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Home»Business»Naspers, Africa’s Top Stock, Posts $12.3Bn Profit on Tencent Gains
Business

Naspers, Africa’s Top Stock, Posts $12.3Bn Profit on Tencent Gains

By Harry NjugunaJune 24, 2025No Comments2 Mins Read
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Naspers, Africa’s largest publicly listed company by market capitalization, has posted Profit After Tax (PAT) of US$12.26 billion—surpassing revenue of US$7.18 billion-for the fiscal year ended 31 March 2025.

Revenue rose 11.7% year-over-year to US$7.18 billion but its earnings were also propelled by non-operating gains, especially via Prosus, its internet investment vehicle.
Nasper’s share of profits from equity-accounted investments, mainly its Tencent stake, rose to US$5.7 billion, more than double FY2024.In addition, it booked US$5.4 billion in asset disposal gains, including proceeds from trimming a 1.1% Tencent stake.

These sales helped fund Prosus’ ongoing buyback program, which has repurchased US$25.5 billion in shares since June 2022. Together, these gains made up over 90% of PAT, explaining how profits exceeded revenue. This reflects the unique nature of Naspers’ holding-company model under IFRS.

Operating Businesses Gain Momentum

Operationally, has Naspers made strong strides. It reversed a US$562 million loss in FY2024 to deliver an operating profit of US$124 million in FY2025.

iFood grew revenue by 30% (local currency) and doubled adjusted EBIT to US$226 million, boosted by AI efficiencies.OLX Classifieds reported aEBIT of US$270 million (+61%) with margin expansion to 35%.eMAG reached profitability for the first time.

Overall ecommerce revenue rose 12% (21% LC) to US$7.0 billion, while adjusted EBIT jumped 18-fold to US$430 million, signaling growing scale and profitability.

Strong Cash Position and Shareholder Value Creation

Naspers ended FY2025 with US$7.27 billion in cash, up from US$2.23 billion. Free cash flow totaled US$1.0 billion, supporting continued investment.

It also advanced its buyback strategy. Prosus repurchased over US$25 billion, and Naspers reduced its own share count. NAV per share rose 11%, closing valuation gaps.

Naspers is betting big on AI-led platforms. It acquired Despegar and announced a planned €4.1 billion merger with Just Eat Brazil, boosting its LatAm presence.

In FY2026, the group expects higher adjusted EBIT and further gains from matured assets.

Published Date: 2025-06-24 16:58:52
Author: Harry Njuguna
Source: News Central
Harry Njuguna

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Crystalgate Group is digital transformation consultancy and software development company that provides cutting edge engineering solutions, helping companies and enterprise clients untangle complex issues that always emerge during their digital evolution journey. Contact us on https://crystalgate.co.ke/
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