Faritec Holdings says it will make a profit for the year to 30 June, compared with an R11.6 million net loss for the previous year.
The group says in a trading statement that earnings per share should improve to between 4.6c and 5.2c while headline earnings per share are expected to improve to between 1.8c and 2.2c.
Last year the group incurred a headline loss of 8.6c a share.
An operational loss of R13.04 million was attributed to an increased cost base related to the group`s new managed services strategy.
Faritec says the expected improvements this year, which include more cash on hand, is because of improved trading margins and ongoing control of operating expenses.
"The new strategy, transformation and investments made, have started to show the expected returns," it adds.
The results are expected to be released on 15 September.
The Faritec share closed at 42c on the JSE yesterday, down 6c or 12.5% from the previous close.
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