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Transaction Capital (TCP) investor relations material
Transaction Capital H1 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Executive summary
Completed major restructuring, simplifying group structure and disposing of non-core operations, resulting in reduced overheads and strengthened balance sheet.
Focused on two core businesses: Nutun South Africa (NPL acquisition/collections) and Nutun International (BPO/customer engagement).
Name changed to Nutun Limited on 5 March 2025, reflecting new strategic direction.
H1 FY25 results show restructuring benefits, but full impact will take time to embed; both businesses are well positioned for growth.
Disposed of WeBuyCars, Nutun Australia, Nutun Transact, and Mobalyz, simplifying operations.
Financial highlights
Revenue from continuing operations was R1,480m, down 4% year-over-year; EBITDA fell 16% to R615m.
Core loss from continuing operations improved to R71m from R104m in H1 2024; core EPS up 33% to -9.1c.
Basic EPS from continuing operations fell to -15.6c (H1 FY24: -7.4c); total operations core earnings improved 95% to a loss of R71m (H1 FY24: loss of R1,549m).
Net finance charge improved 77% to R52m (H1 FY24: R230m); net interest cost decreased by 33% to R233m.
Cash and cash equivalents at period end were R118m, down from R1,147m in H1 2024.
Outlook and guidance
Positive outlook for NPL book buying in 2025 as market liquidity improves and interest rates decline.
Nutun International sees growth potential in US market and continued support for South Africa as a global BPO hub.
Strategy focused on leveraging technology, data, and AI to enhance performance and profitability.
Management maintains a positive medium- and long-term outlook, citing enhanced liquidity and a streamlined business model.
No cash dividend declared; dividend suspension continues until restructuring is complete.
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