Telkom says that it is expecting a large increase in profit for the 2026 financial year, even if accounting rules complicate the picture. <\/p>\n\n\n\n
The group is finalising its results for the period, with it expecting that its data-led strategy will continue
delivering enhanced profitability.<\/p>\n\n\n\n
The group expects its basic earnings per share (BEPS) from continuing operations to increase by 20% to 30% during the financial year, to a range between 679.2 and 735.8 cents per share. <\/p>\n\n\n\n
Its headline earnings per share (HEPS) from continuing operations will rise by 45% to 55%, to a range of 677.9 to 724.6.<\/p>\n\n\n\n
However, when looking at total operations, the group expects its BEPS to decrease by between 52% and 56%, to the 679.2-735.8 cents per share range. <\/p>\n\n\n\n
Headline earnings per share from total operations will nevertheless grow by 24% and 33% to a range of 677.9-724.6 cents per share. <\/p>\n\n\n\n
The group said that earnings growth was primarily driven by a strong underlying operating performance, continued focus on structural cost optimisation, and lower finance charges resulting from reduced debt. <\/p>\n\n\n\n
The prior years’ BEPS and HEPS from continuing operations were also negatively impacted by the once-off after-tax derecognition loss of R451 million for the Telkom Retirement Fund. <\/p>\n\n\n\n
The prior year HEPS excluded the gain on sale of properties of R654 million, which is far higher than the R194 million recorded in the current year. <\/p>\n\n\n\n
Total operations included the gain on disposal of Swiftnet in the prior year, which was disclosed as a
discontinued operation, and the sale was concluded in FY2025.<\/p>\n\n\n\n
The group said that the difference between BEPS and HEPS relates to the exclusion of the net profit on the disposal of property, plant & equipment and intangible assets. <\/p>\n\n\n\n
This was offset by the net write-offs on property, plant & equipment and intangible assets. The group will provide more specific figures on 2 June 2026 when its financial results are released. <\/p>\n\n\n\n
The market responded well to the update, with the Telkom share price rising by 5% in the early hours of trade following the announcement. <\/p>\n\n\n\n Telkom expects a large rise in headline earnings, but accounting rules complicate the picture for basic earnings. <\/p>\n","protected":false},"author":95,"featured_media":856813,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_sma_x_autopost_status":"idle","_sma_x_autopost_error":"","_sma_x_post_id":"","_sma_x_attempts":0,"footnotes":""},"categories":[21],"tags":[65],"class_list":["post-861625","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-telecommunications","tag-telkom"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/861625","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/95"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=861625"}],"version-history":[{"count":3,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/861625\/revisions"}],"predecessor-version":[{"id":861635,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/861625\/revisions\/861635"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/856813"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=861625"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=861625"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=861625"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Operations Category<\/th> Metric<\/th> Results for the year ended 31 March 2025 (cents)<\/th> Estimated range for the year ended 31 March 2026 (cents)<\/th> Estimated Change (%)<\/th><\/tr> Continuing Operations<\/strong><\/td> BEPS<\/strong><\/td> 566.0<\/td> 679.2 \u2013 735.8<\/td> 20% \u2013 30% increase<\/td><\/tr> <\/td> HEPS<\/strong><\/td> 467.5<\/td> 677.9 \u2013 724.6<\/td> 45% \u2013 55% increase<\/td><\/tr> Total Operations<\/strong><\/td> BEPS<\/strong><\/td> 1,528.0<\/td> 679.2 \u2013 735.8<\/td> (56%) \u2013 (52%) decrease<\/td><\/tr> <\/td> HEPS<\/strong><\/td> 544.5<\/td> 677.9 \u2013 724.6<\/td> 24% \u2013 33% increase<\/td><\/tr><\/tbody><\/table><\/div><\/figure>\n\n\n\n
\n\n\n\n
<\/p>\n","protected":false},"excerpt":{"rendered":"