Esorfranki tumbles 13% after flagging sharp decline in profit

Esorfranki tumbles more than 13%‚ to its worst level since May 8‚ after flagging a sharp decline in interim profit in a trading update. File Photo: Esorfranki CEO Bernie Krone

Esorfranki tumbles more than 13%‚ to its worst level since May 8‚ after flagging a sharp decline in interim profit in a trading update.

JSE Listed civil engineering and construction group Esorfranki (ESR) tumbled more than 13% on Wednesday‚ to its worst level since May 8‚ after flagging a sharp decline in interim profit in a trading update on Wednesday.

The company said basic earnings per share for the six months ended August 2013 were expected to be between 94% and 96% lower compared with the previous corresponding period. Headline earnings per share (HEPS) were expected to show a decline of approximately 99% from the same period a year ago.

Despite forecasting lower profit‚ Esorfranki said its work on hand and future pipeline remained healthy‚ with a secured outstanding order book in excess of R2.2bn and imminent pending awards estimated at R1bn.

The company is expected to deliver its results on November 29.

At 3pm‚ the stock was down 9.35%‚ valuing the company at R497m. It had fallen as far as 13% shortly before that.