Naspers forecasts earnings rise

2011-06-14 16:44

Johannesburg - Internet and media firm Naspers [JSE:NPN] said on Tuesday it expects full-year earnings to climb by as much as 20%, disappointing investors who had been betting on stronger growth.

Naspers, an emerging markets-focused company that has stakes in leading Chinese and Russian internet firms, said in a statement it expects to report a 10% to 20% increase in core headline earnings per share for the year to end-March.

The company considers core headline EPS, which excludes certain one-time items, to be the best indicator of its operating profit. Core headline EPS totalled 1 426 cents in the previous year.

Shares of the company dropped sharply, indicating investors had likely hoped for stronger growth this year. Shares were down 3.2%  at R374.75 in Tuesday afternoon trade.

Naspers has avoided the media industry's sharp decline by focusing on technology and emerging markets. It holds 30% in Tencent Holdings, China's biggest internet firm, and a stake in Russia’s

* Fin24 is a Naspers publication.