AECI warns of lower earnings following restructuring

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In case you missed it | AECI warns of lower earnings following restructuring

Chemicals and explosives group AECI says half-year earnings fell by about a fifth partly because of costly restructuring projects.

Headline earnings per share in the six months to end-June declined by between 18% and 22%, the company said on Tuesday. This comes after “strategic realignment projects” in its mining explosives business and its water unit, ImproChem.The explosives unit “reviewed its product and service offering, and the structures that support these, mainly for the South African narrow reef mining market which has been declining over several years”.“ImproChem realigned its go-to-market model to enhance its capabilities and improve service delivery and efficiencies.

In the second half of 2019, “the benefits of these projects will offset the costs incurred in the period”, AECI said.AECI said earnings were also dented by a change in its accounting policies.

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AECI warns of lower earnings following restructuringInterim headline earnings to decline after ‘strategic realignment projects’ in its mining explosives business and water unit, ImproChem
Source: BDliveSA - 🏆 12. / 63 Read more »

AECI warns of lower earnings following restructuringInterim headline earnings to decline after ‘strategic realignment projects’ in its mining explosives business and water unit, ImproChem
Source: BDliveSA - 🏆 12. / 63 Read more »