Altron rises 3.2% as HEPS to end-February expected to double
Altron's share price rose as much as 3.2% to R13.20 on Thursday after it said it expected to report doubled headline earnings per share (HEPS) for the year to end-February.
Altron said it expected to report on May 10 that its HEPS increased between 83% and 102%.
However, excluding Powertech, Autopage and its multimedia business, which were reported as discontinued operations, HEPS for continuing operations rose a more modest 14% to 19%.
In September, the company announced the acquisition of the UK’s Phoenix Software, which it said "positively contributed" to revenue and earnings.
The group, which owns Bytes and vehicle tracking business Netstar, has been looking to reposition itself to focus on information and communication technology (ICT), but needed to sell legacy assets acquired under the former reign of the Venter family.
During the year the Altron group restructured a number of its core operations in a bid to position itself for growth. Mteto Nyati, who took the helm in April last year, has previously said he was prioritising the sale of Powertech Transformers and Altech UEC. The disposals were key to Altron’s plans to reduce debt.
Altron said it is expecting to complete the disposal of the remaining discontinued operations of CBi Telecom Cables and Altech Multimedia during the current financial year.