Johannesburg — CABLE management and support system manufacturer O-Line Holdings, which yesterday posted a net profit of R7,5m in the six months to December, said it would play a vital role in the commissioning of Eskom's planned power generation projects.

However, the company said the shortage of power had seen a number of major infrastructure projects put on the back burner . CE Graeme Smart said that in spite of this, the company had weathered the economic difficulties.

Revenue for the first six months to December rose to R83,7m while earnings per share were 6,71c and basic headline earnings per share rose to 6,67c .

"Power is the operative word today, with its demand bringing the requirement for cable management and support systems, which is the core of O-Line's business," Smart said.

Although the company was experiencing power problems and a shortage of steel, it was taking remedial action.

O-Line has engaged in forward buying and is rearranging its production operations to make up for down time and loss of output.

Smart said the company had embarked on a major capital expansion programme to buy advance machinery, some of which had already been installed , to cater for the expected growth in infrastructural development .

Since December, the company has tendered on projects valued at about R60m, a large percentage of which were outside the country .

O-Line is finalising the establishment of a branch in Maputo in Mozambique, and feasibility studies for branches in Tanzania and Congo are continuing.