Bidvest Group Ltd reported an 8.4% increase in trading profit to ZAR 13.1 billion for the fiscal year ended March 31, 2026, driven by a 5% organic rise and acquisitions. Continuing headline earnings per share rose 6% to ZAR 11.45, reversing a 3.2% decline in the prior year, while group EPS grew 1.3% amid impairments in Bidvest Bank and associate investments.
Revenue increased 2.9% to ZAR 130.3 billion, supported by 1.5% organic growth and a 1.4% contribution from acquisitions. Operating cash flow after working capital surged 16.9% to ZAR 17.2 billion, with cash generated by operations before working capital up 7.2% to ZAR 17 billion. Free cash flow rose 27% to ZAR 12.5 billion, lifting cash conversion to 109% from 95% a year earlier.
Net debt fell by ZAR 4 billion to reduce leverage to 1.9 times EBITDA, below the prior year’s 2.2 times. The group targets a net debt-to-EBITDA ratio of 1.5 to 1.8 times for FY2027, aiming closer to the lower end. Gross debt decreased by ZAR 3.9 billion, while gross profit rose 5.2% to ZAR 28.3 billion with a 61-basis-point margin improvement to 28.3%. Trading margin expanded to 10% from 9.5%.
The board declared a final dividend of ZAR 4.83 per share, up 6.6% year-on-year, maintaining a 35-year streak of dividend payments and five consecutive years of increases. The dividend yield stands near 3%, with 12-month growth of nearly 12%. The group’s share price closed at $29.34, down 0.24% in regular trading.
Group CEO Mpumi Madisa highlighted cash generation as the standout feature, while CFO Mark Steyn noted that cash metrics exceeded expectations and strengthened financial flexibility. Chair Bonang Mohale cited clear delivery against FY26 commitments.
Bidvest completed the sale of a 13.25% stake in Adcock Ingram for ZAR 1.8 billion, using proceeds to repay part of an old Eurobond while retaining majority control. Disposal processes remain active for Bidvest Bank and Bidvest Life, with the latter awaiting final approval from the South African Reserve Bank. The group also renewed a 25-year bulk liquid terminal lease in Durban and secured a £20 million working capital facility in the U.K.
Capital programs include a ZAR 2.5 billion freight initiative in FY2027, anchored by a second LPG terminal in Richards Bay. The group now sources 10% of its energy from renewable sources and has expanded medical insurance benefits to nearly 14,000 employees via Kyalo Health.
