Southern Sun's earnings soar, dividend doubles on strong trading

Southern Sun (JSE:SSUE) reported a strong financial year, with income up 9% to ZAR6.609 billion and Ebitdar increasing 14% to ZAR2.169 billion. Adjusted headline earnings per share (AHEPS) surged by 34% to 75.6 cents. The company's net debt decreased to ZAR266 million, while the board declared a dividend of 25.0 cents per share, doubling the previous year's dividend. The performance was driven by strong trading in the Western Cape and growth in Gauteng. Looking ahead, Southern Sun intends to maintain a dividend payout ratio of approximately 33% of AHEPS and continue share buybacks when appropriate.