Nutun (NTU) H1 2026 earnings summary

Executive summary

• Revenue and other income rose 9% year-over-year to R1,610m for H1 2026, driven by growth in South Africa's PBD & RTC segment and stable BPO performance internationally, with a focus on profitability and sustainable high-quality growth.

• Core earnings from continuing operations improved 11% year-over-year to a loss of R63m, with core EPS at (8.1) cents, narrowing the loss from H1 2025.

• Basic EPS from continuing operations improved 48% year-over-year to (8.1) cents; headline loss per share from total operations was (8.1) cents, improved from (17.2) cents.

• Continued investment in AI and automation to drive efficiency and cost reduction across both segments.

• Board changes include new Executive Chairman and joint CEOs appointed in January 2026.

Financial highlights

• Net income from purchased book debts increased 30% year-over-year to R69m.

• Operating loss narrowed by 53% year-over-year to R79m.

• Total assets decreased to R6,444m from R6,661m year-over-year.

• Net asset value per share declined to 1.70 from 1.98 year-over-year.

• Core EBITDA rose 28% to R790m; Nutun South Africa EBITDA up 36%, Nutun International down 15%.

Outlook and guidance

• Positive outlook for book buying in South Africa with healthy returns and enhanced collection methodologies, supported by ongoing portfolio acquisitions and AI-driven efficiency.

• Nutun International faces margin pressure from currency strength and competitive BPO market; focus remains on service diversification and AI integration.

• No cash dividend declared; dividend suspension continues.

• Potential headwinds include AI-driven softening in inbound contact center demand and currency pressures.