Fan Milk Ltd. (FML), a maker of ice cream and frozen yogurt in Ghana, rose to the highest in six weeks as investors speculated first-half profit probably increased.
The shares rose 1 percent to 1.98 cedis as of the close in the capital, Accra, the highest since June 4.
“We expect cost cutting to bolster the company’s earnings in the first half while it did not increase the price of its products,” Xorlali Torsu, a stock trader at Databank Financial Services Ltd. in Accra, said by phone today. “Our expectation is profit growth of about 25 percent from a year earlier.”
Fan Milk’s profit after tax increased 25 percent to 6.5 million cedis ($3.3 million) in the three months through March, it said on April 23. Revenue increased to 35.7 million cedis from 25.5 million cedis.
The company’s first-half results will be out by the end of this month, Torsu said.
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