JSE-listed Pioneer Foods advised shareholders that adjusted headline earnings per share (HEPS) and adjusted earnings per share (EPS) from continuing operations for the six-month period ended March 31 would increase by more than 20% in relation to the comparative period.

The group, which had yet to have the information for the period under review reviewed or reported on by its independent external auditors, said on Monday that there was a reasonable degree of certainty that the results would be achieved.

Adjusted HEPS were expected to be between 439c and 459c, or between 35% and 41% higher than the 325c reported for the previous six-month period, while adjusted EPS from continuing operations would be between 441c and 460c, or between 36% and 42% higher than the 325c reported for the 2014 period.

Adjusted operating profit from continuing operations would be between R1.127-million and R1.178-million, or between 32% and 38% higher than the R855-million achieved in the prior corresponding period.

Pioneer Foods explained that continuing operations on an adjusted basis provided a consistent perspective on the operational performance as it excluded discontinued operations relating to Quantum Foods, its unbundling and the impact of the cash-settled Phase 1 (2006) broad-based black economic empowerment transaction. The transaction was accounted for in terms of IFRS 2 and was predominantly impacted by the relative movement in the group´s share price.

Group statutory HEPS and EPS for the six months to March 31 were expected to decrease as a result of the IFRS 2 charge and the impact of the Quantum Foods unbundling.

The relevant details of the Quantum Foods unbundling would be detailed in the interim financial results for the period under review, which was scheduled for or on about May 18.

Nonetheless, Pioneer Foods’ revenue growth from continued operations for the reporting period was in line with the growth reported for the three months to December 31, 2014, as published in February.

Operating performance benefited from volume growth – which translated into market share gains for the company’s power brands – appropriate pricing strategies and the continued focus on cost reduction and efficiencies.

Meanwhile, attributable EPS was expected to be between 258c and 287c, or between 18% and 26% lower than the 349c reported for the six months to March 31, 2014, and HEPS between 328c and 357c, or between 6% and 14% lower than the 380c in the prior period.

A gain of R48-million was recorded in the corresponding period as a result of the share price decreasing from R87.50 to R83.50. Conversely, a charge of R203-million was recorded in the current period as a result of an increase in the share price from R118 to R177.85.