AVI reports strong profit growth, lifts final dividend

AVI Limited announced a 7.8% increase in operating profit for the year ended 30 June 2025, building on 21.7% prior-year growth, with headline earnings per share rising 6.1% to 729.1 cents. This performance was achieved against a weak demand environment, with group revenue increasing by 1.0% and the gross profit margin improving by 2.4%. The company also reported robust cash generation and a capital expenditure of R601.0 million.

The board declared a final ordinary dividend of 406 cents per share, resulting in a total normal dividend of 626 cents per share, up 6.1%. This dividend, payable to shareholders on 20 October 2025, represents a return on capital employed of 34.9% for the 12 months to June 2025.

Operational highlights included strong innovation driving incremental volume growth in key categories and improved I&J fishing performance, though partially offset by poor abalone demand. The fashion retail portfolio faced supply chain issues in the first semester and the closure of Green Cross retail.