Remgro expects annual earnings to recover from Covid-19 knock
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REMGRO, the Stellenbosch-based investment holding company, said yesterday that headline earnings from continuing operations for the year would climb by up to 71 percent mainly due to the recovery of the earnings of most of its underlying investee companies.
Headline earnings a share from continuing operations would likely be between 494.2 cents and 524.9 cents compared to 307.5 cents reported a year earlier.
The group said the increase in headline earnings were partly offset, mainly by a lower contribution from hospital group Mediclinic International. Mediclinic’s contributions included the full impact of the Covid-19-related lockdown measures on its results for the year ended March 31, 2021.
The group said headline earnings from continuing operations for the comparative year ended June 30, 2020 were significantly affected during the second six months to June, 30, 2020 by the Covid-19 pandemic and the lockdown measures as well as by a once-off donation of R500 million to The South African SME Relief Trust.
However, total headline earnings are expected to fall by up to 12 percent during the year ended June compared to between 494.2 cents and 524.9 cents compared to the reported 560.6 cents in 2020.
BUSINESS REPORT ONLINE