The share price of media and entertainment group Primedia surged by 7,27% on Tuesday following its trading update in which the company said it expects interim headline earnings per share and earnings per share to be between 30% and 50% higher than the previous comparable period.
At 2.40pm, Primedia shares were trading at R11,80 per share, or 80 cents higher than Monday’s close of R11.
Primedia last touched the R11,80 per share mark on January 26.
A market analyst said the group’s trading update is in line with market expectations and highlights the fact that the sector is in good shape. These factors, he said, helped push the share price.
“It also shows that the restructuring process is paying dividends and this explains the good growth patterns. [Radio station] KFM results look like they will substantially boost the group’s figures,” he added.
In its trading update on Monday in the late afternoon, Primedia also said it expects to release its “very satisfactory” interim results on March 1.
Primedia is home to a host of entities, including football club Kaizer Chiefs, 702 Talk Radio, Iafrica.com, Primedia Publishing, Ster-Kinekor and ComutaNet. — I-Net Bridge