Mr Price Group (MRP) H2 2025 earnings summary

Executive summary

• Revenue grew 7.9% to ZAR 40.9 billion for the 52 weeks ending March 29, 2025, with strong H2 momentum and double-digit earnings growth.

• EBITDA rose 8.2% to ZAR 8.9 billion and operating profit increased 8.9% to ZAR 5.8 billion.

• Market share gains continued for the second consecutive year, with all divisions gaining share in April 2025 and positive sales momentum post year-end.

• Opened 184 new stores, ending the year with 3,030 stores and zero long-term debt.

• Cash balance reached ZAR 4.1 billion, up 48% year-over-year, with strong cash generation.

Financial highlights

• H2 revenue up 10%, EBITDA up 9.8%, operating profit up 11.7%, and diluted HEPS up 12.1%.

• Diluted HEPS grew 10.1% to 1,379.3c, and dividend per share increased 10.7% to 897.1c.

• Gross profit increased 9.9% to ZAR 16 billion, with group GP margin up 80 bps to 40.5%.

• Operating margin expanded by 20 bps to 14.2%, with H2 margin at 16.3%.

• Profit after tax rose 10.7% to ZAR 3.7 billion; profit attributable to equity holders up 11.2%.

Outlook and guidance

• Positive start to FY2026 with April and May sales up 11.3% and 12% respectively.

• Expecting 3%-4% space growth and around 200 new stores in the coming year.

• Capex of ZAR 1.6 billion planned for FY2026, with focus on new stores and technology.

• Focus remains on profitable market share, disciplined capital allocation, and maintaining top quartile returns.

• Medium-term cost target set at 27.5%-28.5% of sales, with ongoing investments in technology and supply chain.