23 Feb 2022 09:36
AECI Limited - Trading StatementAECI Limited - Trading Statement
PR Newswire
London, February 23
AECI LIMITEDIncorporated in the Republic of South Africa(Registration number: 1924/002590/06)Share code: AFE ISIN: ZAE000000220Hybrid code: AFEP ISIN: ZAE000000238Bond company code: AECILEI: 3789008641F1D3D90E85(AECI or the Company or the Group)
TRADING STATEMENT FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2021
In compliance with the JSE Limited Listings Requirements, shareholders and noteholders are advised that, for the financial year ended 31 December 2021 (the period or the current period), AECI’s headline earnings per share (HEPS) is expected to be between 1 090 cents and 1 135 cents, that is between 24% and 29% higher than the reported 880 cents for the financial year ended 31 December 2020 (the prior corresponding period). Earnings per share (EPS) is expected to be between 1 110 cents and 1 135 cents, more than 100% higher than the reported 127 cents in the prior corresponding period.
The significant contributors to the expected improvement in the period were as follows:
Trading results reflected a strong recovery from the effects of COVID-19 as the Group returned to near pre-pandemic levels of activity. This recovery was achieved notwithstanding steep increases in certain raw material prices, supply chain interruptions and volatile demand patterns. In 2020, R821 million (or 778 cents in EPS terms) of the R1 530 million goodwill recognised at the acquisition of AECI Much Asphalt was impaired. There were no goodwill impairments in the current period.AECI has maintained its solid financial position, with good cash generation, and has repaid a large portion of its term debt from the cash generated. Net borrowings as a percentage of equity remained stable.
AECI is currently finalising its results for the period and it is expected that these will be released on the Stock Exchange News Service on or about Wednesday, 2 March 2022.
The financial information on which this trading statement is based has not been reviewed, reported on or audited by the Company’s external auditor. The information provided does not contain, and should not be construed as containing, any forward-looking statements or projections of any nature for the financial year ended 31 December 2021.
Woodmead, Sandton
23 February 2022
Sponsor and Debt Sponsor: Rand Merchant Bank (A division of FirstRand Bank Limited)
Aeci 5 1/2% Prf (87FZ)