Remgro H1 earnings surge on operational performance improvements

Remgro Limited (JSE:REM) reported a significant increase in headline earnings for the six months ended December 31, 2024, driven by improved operational performance across its portfolio companies. Headline earnings per share rose by 38.6% to 672 cents. The company declared an interim dividend of 96 cents per share, up 20% from the previous year. Remgro's intrinsic net asset value per share increased to R276.89. Key contributors to the earnings growth included Rainbow Chicken, RCL Foods, OUTsurance, and Mediclinic. Lower finance costs, due to preference share redemption, also bolstered results. Despite global macroeconomic uncertainties, Remgro benefits from local signs of moderation, fuelled by improved investor confidence, political traction and positive trends in key economic indicators. Remgro's shares traded at a 44.0% discount to intrinsic net asset value at the end of the period.