Rupert's Remgro expects large drop in earnings due to impact of Covid-19

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Johann Rupert.
Johann Rupert.

Johann Rupert's investment holding company Remgro has flagged an expected drop in headline earnings per share (HEPS) from continuing operations of between 65% and 75% due to the impact of Covid-19. 

In a guidance note on Tuesday, the group said it expects HEPS from continuing operations of between 245.4 and 343.5 cents per share for the year ended 30 June. 

The group's investment in RMH has been treated as a discontinued operation. When the RMH stake is included in the results, HEPS increase to between 507.1 and 652.0 cents per share, still down between 55% and 65% year-on-year. 

"The decrease in headline earnings from continuing operations is mainly due to the negative impact that the Covid-19 pandemic and the resultant lockdown measures had on the earnings of most of Remgro’s underlying investee companies," the group said.

It will release its year-end results at the end of September.  

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