Sasol expects fall in half-year profits
Petrochemical producer says profits could fall 28% to 42% for the six months ended December 31
Petrochemical company Sasol on Friday said it is expecting as much as a 42% decline in half-year profits on the back of a volatile macroeconomic environment, weak oil and petrochemical prices, unstable product demand and inflation pressures.
The company warned shareholders that its headline earnings per share, a profit measure, is expected to be between R17.90 and R22.22 for the six months ended December 31, down from R30.90 posted a year earlier.
The decline would represent a fall in half-year profits of between 28%-42%.
“Despite some operational improvements in South Africa, persistent underperformance of the state-owned enterprises involved in Sasol's value chain and the weaker global growth outlook continue to impact Sasol's business performance,” the company said in a trading statement.
The company will release its results for the period on February 26.
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