Pan African Resources sees half-year earnings up over a fifth

29th Jan 2014 08:57

South African gold and platinum miner Pan African Resources forecast that half-year earnings would rise by more than a fifth, boosting its shares.Pan African, which has three main mining schemes and a gold tailings project in South Africa, said it expected earnings per share in the six months to December 31st 2013 to be between 27% and 34% higher than in the same period a year ago.Broker Canaccord Genuity said the forecast implied a 12-19% improvement on its current earnings per share estimate of 0.8p.Canaccord has a buy recommendation on the stock with a target price of 16p.It currently expects Pan African to produce first half 2014 sales of £90m and pre-tax earnings before interest and other items of £29m against first half 2013 sales of £49m and earnings of £19m a year ago.Shares rose 1.79% to 14.25p by 12.10 in London.PW