S.Africa’s Aveng year headline EPS jumps 87 per cent

S.Africa’s Aveng year headline EPS jumps 87 per cent
12 September 2006

South African construction, cement and engineering firm Aveng increased annual headline earnings per share by 87 per cent to 603 cents, and forecast a year of sustainable business growth.

The group said on Monday revenue for the year to end-June increased 19 per cent to 16.05 billion rand ($2.19 billion) while operating profit rose 111 per cent to 613 million rand.

Aveng said on Aug. 24 it expected headline EPS -- which excludes non-trading, capital and certain extraordinary items -- to be 40-60 per cent higher.

The company declared a dividend of 38 cents for the year compared to 23 cents in the previous period.

The company said revenue grew by 19 percent to 16 billion rand, largely due to improved trading conditions in domestic and international construction

markets and buoyant steel and allied businesses.

"With buoyant activity levels across all operational areas evident in the two year construction order book of 11.3 billion rand, Aveng is well placed to continue building sustainable value for all stakeholders," the company said.

Aveng also said it was committed to sustainable black economic empowerment (BEE) in the cement industry.

Aveng has urged shareholders to exercise caution in dealing in the firm’s shares after Swiss-based Holcim said it will sell the biggest part of its local operations to black investors. Aveng owns 46 percent of Holcim South Africa.

Published under Cement News