2    
    Associate and non-controlling interest in remeasurements                            1              47    
    Net remeasurements excluded from headline earnings             
    rom discontinued operation                                                         (6)         (1 560)    
    Headline earnings from discontinued operation                                      51              87    
    Weighted average number of ordinary shares                                                               
    in issue during the period (000)                                                                         
    - basic                                                         210 972       210 691         210 875    
    - diluted                                                       211 581       212 360         212 147    
    Headline earnings per share (cents)                                                                      
    - basic                                                           476.0         481.3         1 192.1    
    - diluted                                                         474.6         477.4         1 185.0    
    Headline earnings per share from continuing operations (cents)                                           
    - basic                                                           476.0         457.1         1 150.9    
    - diluted                                                         474.6         453.5         1 144.0    
    Headline earnings per share from discontinued operation (cents)                                          
    - basic                                                                          24.2            41.2    
    - diluted                                                                        23.9            41.0    

                                                                       Six months ended        Year ended  
                                                                     31 Mar        31 Mar         30 Sept  
                                                                       2019          2018            2018  
                                                                   Reviewed      Reviewed         Audited  
                                                                         Rm            Rm              Rm  
3.  OPERATING PROFIT
    Included in operating profit from continuing operations are:
    Cost of sales (including allocation of depreciation)             23 759        23 649          49 203    
    Expenses includes the following:                                                                         
    B-BBEE charge                                                        24                                  
    Guaranteed minimum pension charge                                    88                                  
    Loss on disposal of other plant, equipment and       
    rental assets (not adjusted in HEPS)                                 33            37              74    
    Amortisation of intangible assets in terms of        
    IFRS 3 business combinations                                         14             9              29    

                                                                       Six months ended        Year ended
                                                                     31 Mar        31 Mar         30 Sept    
                                                                       2019          2018            2018    
                                                                   Reviewed      Reviewed         Audited    
                                                                         Rm            Rm              Rm    
4.  NON-OPERATING AND CAPITAL ITEMS                                                                          
    Impairment of investments                                            (9)                          (24)   
    Impairment of goodwill                                                                            (70)   
    Profit on disposal of property, plant,               
    equipment, intangibles and other assets                                            10               1    
    Impairment of property, plant and equipment,         
    intangibles and other assets                                        (59)          (24)           (155)   
    Gross non-operating and capital items                
    from continuing operations                                          (68)          (14)           (248)   
    Taxation (charge)/benefit on non-operating           
    and capital items                                                   (12)            3              20    
    Net non-operating and capital items from             
    continuing operations                                               (80)          (11)           (228)   
    Non-operating and capital items from                 
    discontinued operation                                                              9               9    
    Taxation benefit on non-operating and capital items                                (2)             (2)   
    Non-operating and capital items included             
    in associate income from discontinued operation                                    (1)            (47)   
    Net non-operating and capital items                                 (80)           (5)           (268)   

5.  TAXATION                                                                                                 
    Taxation per income statement                                      (398)         (406)           (950)   
    Prior year taxation                                                  (3)           (4)            (48)   
    Taxation on non-operating and capital items                         (12)            3              20    
    Attributable to a change in the rate of income tax                                                  2    
    Taxation on profit before prior year taxation,        
    non-operating and capital items and rate change                    (383)         (405)           (924)   
    Effective taxation rate excluding non-operating       
    and capital items, prior year taxation (%)                         29.5          31.0            28.5    
                                                                                                            
                                                                       Six months ended        Year ended
                                                                     31 Mar        31 Mar         30 Sept    
                                                                       2019          2018            2018    
                                                                   Reviewed      Reviewed         Audited    
                                                                         Rm            Rm              Rm    
6.  INVESTMENT IN ASSOCIATES AND JOINT VENTURES                                                             
    Joint ventures                                                    1 430         1 196           1 288    
    Associates                                                           36           125              55    
    Total group                                                       1 466         1 321           1 343    
    Amount classified as held for sale                                                (75)                   
                                                                      1 466         1 246           1 343    
                                                                                                          
                                                                       Six months ended        Year ended  
                                                                     31 Mar        31 Mar         30 Sept  
                                                                       2019          2018            2018  
                                                                   Reviewed      Reviewed         Audited  
                                                                         Rm            Rm              Rm  
7.  LONG-TERM FINANCIAL ASSETS                                                                               
    Unlisted and listed investments at fair value                        66            70              60    
    Other long-term financial assets                                    229            51              94    
    Unlisted debt instruments*                                          650           443             755    
                                                                        945           564             909    
    * The group remains invested in Dollar-linked Angolan government bonds. These Kwanza-denominated bonds 
      are pegged to the United States Dollar. On maturity the bonds will be settled in Kwanza. The long-term 
      portion of the bonds in US$ at 31 March 2019 is US$45 million (September 2018: US$53 million, 
      March 2018: US$37 million). Included in trade and other receivables is the short-term portion of 
      the bonds of R169 million (US$11.7 million), September 2018: R155 million (US$11 million) and 
      March 2018: R533 million (US$45 million).

                                                                       Six months ended        Year ended    
                                                                     31 Mar        31 Mar         30 Sept    
                                                                       2019          2018            2018    
                                                                   Reviewed      Reviewed         Audited    
                                                                         Rm            Rm              Rm    
8.  DISCONTINUED OPERATION AND ASSETS CLASSIFIED AS HELD FOR SALE
    The Equipment Iberia segment was classified as a 
    discontinued operation at 30 September 2017. The sale of 
    this business segment was concluded during June 2018.         
    Results from discontinued operation are as follows:                                                      
    Revenue                                                                         2 277           3 337    
    Operating profit before items listed below (EBITDA)                               140             215    
    Depreciation                                                                      (55)            (72)   
    Amortisation of intangible assets                                                  (5)             (7)   
    Operating profit                                                                   80             136    
    Finance costs                                                                      (2)             (2)   
    Profit before non-operating and capital items                                      78             134    
    Non-operating and capital items                                                     9               9    
    Profit before taxation                                                             87             143    
    Taxation                                                                          (21)            (29)   
    Net profit after taxation                                                          66             114    
    Loss from associates                                                               (9)            (67)   
    Profit from discontinued operations                                                57              47    
    Net profit on disposal of discontinued operations                                               1 600    
    Profit from discontinued operations per income statement                           57           1 647    
    The cash flows from the discontinued operations are as follows:                                          
    Cash flows from operating activities                                               53             129    
    Cash flows from investing activities                                              (22)            (31)    
    Cash flows from financing activities                                               55              (6)    
    The major classes of assets and liabilities comprising the            
    disposal group and other assets classified as                         
    held for sale were as follows:                                 
    Property, plant and equipment                                       175           964             253    
    Investments                                                                        75                    
    Deferred tax asset                                                    4           151              18    
    Intangible assets                                                     2            41               2    
    Inventories                                                          24           867              37    
    Trade and other receivables*                                         76           978             168    
    Cash balances                                                        30           169              19    
    Assets classified as held for sale                                  311         3 245             497    
    Interest-bearing short and long-term loans                           (1)          (75)             (1)   
    Trade and other payables - short and long term**                    (50)         (691)           (125)   
    Deferred tax liability                                                             (2)                    
    Provisions                                                           (8)         (139)                    
    Total liabilities associated with assets                  
    classified as held for sale                                         (59)         (907)           (126)   
    Net assets classified as held for sale                              252         2 338             371    
    Per business segment:                                                                                    
    Equipment Iberia                                                                2 212                    
    Logistics Middle East and SmartMatta                      
    (September 2018 included KLL)                                       159           126             278    
    Corporate office                                                     93                            93    
    Total group                                                         252         2 338             371    
    *  Includes financial assets of R76 million (September 2018: R63 million, March 2018: R842 million ).
    ** Includes financial liabilities measured at amortised cost of R50 million (September 2018: R83 million,
       March 2018: R315 million ).

    In the prior year, the Logistics Middle East operations, KLL and SmartMatta businesses were classified 
    as held for sale. Subsequent to the year ended 30 September 2018, a decision was made to rather close 
    down the KLL operations and as such, this business is no longer classified as held for sale at 
    31 March 2019. In respect of Logistics Middle East and SmartMatta, management remain committed to 
    these sales and based on progress in the period and developments subsequent to year end, management 
    are confident that these sales will take place in 2019. These assets do not constitute a major line 
    of business and have therefore not been classified as discontinued operations.

    The assets and liabilities are measured at fair value less cost to sell. The fair value is determined 
    based on the price that a buyer is willing to pay and is therefore categorised as a level 3 within the 
    fair value hierarchy.

    The net assets held for sale within the Corporate division relate to the Barlow Park property owned 
    by Barloworld Limited which is in the process of being sold into a consortium of investors with the 
    aim of re-developing the site into a multi-use precinct.

    The asset is measured at fair value less cost to sell. The fair value is determined based on an 
    external valuation of the property and categorised as a level 2 within the fair value hierarchy.

                                                                       Six months ended        Year ended  
                                                                     31 Mar        31 Mar         30 Sept    
                                                                       2019          2018            2018    
                                                                   Reviewed      Reviewed         Audited    
                                                                         Rm            Rm              Rm    
9.  FINANCIAL INSTRUMENTS                                                                                    
    Carrying value of financial instruments by class:                                                        
    Financial assets:                                                                                        
    Trade receivables                                                                                        
    - Industry                                                        5 597         6 496           6 124    
    - Government                                                        800           484             902    
    - Consumers                                                       1 228           836             543    
    Other loans and receivables and cash balances                     7 173         3 197           9 120    
    Finance lease receivables                                           428           446             459    
    Derivatives (including items designated as             
    effective hedging instruments)                                
    - Forward exchange contracts                                         32                             1    
    Other financial assets at fair value                                 66            53             278    
    Total carrying value of financial assets                         15 324        11 512          17 427    
    Financial liabilities:                                                                                   
    Trade payables                                                                                           
    - Principals                                                      3 018         4 178           2 925    
    - Other suppliers                                                 2 889         4 643           3 734    
    Derivatives (including items designated as             
    effective hedging instruments)                                
    - Forward exchange contracts                                         41            72              35    
    - Other derivatives                                                                                 9    
    Financial liabilities measured at amortised cost                 13 828        11 871          14 410    
    Total carrying value of financial liabilities                    19 776        20 765          21 113    

    Fair value measurements recognised in the statement of financial position
    The following table provides an analysis of financial instruments that are measured subsequent to initial 
    recognition at fair value, grouped into levels 1 to 3 based on the degree to which the fair value is 
    observable.
    Level 1: fair value measurements are those derived from quoted prices (unadjusted) in active markets for 
             identical assets. The markets from which these quoted prices are obtained are the bonds market,
             the stock exchange as well as other similar markets.

    Level 2: fair value measurements are those derived from inputs other than quoted prices included within 
             level 1 that are observable for the asset or liability, either directly (ie as prices) or 
             indirectly (ie derived from prices). The valuation techniques used in deriving level 2 fair 
             values are discounted cash flows. The discounted cash flows are derived using rates that 
             appropriately reflects the different risks of the various counterparties in relation to the 
             financial instrument. Significant unobservable inputs are long-term revenue and profit 
             projections as well as management's experience and knowledge of the market conditions. 
             Inputs used and assumptions made in relation to the discounted cash flow model is based on 
             macro-economic indicators consistent with external sources of information.

    Level 3: fair value measurements are those derived from valuation techniques that include inputs for 
             the asset or liability that are not based on observable market data (unobservable inputs). 
             The valuation techniques used in deriving level 3 fair values are discounted cash flows as 
             well as the net asset value approach of the investment that is being valued. This information 
             is based on unobservable market data, and adjusted for based on management's experience and 
             knowledge of the investment.
                                                                                31 Mar 2019
                                                               Level 1      Level 2      Level 3    Total    
    Financial assets at fair value                                                                           
    Financial assets designated at fair value                                                      
    through profit or loss                                                                    61       61    
    Shares                                                                                     5        5    
    Derivative                                                                   32                    32    
    Total                                                                        32           66       98    
    Financial liabilities at fair value                                                                      
    Derivative liabilities designated as effective                                                 
    hedging instruments                                                          41                    41    
    Total                                                                        41                    41    

                                                                                31 Mar 2018        
                                                               Level 1      Level 2      Level 3    Total    
    Financial assets at fair value through profit or loss                                                    
    Financial assets designated at fair value                                                      
    through profit or loss                                                                    48       48    
    Available-for-sale financial assets                                                                      
    Shares                                                                                     5        5    
    Total                                                                                     53       53    
    Financial liabilities at fair value through profit or loss                                               
    Derivative liabilities designated as effective                                                 
    hedging instruments                                                          72                    72    
    Total                                                                        72                    72    

                                                                               30 Sept 2018        
                                                               Level 1      Level 2      Level 3    Total    
    Financial assets at fair value through profit or loss                                                    
    Financial assets designated at fair value                                                      
    through profit or loss                                                                    55       55    
    Available-for-sale financial assets                                                                      
    Shares                                                                                     5        5    
    Derivative assets designated as effective                                                      
    hedging instruments                                                           1                     1    
    Total                                                                         1           60       61    
    Financial liabilities at fair value through profit or loss                                               
    Financial liabilities designated at fair value                                                 
    through profit or loss                                                        9                     9    
    Derivative                                                                   35                    35    
    Total                                                                        44                    44    
    On 1 October 2018 the group adopted IFRS 9 Financial Instruments, refer to note 17(a) for the impact 
    of the adoption.

                                                                       Six months ended        Year ended  
                                                                     31 Mar        31 Mar         30 Sept    
                                                                       2019          2018            2018    
                                                                   Reviewed      Reviewed         Audited    
                                                                         Rm            Rm              Rm    
10. DIVIDENDS DECLARED
    Ordinary shares
    Final dividend No 180 paid on 14 January 2019: 
    317 cents per share (2018: No 178 - 265 cents per share)            674           564             564    
    Interim dividend No 179 paid on 11 June 2018:             
    145 cents per share                                                                               308    
    Paid to Barloworld Limited shareholders                             674           564             872    
    Paid to non-controlling interest                                     14            42              81    
                                                                        688           606             953    

11. ACQUISITION OF INVESTMENTS AND INTANGIBLES                                                               
    Intangibles and other investments acquired                          (99)          (94)           (122)   
    Investment in Angolan bonds - realised/(acquired)                   107          (188)             36    
    Cash amounts paid to acquire investments and intangibles              8          (282)            (86)   

12. PROCEEDS ON DISPOSAL OF SUBSIDIARIES AND INVESTMENTS                                                     
    Inventories disposed                                                                              969    
    Receivables disposed                                                                            1 196    
    Payables, taxation and deferred taxation balances disposed                                       (785)    
    Borrowings net of cash                                                                            162    
    Property, plant and equipment, non-current assets, goodwill   
    and intangibles                                                                                 1 048    
    Net assets disposed                                                                             2 590    
    Outstanding receivable from buyer                                                                (170)   
    Less: Non-cash translation reserves realised                  
    on disposal of foreign subsidiaries                                                            (1 502)   
    Profit on disposal                                                                              1 586    
    Net cash proceeds on disposal of subsidiaries                                                   2 504    
    Bank balances and cash in subsidiaries disposed                                                  (162)    
    Cash proceeds on disposal of subsidiaries                                                       2 342    
    The disposal of Equipment Iberia took place in June 2018 (prior year) for R2.5 billion (Euro 163 million).
                                                                                                            
                                                                       Six months ended        Year ended   
                                                                     31 Mar        31 Mar         30 Sept   
                                                                       2019          2018            2018   
                                                                   Reviewed      Reviewed         Audited   
                                                                         Rm            Rm              Rm   
13. CASH AND CASH EQUIVALENTS
    Cash balances not available for use due to reserving 
    and foreign exchange restrictions                                   149           150             178    
    This includes US$9.1 million (R130 million) of Angolan 
    Kwanza cash on hand (March 2018: US$9.2 million, 
    R109 million) (Sept 2018: US$9.9 million, R140 million).

14. COMMITMENTS
    Capital expenditure commitments to be incurred                                                           
      Contracted - Property, plant and equipment                        390           245             340    
      Contracted - Vehicle Rental Fleet                                 190           235           1 131    
    Approved but not yet contracted                                     217           511             216    
    Total continuing operations                                         797           991           1 687    
    Discontinued operation                                                             18                    
    Total group                                                         797         1 009           1 687    
    Share of joint ventures' capital expenditure            
    commitments to be incurred:                                 
      Contracted                                                         45                                  
    Approved but not yet contracted                                                                   135    
                                                                         45                           135
    Operating lease commitments:                                                                             
    Continuing operations                                             3 155         2 790           3 439    
    Discontinued operation                                                            106                    
    Total group                                                       3 155         2 896           3 439    
    Capital expenditure will be financed by funds generated by the business, existing cash resources and 
    borrowing facilities available to the group.
    
                                                                       Six months ended        Year ended     
                                                                     31 Mar        31 Mar         30 Sept    
                                                                       2019          2018            2018     
                                                                   Reviewed      Reviewed         Audited     
                                                                         Rm            Rm              Rm     
15. CONTINGENT LIABILITIES                                                                                          
    Performance guarantees given to customers, other 
    guarantees and claims                                   
    From continuing operations                                          952           517             872    
    From discontinued operation                                                       182                    
    Total group                                                         952           699             872    

    Certain risk-share customers have pledged collateral of R232 million as security against these 
    contingent liabilities.

    During 2018 the Barloworld Equipment division entered into 
    a 25% risk share agreement with Caterpillar Financial 
    Corporation Financeira, S.A., E.F.C. - Sucursal em Portugal 
    and Barloworld Equipment UK Limited. The risk share agreement 
    only relates to certain agreed upon customer risk profiles 
    and relates to exposure at default less any recoveries. 
    As at 31 March 2019 the maximum exposure of this guarantee 
    was estimated to be R305 million (March 2018: nil; 
    September 2018: R278 million).

    Buy-back and repurchase commitments not reflected on the 
    statement of financial position                            
    From continuing operations                                           94            90              94    
    From discontinued operation                                                        14                    
    Total group                                                          94           104              94    

    Other contingent liabilities
    In October 2017, the Barloworld Equipment South Africa (BWE SA) business received notification from the 
    Competition Commission that it is investigating a complaint against the Contractors Plant Hire 
    Association of which Barloworld Equipment was a member. The matter is ongoing and no further 
    action has been taken by the Competition Authorities in this period.

    The company and its subsidiaries are continuously subject to various tax audits in the territories in 
    which they operate. While in most cases the companies are able to successfully defend the tax positions 
    taken, the outcomes of some of the audits are being disputed. Where, based on our own judgement and the 
    advice of external legal counsel, we believe there is a probable likelihood of the group being found 
    liable, adequate provisions have been recognised in the financial statements. The Namibian Directorate 
    Customs and Excise audit matter reported on at 30 September 2018 was resolved in the period with the 
    outcome being the imposition of a nominal administrative penalty.

16. RELATED PARTY TRANSACTIONS          
    There has been no significant changes in related party relationships and the nature of related party 
    transactions since the previous year.          

    Other than in the normal course of business, there have been no other significant transactions during 
    the year with associate companies, joint ventures and other related parties.          
                                        
17. CHANGES IN ACCOUNTING POLICIES
    The group adopted IFRS 9 Financial Instruments (see note 17(a) and IFRS 15 Revenue from Contracts 
    with Customers (see note 17(b) from 1 October 2018. A number of other new standards and amendments 
    to existing standards became effective from 1 October 2018, but these do not have a material effect 
    on the group's financial statements.
    (a) IFRS 9 Financial Instruments
        Impact of adopting new standards
        The group has elected not to restate comparative figures and to recognise a cumulative adjustment 
        in retained earnings in adopting IFRS 9. The adoption of IFRS 9 resulted in the change of 
        classification and measurement of certain financial assets. The most significant impact of 
        IFRS 9 has been the change to the group's policies regarding the measurement of impairment of 
        financial assets, contract assets, lease receivables, commitments and guarantees. The impairment 
        for financial instruments is now measured using an expected credit loss model instead of an 
        incurred loss model. Furthermore, equity instruments previously measured at cost are now measured 
        at fair value through other comprehensive income.

        The following table summarises the impact, net of tax, of the transition to IFRS 9 on the opening 
        balance of reserves and retained earnings as at 1 October 2018. The adjustment to retained income 
        is due to the change in the accounting policy for impairing financial assets.

        Impact of adopting IFRS 9 at 1 October 2018 (release)
        Recognition of expected credit losses under IFRS 9                                             17    
        Related tax                                                                                    (3)    
        Increase in retained earnings                                                                  14    

        The table and the accompanying notes that follow explain the original measurement categories under 
        IAS 39 and the new measurement categories under IFRS 9 for each class of the group's financial 
        assets and liabilities, as at 1 October 2018.

        Financial assets
        Please note that unless otherwise stated the carrying amount under the new IFRS 9 category remains 
        the same as the IAS 39 category.
                                         Original category        New category                             
        Financial instrument             under IAS 39             under IFRS 9                             

        Long-term financial assets       Fair value through       Measured at fair value         Note a    
        (investments in equity           profit and loss:         through other                            
        instruments)                     Designated at initial    comprehensive income                     
                                         recognition              (FVOCI)                                         
                                         Available-for-sale                                                
                                         financial assets                                                  
                                         Cost                                                              

        Long-term financial assets       Held to maturity         Measured at                    Note b    
        (debt instruments)                                        amortised cost                           
                                        
        Long-term financial assets       Loans and                Measured at                    Note b    
        (long-term receivables)          receivables              amortised cost                           
                                        
        Long-term financial assets       Loans and                Measured at                    Note b    
        (investment securities)          receivables              amortised cost                           
                                        
        Trade and other receivables      Derivatives designated   Derivatives in the Equipment             
        (derivatives)                    as hedging instruments   business are measured at                 
                                                                  either fair value through                
                                                                  other comprehensive income               
                                                                  or fair value through profit             
                                                                  or loss                                  
                                        
        Trade and other receivables      Held to maturity         Measured at                    Note b    
        (debt instruments)                                        amortised cost                           
                                        
        Trade and other receivables      Loans and                Measured at                    Note b    
        (other receivables)              receivables              amortised cost                           
                                        
        Cash and cash equivalents        Loans and receivables    Measured at amortised cost     Note b    
                                        
        Financial liabilities                                                                              
        Interest-bearing                 Measured at              Measured at                    Note b    
        non-current liabilities          amortised cost           amortised cost                           
                                        
        Other non-current liabilities    Measured at              Measured at                    Note b    
        (deferred income)                amortised cost           amortised cost                           
                                        
        Other non-current liabilities    Measured at              Measured at                    Note b    
        (other payables)                 amortised cost           amortised cost                           
                                        
        Trade and other payables         Fair value through       Measured at fair                         
        (derivatives)                    profit and loss:         value through profit                     
                                         Designated at initial    or loss                                  
                                         recognition                                                       
                                        
        Trade and other payables         Measured at amortised    Measured at amortised          Note b    
                                         cost                     cost

        Amounts due to bankers           Derivatives designated   Derivatives in the Equipment             
        and short-term loans             as hedging instruments   business are measured at                 
        (derivatives)                                             either fair value through                
                                                                  other comprehensive income               
                                                                  or fair value through profit             
                                                                  or loss                                  
                                        
        Amounts due to bankers           Measured at              Measured at                    Note b    
        and short-term loans             amortised cost           amortised cost                           
                                        
        Note a: The group has a number of small equity investments that were previously recognised at cost 
        (allowable under IAS 39) but which are now recognised at the best estimate of fair value. There has 
        been no material change in the value of these equity investments under IFRS 9.
        Note b: The classification of financial instruments as measured at amortised cost is deemed 
        appropriate as the contractual cash flows for the group consist solely of principal and interest. 
        Barloworld's business model is to only collect the principal amount outstanding and interest 
        charged on the principal debt.
        Note c: Finance lease receivables are measured using the principles of IAS 17 Leases as they 
        are not in the scope of IFRS 9. This is consistent to prior years.

    New significant accounting policies - IFRS 9
    Impairment
    The group applies the expected credit loss (ECL) using the simplified approach to assess whether financial
    assets measured at amortised cost, finance lease receivables and contract assets collectively referred 
    to as receivables are impaired.

    In determining the ECL for receivables, the receivables are grouped based on similar risks, the industry 
    in which the debtor operates, the regulatory environment, the size of the debtor and the historical 
    payment history of the debtor. ECLs are calculated using a provision matrix which applies a historic 
    loss ratio to the aged balance of trade receivables at each reporting date. In instances where there was 
    no evidence of historical write-offs, management's judgement is applied to assess potential write-offs. 
    The historic loss ratio is also adjusted for forward-looking information to determine the lifetime ECL
    for the portfolio of trade receivables, this includes taking into account factors such as inflation, 
    the debtors' reputation, the market the debtors' operates in, the impact of technology and, particularly 
    in relation to our Equipment debtors', local economic and geopolitical indicators and commodity prices.

    Recognition of fair value movements in equity investments in other comprehensive income
    The fair value of equity investments is inherently volatile and Barloworld's business model is not 
    that of an equity investment holding company. Therefore the fair value movements in equity instruments 
    are not considered part of the everyday operations of the group as presented in the income statement. 
    Barloworld therefore elected to recognise equity instruments at FVOCI.

    Hedge accounting
    The group currently applies cash flow hedge accounting in its Equipment southern Africa division on 
    certain of its firm commitments for Caterpillar equipment. Currently Barloworld hedges the currency 
    risk inherent in the Caterpillar equipment (hedged item) with forward exchange contracts 
    (hedging instrument).

    Barloworld has elected to continue applying the hedge accounting requirements of IAS 39.
    (b) IFRS 15 Revenue from Contracts with Customers
        Impact of adopting new standards
        The group has adopted IFRS 15 using the cumulative effect method, at the date of initial 
        application (ie 1 October 2018). Accordingly, the information presented for 2018 has not been 
        restated. The adoption of IFRS 15 has not resulted in a significant impact on the group, it has 
        resulted in a net increase in opening retained income of R6 million.

    (b) IFRS 15 Revenue from Contracts with Customers continued
        New significant accounting policies - IFRS 15 continued
        Revenue recognition
        The group recognises revenue from the following major sources:
        - Sale of goods and parts (new and used)                           
        - Rental income                                          
        - Rendering of service                                   
        - Commission income.                                     

        Revenue is measured based on the consideration specified in a contract with a customer and excludes 
        amounts collected on behalf of third parties. The group has determined that a disaggregation of 
        revenue using existing segments is appropriate as the timing of the transfer of goods or services 
        (at a point in time versus over time) does not change with the adoption of IFRS 15.

        The sale of goods includes: new and used Caterpillar earthmoving equipment, engines and other 
        complementary products (Equipment); new, used and demo motor retailing (Automotive); recyclables 
        and fast moving consumer goods (Logistics). Revenue on the sale of goods is recognised when a group 
        entity sells a product to the customer being when the products are delivered to the customer. 
        Payment of the transaction price is due immediately when the customer purchases the goods and 
        takes delivery.

        Rental income includes: rental of Caterpillar earthmoving equipment, engines and other 
        complementary products (Equipment); fleet management solutions and short-term vehicle rentals 
        (Automotive). Rental income from operating leases (net of any incentives given to the lessees) 
        is recognised on a straight-line basis over the lease term.

        Revenue from providing services includes workshop and in-field support services and after sales
        services including equipment services, fitment and repairs (Equipment); after sales 
        services including vehicle services, fitment and repairs (Automotive) and logistics services and
        supply chain management solutions (Logistics). Revenue from rendering services is recognised in 
        the accounting period in which the services are rendered. The percentage of completion method is 
        applied to recognise revenue on long-term maintenance and repair contracts (MARC) in the Equipment 
        and Automotive businesses. Management exercise judgement in calculating the deferred revenue 
        reserve which is based on the anticipated cost of repairs over the life cycle of the equipment, 
        or motor vehicles, applied to the total expected future revenue arising from maintenance and 
        repair contracts. Deferred revenue is released as the services are provided in line with the 
        transfer of risks and rewards principle.

        Estimates of revenues, costs or extent of progress toward completion are revised if circumstances 
        change. Any resulting increases or decreases in estimated revenues or costs are reflected in 
        profit or loss in the period in which the circumstances that give rise to the revision become 
        known by management.

        Commission income includes commissions earned on the sale and auctioning of goods (Automotive) 
        and commissions earned on the sale and clearing of goods (Logistics). Commission income is 
        recognised when the sale which gives rise to the commission income has occurred.

        Disaggregation of revenue                                                                            
                                                                       Six months ended        Year ended 
                                                                     31 Mar        31 Mar         30 Sept     
                                                                       2019          2018            2018
                                                                   Reviewed      Reviewed         Audited
                                                                         Rm            Rm              Rm   
         Equipment and Handling                                      13 291        12 489          27 686    
         - Sale of goods and parts (new and used)                    10 662        10 291          22 813    
         - Rental income                                                521           451           1 146    
         - Rendering of services                                      2 108         1 747           3 727    
         Automotive                                                  14 188        15 372          29 809    
         - Sale of goods                                             10 292        11 514          22 442    
         - Rental income                                              2 559         2 568           4 804    
         - Rendering of service                                         910           925           1 776    
         - Commission income and insurance premium                      426           365             785    
         - Royalties                                                      1                             2    
         Logistics                                                    2 889         2 989           5 924    
         - Sale of goods and parts (new and used)                       340           406             630    
         - Rental income                                                  5                                  
         - Rendering of services                                      2 544         2 583           5 294    
         Corporate                                                        1                             1    
         - Rental income                                                  1                             1    
                                                                     30 369        30 850          63 420    
                                                                                                                  
        Dividend income
        Dividend income does not form part of IFRS 15, however, the group recognises dividend income when 
        the right to receive payment is established. Dividend income is recognised in profit and loss.

        IFRS 16 Leases (Effective for the group from 1 October 2019)
        IFRS 16 will be applied by the group from 1 October 2019. Under the new standard, all lease 
        contracts, with limited exceptions, will require a lessee to recognise a right-of-use asset 
        representing its right to use the underlying leased asset and a lease liability representing 
        its obligation to make lease payments.

        The adoption of the standard will have a material effect on the group's financial statements by 
        significantly increasing the group's assets and liabilities.

        Based on the group's current assessment, the impact is expected to be between R2 250 million and
        R2 750 million of additional liabilities that will be recognised on the statement of financial 
        position with a corresponding lease asset within the same value range.

        Operating expenses are expected to decrease due to the removal of rental expenses under IFRS 16 
        and the accounting for leases in the income statement through amortisation of the right-of-use 
        asset.                                                            

        Interest would be increased by the interest on the lease liability. The impact on net profit 
        before tax is expected to be less than 5%.                                                            

        Operating and financing cash flows will also be impacted as the finance portion of leasing 
        charges will be classified as financing cash flows (under IAS 17 all operating lease cash flows 
        were classified as operating cash flows).                                                            

        It is important to note that the group's preliminary assessment is ongoing and the group lease 
        profile and the incremental borrowing rates applied may change in the ordinary course of our
        business. As such, the actual impact of implementing IFRS 16 and this estimate may differ.

18. EVENTS AFTER THE REPORTING PERIOD
    Barloworld currently has a 51.18% interest in NMI Durban South Motors (Pty) Limited (NMI-DSM), 
    a subsidiary within our Automotive division. On 16 May 2019 the board approved management's mandate 
    to negotiate the sale of 1.18% of Barloworld's investment in NMI-DSM. The conclusion of this sale 
    would reduce Barloworld's shareholding to 50% and facilitate the formation of a joint venture with 
    the existing minority shareholders in this business. On conclusion of the sale, which is expected 
    to take place in the next six months, Barloworld will deconsolidate the NMI-DSM business from the 
    Group's results. Thereafter the investment would be equity accounted by the Barloworld group. 

19. AUDITOR'S REVIEW
    These condensed consolidated interim financial statements for the period ended 31 March 2019 have 
    been reviewed by Deloitte & Touche, who expressed an unmodified review conclusion. A copy of the 
    auditor's review report is available for inspection at the company's registered office.

    The auditor's report does not necessarily report on all of the information contained in this 
    announcement/financial results. Shareholders are therefore advised that in order to obtain a 
    full understanding of the nature of the auditor's engagement they should obtain a copy of that 
    report together with the accompanying financial information from the issuer's registered office.

    Any forward-looking statements included in this announcement have not been reviewed or reported 
    on by the auditors.

20. OPERATING SEGMENTS
                                                                                                                                  
                                                                         Operating                     Fair value adjustments     
                                        Revenue                        profit/(loss)                  on financial instruments    
                            Six months ended  Year ended         Six months ended  Year ended       Six months ended  Year ended     
                           31 Mar     31 Mar     30 Sept        31 Mar     31 Mar     30 Sept      31 Mar     31 Mar     30 Sept      
                             2019       2018        2018          2019       2018        2018        2019       2018        2018     
                         Reviewed   Reviewed     Audited      Reviewed   Reviewed     Audited    Reviewed   Reviewed     Audited     
                               Rm         Rm          Rm            Rm         Rm          Rm          Rm         Rm          Rm     
    Equipment and                                                                                                                 
    Handling               13 291     12 489      27 686         1 120      1 035       2 574         (58)       (97)        (84)    
    Automotive and                                                                                                                
    Logistics              17 077     18 361      35 733           953        982       1 963          (9)        (9)        (19)    
    Corporate                   1                      1          (197)       (63)       (133)         (9)       (21)        (30)    
    Total                  30 369     30 850      63 420         1 876      1 954       4 404         (76)      (127)       (133)    
    Southern Africa        27 075     27 028      55 506         1 681      1 680       3 652         (65)      (104)       (106)    
    Europe                  3 294      3 822       7 914           195        274         752         (11)       (23)        (27)    
    Total                  30 369     30 850      63 420         1 876      1 954       4 404         (76)      (127)       (133)    

                          Segment result: Operating profit/
                            (loss) including fair value                                                    Net operating
                                    adjustments                        Operating margin (%)             assets/(liabilities)*
                            Six months ended  Year ended         Six months ended  Year ended       Six months ended  Year ended    
                           31 Mar     31 Mar     30 Sept        31 Mar     31 Mar     30 Sept      31 Mar     31 Mar     30 Sept     
                             2019       2018        2018          2019       2018        2018        2019       2018        2018    
                         Reviewed   Reviewed     Audited      Reviewed   Reviewed     Audited    Reviewed   Reviewed     Audited    
                               Rm         Rm          Rm            Rm         Rm          Rm          Rm         Rm          Rm    
    Equipment and                                                                                                    
    Handling                1 062        938       2 490           8.4        8.3         9.3      15 167     16 538      14 902    
    Automotive and                                                                                                   
    Logistics                 944        973       1 944           5.6        5.3         5.5      11 728     12 207      10 296    
    Corporate                (206)       (84)       (163)                                          (1 149)    (1 428)     (1 159)   
    Total                   1 800      1 827       4 271           6.2        6.3         6.9      25 746     27 317      24 039    
    Southern Africa         1 616      1 576       3 546           6.2        6.2         6.6      24 540     24 821      22 726    
    Europe                    184        251         725           5.9        7.2         9.5       1 206      2 496       1 313    
    Total                   1 800      1 827       4 271           6.2        6.3         6.9      25 746     27 317      24 039    
    * The net operating assets/(liabilities) includes assets/liabilities classified as held for sale.


Salient features
                                                                       Six months ended        Year ended
                                                                     31 Mar        31 Mar         30 Sept   
                                                                       2019          2018            2018    
                                                                   Reviewed      Reviewed         Audited    
                                                                         Rm            Rm              Rm    
Financial
Group headline earnings per share (cents)                               476            481           1 192    
Continuing headline earnings per share (cents)                          476            457           1 151    
Return on invested capital (ROIC) (%)                                  11.3           11.0            12.3    
Free cash flow                                                         (695)        (3 013)          3 591    
Economic profit                                                        (344)          (446)            (48)   
Dividends per share (cents)                                             165            145             462    
Continuing operating margin (%)                                         6.2            6.3             6.9    
Continuing net asset turn (times)                                       1.8            2.2             2.1    
Continuing EBITDA/interest paid (times)                                 5.4            5.5             5.9    
Continuing net debt/equity (%)                                         20.4           47.9            14.4    
Continuing return on net operating assets (RONOA) (%)                   9.2           17.0            20.9    
Continuing return on ordinary shareholders' funds (%)                   9.0            9.7            11.4    
Net asset value per share including investments       
at fair value (cents)                                                10 702          9 160          10 453    
Number of ordinary shares in issue (000)                            212 693        212 693         212 693    
                                                                                                   Audited    
Non-financial                                                                                                 
Non-renewable energy consumption (GJ)                             1 462 799      1 469 964       2 947 696    
Greenhouse gas emissions (tCO2e)*                                   127 162        129 187         257 650    
Water withdrawals (municipal sources) (ML)                              317            292             588    
Number of employees                                                  17 555         18 171          17 417    
Lost-time injury frequency rate (LTIFR)?                               0.61           0.80            0.69    
Number of work-related fatalities                                         1              2               2    
dti^ B-BBEE rating (level)                                                3              3               3    
* Scope 1 and 2.                                                                                          
? Lost-time injuries multiplied by 200 000 divided by total hours worked.
^ Department of Trade and Industry (South Africa).

                                          Closing rate                             Average rate
                                Six months ended      Year ended          Six months ended      Year ended    
                              31 Mar        31 Mar       30 Sept        31 Mar        31 Mar       30 Sept     
                                2019          2018          2018          2019          2018          2018    
Exchange rates (Rand)       Reviewed      Reviewed       Audited      Reviewed      Reviewed       Audited    
United States Dollar           14.42         11.85         14.15         14.10         12.75         13.01    
Euro                           16.19         14.57         16.44         16.07         15.34         15.48    
British Sterling               18.79         16.62         18.45         18.28         17.42         17.53    


CORPORATE INFORMATION
Registered office and business address
Barloworld Limited, 61 Katherine Street
PO Box 782248, Sandton, 2146, South Africa
Tel +27 11 445 1000
Email: invest@barloworld.com

Directors
Non-executive: DB Ntsebeza (Chairman), 
NP Dongwana, FNO Edozien^, HH Hickey, 
MD Lynch-Bell*, NP Mnxasana, NV Mokhesi, 
H Molotsi, SS Ntsaluba, P Schmid
Executive: DM Sewela (Chief executive) 
^Nigeria  *UK 

Group company secretary
Andiswa Ndoni

Enquiries
Barloworld Limited
Tel +27 11 445 1000 
Email: invest@barloworld.com

Sponsor: Nedbank Corporate and Investment Banking 
         a division of Nedbank Limited

www.barloworld.com




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