Astral flies as it flags a spike in earnings


Astral flies as it flags a spike in earnings

Published Date: 2017-10-17 | Source: Stephen Gunnion | Author: Stephen Gunnion

Astral flies as it flags a spike in earnings

The poultry group says full-year profit may double

Astral Foods says it expects a sharp increase in profits for the year to September after trading conditions continued to improve in the last couple of weeks of the period.

Last month, the poultry producer indicated that earnings and headline earnings per share would be at least 65% higher than last year, helped by lower feed costs following the end of the drought in some of the country's maize-producing areas. Not it says there's a reasonable degree of certainty that headline earnings per share will be up by between 80% and 100%. Earnings per shares are likely to rise by between 85% and 105%.

Among other factors, Astral says the improvement is due to the fact that it incurred no further losses as a result of the outbreak of Avian Influenza for the remainder of its reporting period. It said all-round trading results for September were also much better than expected at the time of its previous trading update.

Astral's shares gained 6.6% to close at R186.25.

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