Pan African Resources' (PAF) interim results to end-December 2020 were reported in the context of already known production and were well within the range indicated by its JSE paragraph 3.4(b) announcement of 8 February. EPS and HEPS almost doubled in the period to 2.11c/share, albeit this included an (effectively) exceptional loss from the last of PAF's hedge programme, which if excluded would have increased EPS and HEPS to (we estimate) 2.46c/share (see Exhibit 2). Moreover, this result was achieved despite a 21.7 percentage point increase in the effective tax rate as a result of a material deferred tax charge for the first time, which if excluded would have increased normalised HEPS still further, to 2.93c/share. Assuming a similar performance in H221 would imply a normalised P/E ratio for PAF of just 5.7x in FY21, well below the average of its peers (see Exhibit 6).Den vollständigen Artikel lesen ...
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