DFI Retail Group Holdings (D01) H2 2024 earnings summary

Executive summary

• Underlying profit rose 30% year-on-year to $201 million, driven by strong performance in food, convenience, and Health & Beauty segments, while reported profit was impacted by $445 million in non-cash one-offs and significant one-off items.

• Subsidiaries' sales declined 0.6% versus 2023, excluding divestments and cigarette sales; total revenue, including associates and JVs, was $24.9 billion, down 6% year-on-year.

• E-commerce volume grew robustly, achieving profitability turnaround and double-digit growth in Hong Kong and Singapore.

• Net debt reduced, with a net cash position achieved post-Yonghui divestment.

• Digital business turned profitable, and subsidiaries' revenue was down 3%.

Financial highlights

• Subsidiaries' underlying profit before IFRS 16 was $248 million, up 17% year-on-year.

• Underlying EPS rose 30% to $14.91; total dividend per share up 31% to $0.1050.

• Operating profit reached $343 million, up $49 million year-on-year, with a 3.9% margin (70 bps improvement).

• Free cash flow improved to $222 million; operating cash flow was $331 million; CapEx at $72 million, down $25 million year-on-year.

• Net debt improved by $158 million, moving to net cash after Yonghui sale.

Outlook and guidance

• 2025 organic revenue growth expected at ~2%, with underlying profit guidance of $230–$270 million (25% growth at midpoint).

• CapEx for 2025 projected at $200–$220 million, focused on store openings, IT/digital, sustainability, and supply chain.

• Ordinary dividend payout ratio targeted at ~60%.

• Continued focus on market share gains, cost control, and omni-channel expansion.