South Africa's gross domestic product (GDP) contracted 0.7% in the second quarter in quarter-on-quarter, seasonally adjusted and non-annualised terms, data from the statistics agency showed on Tuesday.
GDP grew 0.2% year-on-year unadjusted in the second quarter, Statistics South Africa said.
Economists had predicted 0.8% quarter-on-quarter contraction and 0.6% year-on-year growth.
The floods in the KwaZulu-Natal province and persistent power cuts weighed heavily on economic activity during the period, hampering businesses and disrupting operations.
Seven industries contracted in the second quarter, a presentation from the statistics agency showed.
Statistics South Africa said manufacturing fell 5.9% quarter-on-quarter, while the trade, catering and accommodation category contracted 1.5% and agriculture, forestry and fishing 7.7%. Mining and quarrying contracted 3.5%.
President Cyril Ramaphosa promised sweeping reforms to strengthen Africa's most advanced economy when he took office in 2018, but progress has been slow.
Reuters