Johannesburg - Famous Brands gained 2.2 percent yesterday morning to trade at R170.67 a share after the company said it expected its headline earnings per share to be up by between 67 percent and 74 percent for the six months to end August.
Shares closed at R167.83. The company will report headline earnings per share that will be between 403 share to 419 cents a share.
The group further announced that the results were impacted by the positive R141 million that was a derivative gain on a call option used to hedge the purchase price of the acquisition of Gourmet Burger Kitchen in the UK and a R20 million impairment of the investment made in 2013 in UAC Restaurants in Nigeria.
Basic earnings per share (EPS) are expected to be in the range of 58 to 65 percent per share higher than compared with the comparative prior period. This will mean EPS will be between 383 cents a share to 399 cents a share as compared with 242 cents a share reported last year.
BUSINESS REPORT