Blu Label Unlimited Group (BLU) H2 2025 earnings summary

Executive summary

• Completed a major transformation, rebranding as Blu Label Unlimited and shifting to an integrated digital platform model focused on scalability, clarity, and unlocking new revenue streams.

• Strategic reset clarified offerings, unified the brand, and positioned the group for accelerated growth and value creation.

• Structure reorganized into seven solution buckets, each contributing to a connected ecosystem, with flexibility to consolidate, sell, or IPO assets like Cell C.

• Cell C achieved a successful turnaround, returning to net profit, stabilizing operations, and preparing for a potential IPO.

Financial highlights

• Group revenue grew to ZAR 14.1 billion, with gross profit up 2% to ZAR 3.4 billion and gross profit margin rising to 24.02%.

• EBITDA increased 31% to ZAR 1.6 billion; EBITDA margin expanded to 11.42%.

• Core headline earnings per share surged to 461.63 cents.

• Net profit after tax reached ZAR 2.48 billion, with headline earnings of ZAR 4.10 billion.

• Including gross amounts from PINless top-ups, prepaid electricity, ticketing, and vouchers, effective revenue rose 7% to ZAR 96 billion.

Outlook and guidance

• Focus on accelerating returns, driving revenue and margin growth from core solution buckets, and monetizing investments like Cell C.

• Targeted expansion into renewables, IoT, data, and fintech.

• Strengthening ecosystem engagement and cross-selling to enhance retention and value.

• Cell C expects normalized EBITDA growth of 10–15% for FY 2026, with CapEx guidance of ZAR 650–850 million.

• Intention to resume dividends post Cell C listing and restructuring.