ZCCM-IH Projects Over 1,000% Surge in EPS Following Mopani Transaction
Diversified mining investments and operations company ZCCM Investments Holdings Plc (ZCCM-IH) expects its earnings per share (EPS) for the year ended December 31, 2024, to rise by approximately 1,077% year-on-year.
This substantial increase is primarily attributed to the successful completion of the Mopani Copper Mines strategic equity partner (SEP) transaction, which transformed Mopani into a financially sustainable entity.
The deal also enabled the settlement of ZK44.72 billion (US$1.71 billion) in debt owed to Glencore/Carlisa.
As part of the transaction, ZCCM-IH recorded a one-time gain of ZK35.92 billion (US$1.41 billion) and reclassified Mopani from a subsidiary to an associate. This reclassification significantly bolstered the group’s earnings.
Consequently, ZCCM-IH reported a profit of ZK39.85 billion (US$1.52 billion) for the year under review, a sharp turnaround from the ZK4.08 billion (US$198.58 million) loss reported in the previous year.
The company is expected to publish its provisional audited abridged financial results for 2024 on June 20.
