Hulamin warning spooks shareholders
Shares lose more than 10% in the week on forecast of turbulent trading conditions and weaker prices
Aluminium semi-fabricator and exporter Hulamin ended the week on a low as the stock lost 6.49% on Friday, the largest one-day fall in more than a month. Chair Thabo Leeuw’s statement to shareholders on Wednesday triggered the sell-off as he alluded to several factors that will affect the company’s profits in the first six months of its financial year, one analyst said. The share was down for most of last week. Hulamin, which was spun out of Tongaat Hulett in 2007, was down 6.22% on Thursday. The shares slumped 10.67% for the week. “The chairman’s statement was a profit warning. That is why the share price has fallen,” Chris Logan of Opportune Investments said on Friday. In the statement, Leeuw alluded to turbulent trading conditions in recent months. “Hulamin trades in more than 50 countries worldwide, our largest markets after SA being US and the EU. Volatility in these core markets has made it difficult to maintain a balance in our profile of orders to suit Hulamin’s specific...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.