Bidcorp reported a resilient financial performance for the year ended June 2026, with revenue rising 5% in constant currency to R242.2 billion and trading profit increasing 8.2% to R13.8 billion.
Bidcorp delivered higher earnings for the year ended June 2026 despite challenging trading conditions, supported by stronger performances in Europe and the United Kingdom and contributions from recent acquisitions.
The South African-based international foodservice group reported revenue of R242.2 billion, representing a 5% increase in constant currency, while trading profit rose 8.2% to R13.8 billion.
Cash generated by operations after working capital increased 17.7% to R18.6 billion, highlighting the group's strong cash generation performance during the year. Bidcorp said 118% of EBITDA was converted into cash, while its EBITDA margin improved to 6.5%.
Headline earnings per share increased 6.8% to 2,701.4 cents, while earnings per share rose 9.4% to 2,663.3 cents. The improvement came despite what the company described as a challenging and uncertain trading environment.
Bidcorp continued to expand through targeted bolt on acquisitions during the financial year. The company completed five acquisitions, including businesses in the United Kingdom, Poland, Italy, Malaysia and South Africa.
The acquisitions included Hodgson & Sailbrand, a seafood wholesaler in northeast England; Baltimer, a fish-processing business in Poland; Gruppo Alimentare Sardo in Sardinia, Italy; Chuan Yee in Kuala Lumpur, Malaysia; and Fridge Foods in South Africa.
Together, the acquisitions contributed R2.7 billion to revenue and R142 million to trading profit, strengthening Bidcorp's presence across several international foodservice markets.
After the financial year ended, Bidcorp also agreed to acquire the Fijian operations and Pacific Islands export business of T&G Global through Bidfood Pacific Islands. Completion of the transaction was expected at the end of August 2026, according to Business Day.
Bidcorp said its businesses in Europe and the United Kingdom delivered strong performances during the year, while growth was weaker in Australasia and some emerging markets. The group operates across multiple regions, making constant-currency results an important measure of its underlying performance.
The company also faced pressure from elevated fuel costs and intense competition as businesses sought to defend volumes in slower-growth markets. Despite these conditions, consumer demand remained generally stable, according to the company's results disclosure.
In its trading update earlier in the year, Bidcorp said conditions remained difficult in several markets, including Greater China and parts of the Middle East, where geopolitical developments affected consumer demand, logistics and supply chains.
Bidcorp declared a final dividend of 625 cents per share, bringing its total dividend distribution for the financial year to 1,240 cents per share, an increase of 6.9% from the previous year.
The final dividend is payable to shareholders registered on the record date of September 25, 2026, subject to the applicable dividend withholding tax.
Bidcorp also used its strong free cash flow and what it considered a weak share price to repurchase 2.6 million shares at an average price of R409.35 per share during the year. The company said the benefits of the buybacks would be reflected in its 2027 financial results.
Going forward, the group said it would remain focused on pricing discipline, margin quality, customer selection, cost control and service excellence as competition remains elevated across several markets.
Bidcorp's latest results show that the group was able to maintain earnings growth and strong cash generation despite difficult economic and geopolitical conditions. Its acquisition strategy also continued to broaden its international footprint while contributing to revenue and profit growth.
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