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OUR CORPORATE FINANCIAL PERFORMANCE GOVERNANCE STATEMENTS
Rs 54.2 million
net profit for Espace Maison
What progress did the Group make on its strategy during the year?
The global macroeconomic context is extremely volatile and unpredictable, making it difficult to anticipate trends. Our only certainty is that the construction sector, along with many other industries, will not be spared by the potential negative effects of this unfavourable climate. With this in mind, our strategy has been to be proactive in seeking out new growth avenues and introducing innovative solutions to our customers. This is why, rather than following a rigid roadmap that leaves no room for flexibility, our approach hinges on strengthening our capabilities and agility, such that we may seize opportunities when they arise. To achieve this, we endeavour to strike a balance between ‘efficiency and resilience’, ‘self- sufficiency and synergy’ and ‘continuity and transformation’.
In my seven years at the helm of UBP Group, the past year has been the most profoundly transformative and significant from a strategic point of view. Although nothing could have foreshadowed this at the beginning of the year, we were presented with two unexpected opportunities that ended up shaping an ordinary year into an extraordinary one. Here, I refer to the acquisitions of LafargeHolcim shares in Premix and Drymix, and of the group of companies in Reunion Island. Although these transactions understandably consumed a fair amount of our time, we also devoted our attention to other equally important undertakings.
We pursued our reflection on how to enhance the operating structure at Group level, via the set-up of more formal decision-making bodies or committees which bring together not just members of Top Management, but also senior managers, general managers and executives from our subsidiaries. Although, for obvious reasons, we were
not able to devote the amount of time we had initially set aside, we made progress on several other strategic projects.
The Group’s team also brought to fruition another reflection that had been in development for years, relating to the transmission of our know-how. Ensuring a smooth transfer of knowledge within the Group is an imperative that has taken on increasing importance in these disruptive times. To this end, it gives me great pleasure to announce the launch of The Path, a project I will discuss at greater length in next year’s report.
Similarly, we have also delivered on our intention to strengthen Health & Safety within the Group with the appointment of a seasoned expert in the role of the Group Health, Safety and Environment Manager in November 2021. Since then, he has already carried out comprehensive training sessions for the team and recruited an additional four team members. We are committed to fulfilling our duty in terms of Health & Safety by any means necessary, without compromising on the number of agents or the level of experience required.
What progress was made in UBP’s operations in Madagascar and Sri Lanka?
As you are aware, we made the decision to dispose of our subsidiary in Sri Lanka. After reaching advanced stages of discussions with a buyer, which were carried out virtually due to Covid restrictions, the deal unfortunately did not fall through. While our broker continued engaging with other buyers who had also expressed strong interest, our local teams made every effort to kickstart production after months of closure due to Covid-19, which was a particularly testing time for the area in which we are based.
As of mid-2021, we began observing in Sri Lanka the same phenomenon of a tenfold increase in demand that we experienced in Mauritius following the first lockdown in 2020. Our subsidiary, UGPL, took full advantage of the situation and achieved volumes of activity it had not seen since the 2010s, in large part thanks to the accelerated
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