MTN to report profit boost amid favourable foreign exchange rate movements
Africa’s largest mobile operator, MTN, expects profits to double in its year to end-March after benefiting from foreign exchange gains during the period.
Headline earnings per share (Heps) is expected to be at least 100% higher in its six months to end-June than the 195c previously, the group said. Heps is the main profit measure in SA and strips out certain one-off items to give a better indication of the underlying performance of a business.
MTN had reported in its six months to end-June 2019 that its foreign exchange losses had surged by more than three quarters to about R1.06bn, partially due to a weaker rand, which resulted in losses related to its US dollar debt.
It also faced foreign exchange losses related to the redemption of preference shares in Nigeria, which refers to a company repurchasing shares.
Would you like to comment on this article or view other readers' comments? Register (it’s quick and free) or sign in now.
Please read our Comment Policy before commenting.