Spur Corporation (SUR) H1 2025 earnings summary

Executive summary

• Franchised restaurant turnover increased 10% to R5.9 billion, with group revenue up 13.8% and profit before tax up 12.9% year-over-year.

• Earnings per share rose 12.1% to 178.84 cents, and headline earnings per share increased 11.8%.

• Interim dividend declared at 106 cents per share, up 11.6% from the previous period.

• The group expanded to 726 restaurants across 15 countries, opening 21 new stores in South Africa and 12 internationally.

• Doppio Collection acquisition contributed significantly to revenue and profit growth.

Financial highlights

• Gross profit margin improved to 31.8% from 30.2% in the prior period.

• Operating profit before net finance income rose 16.5% to R203.8 million.

• Profit increased 12.4% to R153.5 million; EPS at 178.84 cents, up 12.1%.

• Cash generated from operations reached R179.5 million, up from R100.2 million in the prior year.

• Retail company store sales surged 130.8%, mainly due to the Doppio Collection acquisition.

Outlook and guidance

• Targeting 47 new restaurant openings in fiscal 2025, with 21 already completed.

• Focus on value creation, technology enhancement, supply chain consistency, and new market expansion.

• Continued investment in brand innovation, customer experience, and leadership development.

• Emphasis on ESG strategy and leveraging the Doppio Collection transaction for further growth.

• No immediate improvement in trading conditions is expected, but long-term prospects remain positive.