JSE-listed Allied Electronics (Altron) on Tuesday said it expects a double-digit improvement in earnings for the six months ended August 31.
Following the restructure of a number of core businesses, and the financial division of continuing and discontinued operations, the bulk of Altron’s continuing operations delivered a strong performance for the half-year under review.
Many of the operations posted earnings before interest, taxes, depreciation and amortisation (Ebitda) growth in excess of 20%.
Group revenue from continuing operations is expected to have increased by between 42% and 46% year-on-year during the six-month period under review, while Ebitda is expected to have increased by between 24% and 28%.
Headline earnings a share for the period are expected to increase by between 45% and 52% to between 68c and 71c.
On a normalised basis, the continuing operations’ revenue is expected to increase by between 41% and 45%, Ebitda is expected to increase by between 14% and 18%, and headline earnings are expected to increase by between 22% and 28% from the prior period.
“The primary difference between continuing operations and the normalised continuing operations’ results relates to around R6-million aftertax of nonrecurring costs relating to restructuring, [compared with R35-million in the first half of the preceding year,]” the company said in a trading update to shareholders.
Altron expects to release its financial results for the six months on October 25.