Rhodes Food Group up 3% as company signals increase in earnings
Rhodes Food Group on Friday proved to be one of the bright spots on an otherwise depressed JSE - rising over 3% after it signaled that it expected to see a more than double rise in its full-year earnings.
In the year ended September 2015, Rhodes said headline earnings per share (HEPS) would grow by between 108% and 113% from the HEPS of 36.9c reported in the year-earlier period.
The Cape Town-based food company's product offering includes jams and vegetables, Magpie pies and the Portobello cheese brand. Rhodes also has an exclusive agreement with Woolworths to supply ready-made meals and pies.
Earlier this month, the group announced it would buy business assets of food manufacturer Alibaba for R42m.
The deal, the sixth acquisition Rhodes has made since listing on the JSE last year, would be effective on February 1, the company said.
At 12.43pm, the share was up 3.21% to R22.50, valuing the company at about R4.9bn.
Source: BDpro