Cipla Medpro expects profit hike
Johannesburg - Pharmaceutical group Cipla Medpro South Africa [JSE:CMP] advised on Thursday that it expects earnings per share (EPS) and headline earnings per share (HEPS) for the six months ended 30 June 2011 to be between 68% and 75% higher than the EPS and HEPS for the prior corresponding period.
The group said in a trading statement that the case against Pfizer Ltd and Pfizer Laboratories (Pty) Ltd, reported on SENS during October 2010, has been settled in its favour and that this has positively affected the EPS and HEPS calculations but should be viewed as an isolated occurrence.
"The settlement income has been accounted for in our statement of comprehensive income however the terms thereof remain confidential. On a normalised basis, after adjusting for the settlement income received, the full effect of the fair value adjustment on the interest rate swaps, interest rate swap settlements and the forward exchange contract (FEC) gains, normalised EPS and HEPS are expected to increase between 20% and 27%," the group added.
The company's results for the six months ended 30 June 2011 are expected to be published on or about 25 August 2011.