Transpaco reports slight revenue dip, maintains margin despite challenging conditions

Transpaco Limited announced a 2.2% contraction in group revenue to R2,432.4 million for the year ended June 30, 2025. Operating profit also decreased by 2.4% to R207.6 million, though the operating margin remained stable at 8.6%. Headline earnings per share (HEPS) declined by 0.9% to 516.2 cents, partially influenced by share buy-backs.

The company's Plastics division saw a marginal 0.2% increase in revenue, while the Paper division experienced a 4.6% decrease. Transpaco noted that challenging trading conditions and weak consumer sentiment in a stagnant South African economy contributed to the reduction in profit.

The board declared a final gross cash dividend of 160.0 cents per share, bringing the total gross dividend for the year to 235.0 cents per share. The net asset value per share increased to 3,503.0 cents from 3,232.0 cents in the prior year, supported by the group's investment strategy and working capital management.