PPC (PPC) H2 2026 earnings summary

Executive summary

• Completion of the first two years of the Awaken the Giant turnaround strategy resulted in strong financial and operational performance, with consistent execution and value creation.

• Achieved a step change in performance with quality earnings and structural margin expansion over two years, driven by strategic execution and operational discipline.

• Structural improvements, not market tailwinds, drove the turnaround, focusing on leadership, accountability, and data-driven decision-making.

• Leadership and culture reset, simplification of structure, and realignment of organizational culture contributed to turnaround.

• The business is now positioned for sustainable growth, with a robust platform for future performance and value creation.

Financial highlights

• Group revenue increased by 3.9% to ZAR 10.3 billion year-over-year.

• EBITDA rose 31% in FY 2026 to ZAR 2.1 billion, with margin expanding to 20.3% from 16.1%.

• Trading profit up 50% to ZAR 1,473 million; profit after tax increased to ZAR 859 million from ZAR 466 million.

• Free cash flow from operations (excluding RK3) increased by 24% to ZAR 1,295 million.

• Dividend per share increased by 72% to ZAR 0.302, totaling ZAR 469 million.

Outlook and guidance

• FY 2027 is expected to be a consolidation year, with the RK3 plant coming online and market conditions broadly unchanged.

• RK3 project remains on schedule and within budget, expected to drive the next step change in results in FY 2028.

• Sustainable EBITDA margin guidance set at 17–19%, with a long-term target above 21%.

• ROIC guidance above 12–15%, exceeding WACC.

• Strategic projects, including the RK3 plant and solar project in Zimbabwe, to drive future value.