Premier Group (PMR) H2 2025 earnings summary

Executive summary

• Achieved strong earnings growth driven by operational efficiencies and investment in state-of-the-art facilities, with revenue up 7% year-over-year to R19.9bn and net profit up 31% to R1.2bn.

• Maintained robust free cash flow and continued deleveraging, with a group leverage ratio reduced to 0.7x and voluntary debt repayments of R340m.

• Announced a cash dividend of 271cps, reflecting confidence in ongoing cash generation and alignment with stated policy.

Financial highlights

• EBITDA increased 15% year-over-year to R2.4bn, with EBITDA margin improving to 11.8%.

• Operating profit rose 17% to R1.9bn, with margin up to 9.6%.

• Headline earnings per share grew 27% to 943cps; return on invested capital reached 24.9%.

• Cash generated from operations was R2.4bn, and free cash flow conversion remained high at 73%.

Outlook and guidance

• Moderate revenue growth anticipated for FY2026, with mid-single digit volume growth in Millbake expected due to lower maize and wheat prices.

• Commissioning of the Aeroton mega-bakery and HPC factory scheduled for FY2026, expected to drive efficiencies and scale.

• Continued focus on M&A to broaden the consumer packaged goods footprint.