Prosus Core Earnings Surge 84% on Broad Profitability Across Global Platforms
Prosus reported a significant 84% jump in adjusted core profit to $1.3 billion for the fiscal year, driven by profitability across all its consumer platforms globally and a 57% revenue increase to $9.7 billion.
Tumisang Bogwasi
Tumisang Bogwasi
AMSTERDAM, Netherlands – Prosus NV, a global consumer internet group, announced an 84% surge in its full-year adjusted core profit, reaching $1.3 billion, a testament to broad-based profitability across its diverse global platforms. The company also reported a substantial 57% increase in revenue, which totaled $9.7 billion for the fiscal year ended June 30.
This marks a significant milestone for Prosus, as its consumer platforms achieved profitability in every region for the first time. This widespread success underpins the company’s strategic focus on operational efficiency and market penetration. The strong financial results have prompted Prosus to propose a 40% increase in its full-year dividend to 28 euro cents per share, signaling confidence in its ongoing performance and commitment to shareholder returns.
Highlights
- Prosus reported an 84% rise in full-year adjusted core profit.
- Revenue climbed 57% to $9.7 billion, reaching profitability globally.
- Dividend per share increased 40% to 28 euro cents.
- Food delivery platforms Just Eat Takeaway and iFood showed strong performance.
Key Segment Performance
The company’s European food delivery arm, Just Eat Takeaway.com, was a significant contributor, generating $1.9 billion in revenue and $83 million in adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA). In Latin America, Prosus’s food delivery platform, iFood, demonstrated robust growth, with its adjusted EBITDA soaring 178% to $400 million. The European online marketplace OLX also showcased impressive gains, reporting a 61% increase in adjusted EBITDA, which reached $481 million.
While specific profit breakdowns for Asian investments, such as its substantial stake in Tencent Holdings Ltd., were not detailed in the earnings release, the overall performance indicates a positive trajectory for Prosus’s diverse portfolio. The company’s strategy appears to be yielding results, with profitability expanding beyond its core markets into new growth areas.
Regional Implications
The broad profitability achieved by Prosus across its consumer platforms suggests a strengthening economic environment in key markets across Europe, Latin America, and potentially Asia-Pacific, though specific data for the latter remains undisclosed. The company’s ability to achieve profitability in all regions highlights a successful strategy in adapting to diverse market conditions and consumer demands.
This diversified success could translate into increased investment flows into these regions, potentially boosting local economies and supporting further digital transformation initiatives. The sustained growth in food delivery and online marketplaces points to a robust e-commerce landscape in these areas, which may attract further capital from technology investors seeking exposure to emerging markets.
