JSE-listed building materials supplier Afrimat expects its earnings a share (EPS) and headline EPS for its 2009 financial year to be between 35% and 45% lower than the year before.

The company said in a trading update that the decline related to significant start-up costs of new operations, as well as to costs associated with changes in its black economic-empowerment (BEE) shareholding structure.

Further, deteriorating trading conditions in the fourth quarter of the financial year and delays in large-scale infrastructure projects had added to the decline.

Headline EPS, excluding one-off items and BEE costs would reflect a decline of between 20% and 30%, the company reported.

Nevertheless, the group assured shareholders that it would achieve a significant improvement in the financial year ahead, owing to large-scale infrastructure projects gaining momentum.

Afrimat’s results would be published on May 14.