Astral Foods broiler house
Integrated poultry producer Astral Foods has advised that its earnings per share (EPS) for the six months ended March 31 will increase by between 465% and 475% year-on-year.
This will result in interim EPS of between 913c and 930c apiece, compared with EPS of 162c in the first half of the prior financial year.
Its headline earnings per share (HEPS) are also likely to increase by between 435% and 445% year-on-year to between 874c and 891c apiece, against HEPS of 163c in the prior comparable period.
Astral will release its interim results on May 20.
The improvement in EPS and HEPS follows a “devastating” set of results in the financial year ended September 30, with Astral having incurred its first-ever loss in 23 years.
The results reflected numerous headwinds, including costs related to loadshedding, water supply disruptions, record-high raw material input costs and a severe outbreak of Avian Influenza.
At one point, Astral’s cost to produce chicken exceeded the selling price by at least R2/kg.
The group has since been focused on normalising its operations and rebuilding its balance sheet.