News Column

Sanlam's earnings up between 35% and 40%

February 11, 2014

Sanlam says its diluted headline earnings per share for the year to December are expected to be between 35% and 40% higher than the previous year.

Its diluted earnings per share are expected to be up by between 40% and 45%. Sanlam said the expected increase in earnings per share is in part due to exceptional items.

These include the discontinuance of a charge in group earnings for secondary tax on companies following its recent replacement with a dividend withholding tax‚ the impact of the relative change in the Sanlam share price in the current and corresponding reporting periods on the IFRS related transfers between policyholder and shareholder funds‚ as well as certain one-off positive investment revaluations of some R200m during the period.

It said the underlying investment return achieved on shareholder funds reflects the market performance for the period.

Normalised HEPS‚ which exclude fund transfers‚ are expected to increase by between 33% and 38%.

Net operating profit includes first time contributions from the group's investment in Malaysia as well as increased holdings in the Shriram Group in India and Capricorn Investment Holdings in Namibia and is expected to be between 30% and 35% higher than the corresponding period in 2012.

Sanlam's results are due to be released in March.

All rights reserved.

For more stories on investments and markets, please see HispanicBusiness' Finance Channel

Source: Bizcommunity (South Africa)

Story Tools