Invicta: Headline earnings forecast increased

Invicta raised its profit forecast for the year to March yesterday, indicating that it was “reasonably certain” headline earnings a share would be between 25 percent and 30 percent higher than a year earlier. Last month the investment holding company said it expected its headline earnings a share for the year to be at most 5 percent higher than the previous year. No reason was given for the change in its forecast. Its previous forecast of its earnings a share and normalised earnings a share range for the year remained the same, with earnings a share expected to be between 30 percent and 40 percent higher and normalised earnings a share to be at most 10 percent higher. Invicta took its first step into the global market last year by acquiring Kian Ann Engineering, which is listed on the Singapore Stock Exchange, for R1.36 billion. The deal was aimed at diversifying Invicta’s base and sustaining its historic growth. Kian Ann Engineering is a large distributor of heavy earth-moving equipment parts and diesel engine spares with an annual turnover of R1.1bn. The shares leapt 5.74 percent to close at R98. – Roy Cokayne