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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.
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H1 2025 earnings summary28 May, 2025

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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Frequently asked questions

Tiger Brands Limited is a manufacturer and distributor of fast-moving consumer goods (FMCG) primarily based in South Africa. The company boasts a diverse product portfolio that includes baby care products, beverages, snacks and treats, personal care products, grains, groceries, canned fruits and vegetables, sports drinks, ready-to-drink beverages, baby nutrition, chocolates, health bars, home care, and out-of-home products. The company is headquartered in Sandton, South Africa, and its shares are listed on the Johannesburg Stock Exchange.

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