Bidcorp reported a record trading margin of 5.7% in fiscal 2026, alongside a 6.5% rise in trading profit to R13.8 billion on revenue of R242.2 billion, as the Johannesburg-based foodservice distributor extended its cash flow surge and margin expansion.
Free cash flow jumped to R7.0 billion from R1.6 billion the prior year, lifting cumulative post-listing free cash flow to R29.2 billion. Headline earnings per share grew 5.4% to 2,701.4 cents, while dividends increased 6.9% to 1,240.0 cents per share. Total shareholder returns, including buybacks, exceeded R5.2 billion, up from R3.8 billion in FY2025.
Gross profit margin expanded to 24.8% from 24.5% in FY2025, while EBITDA margin rose to 6.5% from 6.2%. The group’s net debt declined to R3.8 billion, lowering the net debt-to-equity ratio to 8.0% and net debt-to-EBITDA to 0.24 times. Return on funds employed improved by 600 basis points to 55.6%, with ROIC reaching 16.8%.
Chief Executive Bernard Berson highlighted disciplined execution and cash generation as key drivers. "We remain focused on our fundamentals—service, discipline, cash generation, culture, and long-term thinking—and avoid being distracted by short-term noise," he stated.
Regionally, Europe delivered the strongest performance, with revenue up 5.5% to R92.9 billion and trading profit surging 14.4% to R5.5 billion. The UK contributed 28.7% of group revenue, growing 3.2% to R69.6 billion, while trading profit rose 8.4% to R2.7 billion. Australasia’s revenue declined 0.4% to R45.4 billion but maintained an industry-leading trading margin of 8.2%. Emerging markets, contributing 14.1% of revenue, saw a 0.6% reported decline to R34.3 billion.
Bidcorp completed five acquisitions for R0.8 billion during the year, targeting bolt-on deals with EV/EBITDA multiples of 6–8x. Capital expenditure is guided at 1.5–2.0% of revenue, with a USPP 1 maturity of €125 million due in March 2027. The group’s available liquidity stood at R26.0 billion, supported by R11.8 billion in cash and equivalents.
The stock traded at 43,674.00 ZAR, up 1.67% on the day, within a 52-week range of 39,512 to 47,182 ZAR.
