Tiger Brands has announced its unaudited results for the six months ended 31 March 2026, delivering a robust performance characterised by strong volume growth and improved operating margins.
The company reported a 1.3% increase in revenue to R17.9 billion, supported by 4.5% volume growth. A standout achievement for the period is the 26.1% growth in group operating income to R2.1 billion, which reflects the company's diligent execution of strategic and operational levers.
Profitability and shareholder returns
Profitability metrics highlight the success of these initiatives as the return on equity reached 24.9% during this period. While headline earnings per share (HEPS) from total operations decreased by 6.5% to 1 001 cents per share, continuing operations saw an increase in HEPS of 6.5% to 1 001 cents per share.
This discrepancy is largely attributed to the impact of prior year disposals. In line with its capital allocation framework, Tiger Brands has declared an interim ordinary dividend of 430 cents per share, maintaining a firm commitment to delivering strong returns to shareholders.
Strategic portfolio optimisation and corporate governance
The group's strategic efforts have focused on optimising its portfolio to sharpen its market focus. Key developments include the successful completion of the Randfontein operations disposal and the strategic decision to classify the Beacon chocolate business as held for sale in the H1 2026 financial statements.
Furthermore, the company continues to advance its exit from the Chococam business, with regulatory approvals currently in progress. Regarding the ongoing Listeriosis Class Action, the company remains dedicated to managing the process in a disciplined manner, cooperating fully with all stakeholders to ensure a fair and equitable resolution.
Outlook for the second half
Looking ahead to the remainder of the year, Tiger Brands remains focused on maintaining performance despite a challenging macroeconomic environment. Management's strategic prioritises for H2 2026 include finalising the divestment of its chocolate operations, optimising the supply chain, and continuing the turnaround strategy for the King Foods division.
The company is also prioritising cost leadership and the implementation of further operational efficiencies to support sustainable growth. With a solid balance sheet and a clear strategic roadmap, Tiger Brands is well-positioned to navigate future challenges and continue delivering value.