Wrap Text
Group financial results and cash dividend declaration for the year ended June 2025
RCL FOODS LIMITED
(Incorporated in the Republic of South Africa)
ISIN: ZAE000179438
Share Code: RCL
("RCL FOODS" or "the Company" or "the Group")
GROUP FINANCIAL RESULTS AND CASH DIVIDEND DECLARATION FOR THE YEAR
ENDED JUNE 2025
- Revenue from continuing operations* up 1.8% to R26,5 billion
- Earnings before interest, tax, depreciation, amortisation and
impairments (EBITDA)from continuing operations up 11.4% to
R2 562,7 million
- Underlying** EBITDA from continuing operations up 7.9% to
R2 390,6 million
- Headline earnings per share (HEPS) from continuing operations
up 28.5% to 156.3 cents
- Underlying HEPS from continuing operations up 14.4% to 146.1
cents
- Total earnings per share (EPS) down 1.3% to 180.1 cents
- Total HEPS up 10.0% to 156.3 cents
- Total dividend per share declared for the 2025 financial
year: 60.0 cents per share (2024: 35.0 cents)
* Continuing operations relates to the remaining RCL FOODS business, comprising
the Groceries, Baking, Sugar and Group (shared services) segments, post the
Vector Logistics disposal in the 2024 financial year and Rainbow unbundling
effected on 1 July 2024.
**The underlying view of the results excludes material once-offs and accounting
adjustments. Underlying results constitute pro-forma financial information in
terms of the JSE Listings Requirements. Refer to the "Reconciliation between
unadjusted and underlying results" section provided as part of the summary
consolidated financial statements for further details.
RCL FOODS delivered a pleasing performance notwithstanding subdued
market conditions and volume pressure across most categories.
Underlying EBITDA from continuing operations increased by 7.9% to
R2 390,6 million (2024: R2 216,1 million) largely due to a strong
turnaround in Baking and a pleasing Groceries result. Sugar
declined from its high base.
Within Groceries, the Grocery operating unit delivered an improved
result driven by a favourable product mix in pet food with more
focus placed on premium brands, savings resulting from net revenue
management (NRM) and continuous improvement (CI) initiatives,
production efficiencies and reduced load shedding.
A strong turnaround across all operating units was achieved in the
Baking segment largely driven by a combination of NRM and CI
initiatives, operational efficiencies and innovation. The Bread,
Buns and Rolls operating unit delivered a significant improvement
in EBITDA, despite only modest volume growth of 1.3%. Milling
delivered a strong performance due to a more favourable sales mix
and overall improved margins, despite lower volumes. The Pies
operating unit delivered an improvement in EBITDA through delivery
of its volume recovery plan. Speciality delivered a second year of
good performance, with higher volumes and margins achieved by
maintaining the right mix of products through innovation and
promotional levels.
Albeit down on the prior year, Sugar delivered another strong
absolute result aided by a pleasing agricultural and manufacturing
operational performance. The local industry faced pressure in the
second half of the year largely due to reduced consumer demand and
a substantial increase in imports. The Molatek operating unit
delivered another good result, driven by a favourable sales mix and
improved operational efficiencies.
Sugar's result includes accounting for a R91,0 million partial
recovery of the additional levy raised by the South African Sugar
Association in our 2023 financial year. The recovery is excluded
from the underlying view of results.
Our term-debt package, which expired in December 2024, was
successfully refinanced at R1,5 billion.
Discontinued operations results in the current period relates to
the non-cash gain of R198,5 million realised on accounting for the
unbundling of Rainbow, as well as a R7,3 million downward
adjustment to the Vector Logistics profit on disposal, largely
relating to the final settlement of the RCL FOODS share options
granted to Vector Logistics employees whilst still in employment at
RCL FOODS as per terms of the sale agreement.
Cash Dividend Declaration
The Board of directors has approved a gross final cash dividend
(number 99) of 40.0 cents per share (32.0 cents per share net of
dividend withholding tax) for the year ended June 2025.
The dividend has been declared from income reserves.
A dividend withholding tax of 20% will be applicable to all
shareholders who are not exempt.
The issued share capital at the declaration date is 897 217 787
ordinary shares. The company's income tax reference number is
9950019712.
The salient dates for the dividend will be as follows:
Publication of declaration data Monday, 1 September 2025
Last day of trade to receive a dividend Tuesday, 14 October 2025
Shares commence trading "ex" dividend Wednesday, 15 October 2025
Record date Friday, 17 October 2025
Payment date Monday, 20 October 2025
Share certificates may not be dematerialised or rematerialised
between Wednesday, 15 October 2025 and Friday, 17 October 2025,
both days inclusive.
Shareholders are advised that this results announcement represents
a summary of the information contained in the summary consolidated
financial statements and does not contain full or complete details
as published on the RCL FOODS website, www.rclfoods.com/financial-
results-and-reports-2025/.
With respect to the audited consolidated financial statements for
the year ended June 2025, the auditors, Ernst and Young Inc., have
issued an unqualified audit opinion in terms of the International
Standards on Auditing. The auditors unqualified audit opinion in
terms of International Standards on Auditing, along with their key
audit matters and the audited consolidated annual financial
statements are available upon request by contacting the company
secretary at CoSec@rclfoods.com or on +27 31 242 8500.
The summary consolidated financial statements is available for
viewing on the JSE link at
https://senspdf.jse.co.za/documents/2025/JSE/ISSE/RCL/01092025.pdf
or on the Group's website set out above.
Any investment decisions by investors and/or shareholders should
be based on a consideration of the summary consolidated financial
statements as this results announcement does not provide all the
details.
Westville
1 September 2025
Sponsor
RAND MERCHANT BANK (A division of FirstRand Bank Limited)
Date: 01-09-2025 07:05:00
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