Hulamin expects lower earnings amid operational challenges

Hulamin has issued a trading statement indicating that its financial results for 2024 will be significantly lower than the previous year. The company expects EPS to fall between 5% and 14% from the 88 cents recorded in 2023, and HEPS to drop between 24% and 32% from 88 cents. Normalised HEPS is anticipated to decline between 43% and 48% from 77 cents. While market conditions improved, operational challenges, including a fire at the can end finishing line, limited the company's ability to capitalize on increased demand. The drop in HEPS and EPS was also influenced by a R48.7 million net gain from asset replacement insurance proceeds related to the fire and a R17.5 million bargain purchase gain from acquiring the remaining interest in Isizinda Aluminium. The company's audited financial statements will be released on March 17, 2025.