Sasol Projects Fiscal Year Headline EPS To Decline By 10%-30% - Quick Facts

(RTTNews) - Sasol Limited (SSL) reported that its headline earnings per share for the financial year ending 30 June 2016 are expected to decrease by between 10% and 30% compared to R49.76, prior financial year. Earnings per share for the same period are expected to decrease by between 53% and 73% from R48.71, last year. The company said the volatile macroeconomic environment, in particular lower crude oil prices, has had a significant impact on earnings. EPS was further impacted by the impairment of its share in the Montney shale gas asset recognised in December 2015. Due to a further decline of natural gas prices in North America, the company will recognise an additional impairment. The impairment contributed to a 39% decrease of EPS.

Sasol expects production volumes and cost reductions to be better than its prior guidance. The company said the current volatile market conditions may further impact its results.