Higher earnings in store for Metrofile
Metrofile has received two buyout offers, including one from US private equity firm Housatonic Partners
Document management specialist Metrofile said on Tuesday it expects a rise in earnings and a reduction in debt for the six months to December.
In a note to investors, Metrofile — which provides services for the storage, retrieval and dissemination of documents, among other things — said it expects to report headline earnings per share that is 9% to 22% higher than the 12.9c in the previous comparable period. This metric strips out the effect of once items on earnings.
Earnings before interest, tax, depreciation and amortisation (ebitda) is expected to rise by as much as 6% to R160m, up from R150.9m previously.
The company’s net debt is expected to come down by up to 18% from R572m to R470m.
Metrofile has received two buyout offers, including one from US private equity firm Housatonic Partners at R3.30 a share. No update was given on either of the offers.
Metrofile shares, relatively flat so far in 2021, received a boost from the trading update to close the day 3.64% firmer at R2.85, valuing the company at R1.29bn.
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