Page 179 - Profile's Stock Exchange Handbook - 2025 Issue 4

Summary of Audited Results
for the year ended 30 June 2025 and cash dividend declaration
Introduction
he positive momentum seen in the first half of this financial year in the execution against Remgro’s stated Registration number 1968/006415/06
strategic objective of disciplined capital allocation and active partnership to drive performance, was sustained ISIN ZAE000026480
Tin the second half. This is evidenced by continued improvements in earnings contributions across the portfolio, JSE and A2X Share code REM
with more than 80% of Remgro’s portfolio achieving growth in headline earnings in this reporting period.
Remgro is pleased with the progress that has been achieved against its strategic priorities and believes that a more
focused investment thesis is starting to emerge from these results. It has now been five years since Remgro set out on Salient features
a path to simplify, optimise, and focus its portfolio. This strategy has been executed on with determination, and the
results of this execution are starting to reflect in the improved performance seen in this year; with a portfolio that is
more streamlined, has greater scarcity, is robustly capitalised, and better positioned for growth.
Focus will remain on driving returns through disciplined execution from its portfolio of quality assets and continuing the Headline earnings per share
path of sharpening and simplifying the Remgro portfolio as well as in seeking out capital allocation opportunities that
will create sustainable returns for its shareholders. R14.09
Results (up by 38.4%)
For the year under review, headline earnings increased by 38.6% from R5 647 million to R7 827 million, while headline
earnings per share (HEPS) increased by 38.4% from R10.18 to R14.09. The earnings growth momentum experienced
in the first half of the year under review continued during the second half, culminating in the 39% increase in headline Ordinary dividend per share
earnings. The increase in headline earnings can be summarised as follows: 344 cents
• Improved operational performances from the majority of the investee companies, of which the most significant are:
– increased contributions from Mediclinic Group Limited (Mediclinic) (excluding the Mediclinic acquisition costs and an (up by 30.3%)
increase in a redemption liability in the comparative year – refer below) (+R362 million), OUTsurance Group Limited
(+R318 million), Rainbow Chicken Limited (+R324 million) and RCL Foods Limited (RCL Foods) (+R264 million), due to
improved operational performances; Special dividend per share
– Heineken Beverages Holdings Limited (Heineken Beverages) (excluding the Heineken IFRS 3 impact – refer below)
returning to profitability, driven by volume growth and margin recovery (+R406 million); 200 cents
– partly offset by lower contributions from TotalEnergies Marketing South Africa Proprietary Limited (-R359 million),
mainly due to higher negative stock revaluations, and lower dividends from Momentum Group Limited (-R160 million)
following its disposal.
• Lower finance costs due to the redemption of the preference shares (+R403 million). Earnings per share
• For the year under review, the negative impact of significant corporate actions, which were implemented
during previous financial years, amounted to R140 million (2024: R766 million). These include the following: R5.95
– Remgro’s portion of the IFRS 3 amortisation and depreciation charges amounting to R140 million (2024: R257 million)
relating to the additional assets identified when Heineken Beverages obtained control over Distell Group Holdings (up by 165.6%)
Limited (Distell) and Namibia Breweries Limited (the Distell/Heineken transaction) (Heineken IFRS 3 impact);
– Remgro’s portion of an increase in a redemption liability amounting to R344 million in the comparative year,
relating to Mediclinic’s acquisition of Hirslanden La Colline Grangettes SA; and Share certificates may not be dematerialised or
– Remgro’s portion of transaction costs amounting to R165 million in the comparative year, which were incurred in respect rematerialised between Wednesday, 22 October 2025
of the acquisition, through Remgro’s 50% interest in Manta Bidco Limited, which is jointly owned by Remgro and MSC and Friday, 24 October 2025, both days inclusive. The
Mediterranean Shipping Company SA, of the entire issued ordinary share capital of Mediclinic (the Mediclinic acquisition). special dividend is subject to South African Reserve Bank
Total earnings amounted to R3 303 million (2024: R1 241 million). This increase in earnings is mainly due to the increase in approval. Shareholders will be notified accordingly by
the finalisation date.
headline earnings discussed above (R2 180 million), the impairment of Remgro’s investment in Heineken Beverages in the
comparative year (R4 257 million) and Remgro’s portion of the impairment of Heineken Beverages’ goodwill that was created In terms of the Company’s Memorandum of Incorporation,
through the Distell/Heineken transaction in the comparative year (R1 050 million). The increase was partially offset by Remgro’s dividends will only be transferred electronically to the
portion of the impairment of Mediclinic’s assets in Switzerland (R3 436 million), the impairment of Remgro’s investment in bank accounts of shareholders. In the instance where
eMedia Investments Proprietary Limited (R502 million) and Remgro’s portion of the impairment of Capevin Holdings shareholders do not provide the Transfer Secretaries with
Proprietary Limited’s (Capevin) goodwill, as well as the profit realised in the comparative year relating to the disposal of the their banking details, the dividend will not be forfeited but
investment in DC Foods Proprietary Limited, Remgro’s portion of the profit realised by RCL Foods on the disposal of its Vector will be marked as “unclaimed” in the share register until
Logistics business and Remgro’s portion of the profit realised by Capevin on the termination of the Gordon’s Gin agreement. the shareholder provides the Transfer Secretaries with the
The headline earnings growth momentum resulted in strong cash earnings generation at the centre (Remgro head relevant banking details for payout.
office), mainly due to higher dividends received from investee companies, as well as lower finance cost. Directors’ statement
Intrinsic net asset value This short-form announcement is the responsibility of the
Remgro’s intrinsic net asset value per share increased by 16.5% from R251.01 at 30 June 2024 to R292.34 at 30 June 2025. Board of Directors of Remgro.
The closing share price at 30 June 2025 was R158.20 (2024: R136.09), representing a discount of 45.9% (2024: 45.8%) Consolidated Annual Financial Statements
to the intrinsic net asset value. (AFS) and summary consolidated results
Declaration of cash dividend no. 50 The financial information in this short-form
Notice is hereby given that a final gross dividend of 248 cents (2024: 184 cents) per share has been declared out of announcement is a summary only and does not contain
income reserves in respect of both the ordinary shares of no par value and the unlisted B ordinary shares of no par full details of the consolidated annual financial results.
value, for the year ended 30 June 2025. Accordingly, any investment decisions should be
The total gross dividend per share, excluding the special dividend, for the year ended 30 June 2025 therefore amounts to based on information contained in the consolidated
344 cents, compared to 264 cents for the year ended 30 June 2024. AFS and the summary consolidated results, which have
been released on SENS.
Declaration of special dividend
Notice is hereby given that a special dividend of 200 cents per share has been declared out of income reserves in respect of The consolidated AFS and the summary consolidated
results were audited by Ernst & Young Inc., who issued
both the ordinary shares of no par value and the unlisted B ordinary shares of no par value, for the year ended 30 June 2025. unmodified audit opinions thereon. The consolidated
The Board is satisfied that the Company is solvent and liquid, thus confirming that the Company has sufficient capital AFS and the summary consolidated results, which include
and reserves after the payment of the final and special dividend, to support its operations for the foreseeable future. the respective auditor’s reports, are available on the
These dividends will be subject to dividend withholding tax of 20%, resulting in a net dividend of 198.40 cents per share in Company’s website at www.remgro.com.
respect of the ordinary dividend and 160 cents per share in respect of the special dividend, unless the shareholder concerned is Integrated Annual Report
exempt from paying dividend withholding tax or is entitled to a reduced rate in terms of an applicable double-tax agreement. The Integrated Annual Report will be mailed to those
The issued share capital at the declaration date is 529 217 007 ordinary shares and 39 056 987 B ordinary shares. The shareholders who requested to receive a hard copy and
income tax number of the Company is 9500-124-71-5. will be available on the website during October 2025.
Dates of importance Signed on behalf of the Board of Directors.
Finalisation date for the special dividend, by 11h00 Tuesday, 14 October 2025
Last day to trade in order to participate in the final and special dividend Tuesday, 21 October 2025 Johann Rupert Jannie Durand
Shares trade ex the final and special dividend Wednesday, 22 October 2025 Chairman Chief Executive Officer
Record date Friday, 24 October 2025 Stellenbosch
Payment date Monday, 27 October 2025 Approved by the Board: 22 September 2025
SENS release date: 23 September 2025
Directorate Corporate information
Non-executive directors Secretary Transfer Secretaries
Johann Rupert (Chairman), S E N De Bruyn* (Deputy L J Joubert Computershare Investor Services Proprietary Limited,
Chairman), J Malherbe, P J Moleketi*, M Morobe*, Listings Rosebank Towers, 15 Biermann Avenue, Rosebank 2196
P J Neethling, G G Nieuwoudt*, K S Rantloane*, A E Rupert Primary listing – JSE Limited (Private Bag X9000, Saxonwold 2132)
(* Independent) Sector: Financials – Financial Services – Investment Banking Auditors
Messrs F Robertson and N P Mageza retired as independent and Brokerage Services – Diversified Financial Services Ernst & Young Inc.
non-executive directors with effect from 30 June 2025. Secondary listing – A2X Cape Town, South Africa
Executive directors Business address and registered office Sponsor
J J Durand (Chief Executive Officer), M Lubbe, N J Williams, Millennia Park, 16 Stellentia Avenue, Stellenbosch 7600 Rand Merchant Bank (A division of FirstRand Bank Limited)
C P F Vosloo (Alternate to J J Durand) (PO Box 456, Stellenbosch 7599)
For more information
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www remgro com
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