Telkom expects 20% drop in HEPS - CNBC Africa

Telkom expects 20% drop in HEPS


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Telkom is a telecommunications provider. PHOTO:

The telecommunications provider indicated that its HEPS and its basic earnings per share (BEPS) are expected to be at least 20 per cent lower than that of the prior corresponding period.

“The expected decrease in the results for the 2015 interim reporting period is due to the net curtailment gain of 2.2 billion rand recognised on the post-retirement medical aid liability in the prior corresponding period,” [DATA TKG:Telkom] said.

“Excluding the 2.2 billion rand gain in the six months ended 30 September 2013, BEPS for the 2015 interim reporting period would have been at least 20 per cent higher than the prior corresponding period.”

The South African company attributed the increase to lower payments to other operators resulting from the decrease in mobile termination rates and lower asset write offs.

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“An updated detailed trading statement confirming a more specific range for HEPS and BEPS will be released once the group has reasonable certainty of the result to be reported on,” Telkom added.

The group's interim results are expected to be published on or around 17 November 2014.