Altron expects higher H1 earnings

13th September 2017 By: Natasha Odendaal - Creamer Media Senior Deputy Editor

JSE-listed Allied Electronics (Altron) expects a 16% to 36% rise in headline earnings per share (HEPS) for the six months to August 31 to be between 36c and 42c apiece, compared with the 31c apiece recorded in the corresponding half-year in 2016.

Similarly, basic earnings per share (EPS) are expected to reach a minimum of 20c for the six months under review, up from the 6c reported in the prior corresponding period.

HEPS for Altron’s continuing operations for the period under review are projected to decrease by 13% to 17% to between 45c and 47c a share, compared with the 54c reported in the prior half-year.

On a normalised basis, excluding significant one-off restructuring costs, earnings before interest, taxes, depreciation and amortisation and headline earnings for the continuing operations are expected to show growth in excess of 10%.

Basic EPS are anticipated to fall to between 41c and 45c, some 16% to 24% lower than the 54c achieved in the prior corresponding half-year.

Turning to Altron’s discontinued operations, which includes the entire Powertech group, Altech Autopage and Altech Multimedia, the group expects a headline loss a share of between 5c and 9c in the six months to August 31, a 61% to 78% improvement on the prior half-year.

The discontinued operations are expected to deliver a basic loss a share of 14c to 22c, narrowing by between 54% and 71% from the loss of 48c in the first half of 2016.

Altron is scheduled to publish its half-year results on October 25.