Mustek shares rose yesterday on news that the company is expecting at least a 420% increase in interim headline earnings per share.
The share climbed by 4c to end the day at 999c on the JSE.
This was after Mustek issued a trading update in which it said that headline earnings per share for the six months to 31 December would be between 420% and 440% higher than those of the same period the previous year.
Basic earnings per share are expected to be 490% to 510% higher than those of the year-earlier period.
The results for the six months to December 2003 were badly affected by a strengthening rand coupled with Mustek`s policy of taking out forward cover on US dollar exposure for imports.
The forward cover policy resulted in losses on forward exchange structures amounting to R62.3 million.
Mustek later disposed of the bulk of the contracts, realising a surplus of about R12 million.
The rand also hurt the company in the full year to June 2004. Although unit sales were up 19% compared with the previous year, overall revenue fell by 9.8% from R2.98 billion to R2.68 billion.
The latest interim results are to be published on 1 March.
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