Bell Equipment, the materials handling equipment manufacturer, said in a trading update that due to stronger market conditions it expects its headline earnings to rise by up to 65%.
“The expected increase in earnings is mainly due to stronger market conditions, which have had a positive impact on production and sales performance,” it said.
Shareholders were advised that earnings per share (Eps) and headline earnings per share (Heps) for the year ended December 31, 2022 were expected to be between 465 cents and 485c per share.
Eps were likely to be between 165c and 185c up, or 55% to 62% higher, while heps were likely to be between 171c and 191c up, or between 58% and 65% higher.
On December 19, 2022 Bell had forecast it expected to report eps and heps of at least 420c, an increase of 120c per share, or 40% and of 126c per share or 43%, respectively.
In the company’s interim results for the period ended June 30, 2022, it failed to deliver a dividend due to ongoing uncertainty globally, despite heps rising 19%. The market expects that a dividend will be resumed in the firm’s upcoming annuals with speculation of a possible offer by the management to buy out minorities.
In afternoon trade yesterday, the share was up 1.97% to R15.50 and up a whopping 176.36% in three years.
BUSINESS REPORT