Exxaro Resources’ share price dipped 4% to R125 on Friday morning after it warned shareholders that its basic headline earnings per share (HEPS) for 2017 were expected to be about a fiftieth of the prior year’s. The coal and heavy metals miner said in a trading statement it expected to report on March 8 that basic HEPS for the year to end-December would be between 24c and 29c, a sharp drop from the prior year’s R13.02. This was partly due to the dilution caused by its replacement black economic empowerment deal after the lock-in period of its previous deal ended and shareholders cashed out. Exxaro said measured by attributable earnings per share, the decline was a more modest 6%-15%.
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