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Truworths International Limited (TRU) investor relations material
Truworths International Limited H2 2025 earnings summary
Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.Executive summary
Group experienced a challenging year with sales under pressure in South Africa due to tough macroeconomic conditions, while Office UK delivered double-digit growth in sales, EBITDA, and profit before tax.
Conservative credit and real estate strategies in South Africa limited sales growth but improved credit book health.
New Cape Town distribution center faced initial issues but is now operational and expected to be fully functional by end of Q3 2025.
Group remained highly cash generative, meeting or exceeding all medium-term financial targets and maintaining a robust balance sheet.
Financial highlights
Group sales rose 3.2% year-over-year to R21.3bn; profit declined 1%; gross margin at 51.3%.
Headline earnings decreased to R2.82bn; diluted HEPS fell 7% to 743.4 cents.
Net cash position of R720 million in June 2025, reversing prior year net debt.
Cash generated from operations increased to R4.84bn; R1.9 billion paid in dividends.
Office UK sales up 10% to £318.6m, EBITDA up 11%, profit before tax up 12%.
Outlook and guidance
Management expresses cautious optimism for improved performance, contingent on macroeconomic recovery and credit market stability.
Group retail sales for first seven weeks of FY2026 decreased by 0.1% year-over-year; Truworths Africa sales down 3.1%, Office UK up 3.4% in local currency.
Trading space projected to grow 3% in FY2026; capex of R548m committed.
Board considering share buybacks due to strong cash position and weak share price.
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