Listed fixed-line operator Telkom is expected to report a more than 60% drop in earnings for the year to end March, driven by expected Covid-19-related losses and the costs of its restructuring programme.
The fixed-line operator said these reductions are mainly due to one-off costs of about R1.2bn relating to its restructuring programme. Telkom has additionally impaired some of its trade receivables and contract assets due to Covid-19, to the tune of R626m. Without the effects of the retrenchment costs, Telkom said HEPS would be expected to decrease by 30% to 35%, and BEPS to decrease by 35% to 40%
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