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Tiger Brands (TBS) investor relations material
Tiger Brands H1 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Executive summary
Achieved 2.6% underlying/core volume growth, reversing years of decline and showing momentum in core categories.
Revenue grew 1.9% to R18.5bn, with operating income up 30% to R1.8bn, driven by portfolio optimization and cost efficiencies.
Portfolio optimization advanced with disposals of Carozzi, Baby Wellbeing, Karate, and progress on Maize and LAF sales.
Net cash position improved to R5.9bn, aided by R4.3bn proceeds from disposals and strong operational cash generation.
Special dividend of R1.8bn (1,216cps) and interim dividend of 415cps declared; share buyback program of R1.2bn initiated.
Financial highlights
Revenue: R18.5bn, up 1.9% year-over-year; like-for-like volume growth of 2.6%.
Operating margin improved to 9.6–9.9%, gross margin to 29.6% (up 110bps), and ROIC at 15.7–20%.
Cash generated from operations increased 347% to R3.4bn; cash conversion ratio at 66%.
Net working capital days reduced to 12.1 from 24.8 year-over-year.
EPS (total operations) up 50.9% to 1,347c; HEPS up 34% to 951c.
Outlook and guidance
Short- to medium-term guidance: underlying volume growth of 1–3%, revenue growth to exceed inflation, and operating margin to exceed single digits.
Focus on cost leadership, logistics optimization, portfolio simplification, and brand rejuvenation.
Super Bakery project and CapEx for mega DCs and technology upgrades to drive further margin expansion.
Strategic intent to maintain disciplined capital allocation, balancing reinvestment, dividends, and selective acquisitions.
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