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The Foschini Group (TFG) investor relations material
The Foschini Group H1 2026 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Group revenue increased 12.2% to R31.4 billion for the half-year ended 30 September 2025, mainly driven by the White Stuff acquisition and growth in Africa.
Operating profit declined by 9.9% due to margin pressure, negative operating leverage, and weak trading in South Africa.
HEPS dropped 21.3% to 292.6 cents, and basic EPS fell 21% to 290.8 cents.
Interim dividend reduced by 18.8% to 130c per share.
R1bn share buyback completed; net debt increased due to acquisition, buyback, and higher inventory.
Financial highlights
Gross profit rose 12.3% to R14.4bn, with gross margin stable at 49.3% (down 20 bps year-over-year).
EBIT margin dropped to 7.9% (from 9.8%); profit before tax down 23%.
Net debt/EBITDA increased to 1.55x (from 1.18x); ROCE at 13.4% (vs 14.1%).
Net profit for the period: R944 million (down from R1,198 million year-over-year).
Inventory provision as % of gross inventory: 7.8% (improved from 10.0% year-over-year).
Outlook and guidance
Macroeconomic headwinds persist across all regions, with inflation, weak GDP growth, and subdued consumer confidence.
H2 is critical for full-year results; focus on cost control, trading space optimisation, and inventory management.
No expectation of further interest rate cuts in Australia; U.K. and South Africa remain uncertain.
Full-year guidance remains challenging; capital allocation to be reviewed post-peak.
Leveraging digital channels and operational resilience are key focus areas.
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