DFI Retail Group Holdings (D01) H1 2024 earnings summary

Executive summary

• Underlying profit attributable to shareholders rose to $76 million, up 127% year-over-year, driven by strong Food and Convenience segment performance, improved results from associates, and reduced losses in Yonghui.

• Reported profit attributable to shareholders was $95 million, up from $8 million last year.

• Interim dividend increased 17% to $0.035 per share, reflecting confidence in ongoing profitability.

• Net debt reduced to $549 million as of June 2024, a significant improvement year-over-year.

• E-commerce volume grew nearly 40% year-over-year, with significant improvement in profit contribution.

Financial highlights

• Total revenue including associates and JVs was $12.643 billion, down 6% year-over-year; subsidiaries revenue was $4.4 billion, down 4%.

• Underlying EPS rose to $0.0562 (5.62 US¢), up 128% year-over-year.

• Operating profit for subsidiaries rose 40% to $121 million; group operating profit reached $168.2 million.

• Free cash flow improved to $61 million, up nearly 40% year-over-year.

• Interim dividend per share increased by 17% to $0.035.

Outlook and guidance

• Full-year 2024 underlying profit guidance maintained at $180–220 million.

• CapEx expected between $200–240 million; continued net debt reduction and dividend growth anticipated.

• Second half revenue expected to follow a similar trend as the first half amid ongoing macroeconomic challenges.

• Focus remains on operating efficiency, omnichannel expansion, and monetization of loyalty programs.