Naspers (NPN) H2 2026 earnings summary

Executive summary

• Ecosystem revenue reached nearly $10 billion in FY26, up 12% year-over-year, with all three ecosystems profitable at the aEBITDA level and EBITDA of €1.3 billion, up 84% year-over-year.

• Free cash flow improved by €2 billion over two years, now at +€1.5 billion, and free cash flow excluding Tencent dividend hit a record $275M.

• Core headline earnings per share increased 24%, amplified by a significant share buyback program.

• Strong performance was driven by key businesses in LatAm, Europe, and India, with leading growth in food delivery, classifieds, and fintech.

• Expansion and integration of AI and proprietary Large Commerce Model (LCM) are driving operational efficiency and customer experience across all regions.

Financial highlights

• Group consolidated revenue rose from $6.2B in FY25 to nearly $10B in FY26, a 12% increase in local currency excluding M&A.

• EBITDA reached €1.3 billion, an 84% increase year-over-year, and group aEBITDA more than doubled to $1.1B, with margin improving from 8% to 11%.

• Free cash flow from total operations increased to $1.5B, up $493M year-over-year.

• Ecosystem businesses outside food delivery generated $1.5 billion in revenue, growing over 40% year-over-year.

• Ads, fintech, and credit businesses grew 100%+ year-over-year.

Outlook and guidance

• Revenue expected to grow to at least $12–12.3 billion next year, with continued investment in JET and iFood to support long-term growth.

• Profitability is expected to remain flat in FY 2027 due to increased investment, but management remains confident in delivering billions in EBITDA over the medium term.

• Focus remains on organic growth, ecosystem expansion, and replicating the Latin America model in India and Europe.

• Plans to advance AI capabilities, drive cross-platform collaboration, and maintain a healthy balance sheet.

• Ongoing share repurchase program with $5B buyback planned for FY27.