Altron expects profit boost from restructuring

Johannesburg – Information Technology firm Altron [JSE:AEL] said on Thursday it expects its financial results due out next month to differ by 20%, due to the restructuring of the business.

“There is a reasonable degree of certainty that the financial results for the period to be reported upon next will differ by at least 20% from the financial results for the previous corresponding period,” the company said in a note to clients.

The company said the financial results for the year ended 28 February 2018 had been split between the current and discontinued operations.

“During the financial year the Altron group restructured a number of its core operations to position itself for growth in the ICT sector,” it said.

It stated that the disposal of non-core operations would in future provide stakeholders with an accurate measure of the core sustainable earnings.

For the results to be released on May 10, Powertech group, Altech Multimedia and Altech Autopage would continue to be classified as discontinued operations for reporting purposes.

Altron expects to complete the disposal of the remaining discontinued operations, CBI Telecom Cables and Altech Multimedia in the current financial year.

The companies shares trading 3.21% firmer at R13.20 by 15:50 on the JSE.

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