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Results for the Year Ended 31 December 2025 and Cash Dividend Declaration
Libstar Holdings Limited
(Incorporated in the Republic of South Africa)
(Registration number 2014/032444/06)
(JSE share code: LBR)
(ISIN: ZAE000250239)
("Libstar" or the "Group")
RESULTS FOR THE YEAR ENDED 31 DECEMBER 2025 AND CASH DIVIDEND DECLARATION
SALIENT FEATURES – continued operations*
Libstar delivered a materially improved set of results for the year ended 31 December 2025, reflecting
continued progress in executing its Simplification, Growth and Sustainability strategy.
Momentum achieved in the first half of the year was sustained through the remainder of the reporting
period, supported by continued operational discipline, portfolio optimisation and improved channel
execution.
Market Context and Response
Retail market conditions remained subdued during the reporting period, characterised by low volume
growth and moderating inflation across key categories, with certain sub-categories experiencing deflation.
In this environment, Libstar:
• Maintained and expanded market share, particularly in Dairy, Wet Condiments, and Dry
Condiments;
• Improved gross profit margins through disciplined raw material procurement, enhanced capacity
utilisation, strategic pricing, and rigorous cost management;
• Sustained innovation, launching new ambient Food Service channel products and extending own-
brand and private label ranges in the Retail and Wholesale channel; and
• Delivered strong cash generation through working capital normalisation, including dairy and bulk
tea inventory optimisation, along disciplined capital allocation.
The Ambient Products category delivered revenue growth of 7.4%, improved gross profit margins of
25.9% (2024: 25.4%) and Normalised EBITDA growth of 3.1%.
The Group's Perishable Products category delivered revenue growth of 9.2%, improved gross profit
margins of 17.5% (2024: 16.8%) and Normalised EBITDA growth of 12.5%.
Libstar's cash conversion ratio improved to 95.0% (2024: 80.1%) and interest cover improved to 7.4x
(2024: 5.4x), resulting in the significant improvement of the Group's leverage ratio.
Against this backdrop, the salient features include:
• Revenue growth of 8.2% (Volumes# 3.2%, Price mix +5.0%)
• Gross profit margin of 22.0% (2024: 21.6%)
• Normalised EBITDA of R1 071 million (2024: R1 005 million)
• Normalised HEPS growth of 21.7% to 70.6 cents (2024: 58.0 cents)
• Gearing ratio of 0.9x Normalised EBITDA (ex-IFRS 16) (2024: 1.5x)
• Adjusted ROIC of 10.9% (2024: 8.6%)
• Cash dividend increased to 28 cents per share (gross) (2024: 15 cents)
RESULTS SUMMARY
The Group uses Normalised EBITDA, Normalised Earnings per Share (EPS) and Normalised Headline
Earnings per Share (HEPS) from continuing operations, which exclude non-recurring, non-trading, and non-
cash items, as the key measures to indicate its true operating performance.
Libstar's full-year results are summarised in the table below:
(R'000) 2025 % change 2024*
Continuing operations
Total revenue 12 329 167 8.2% 11 396 519
Gross profit margin 22.0% +0.4pp 21.6%
Normalised operating profit 726 252 11.0% 654 220
(margin) 5.9% 5.7%
Normalised EBITDA 1 071 324 6.6% 1 004 823
(margin) 8.7% 8.8%
Basic EPS (cents) 13.3 152.8% (25.2)
Basic HEPS (cents) 54.5 22.7% 44,4
Normalised EPS (cents) 29.3 352.6% (11.6)
Normalised HEPS (cents) 70.6 21.7% 58.0
Balance sheet and cash flow indicators
Net interest-bearing debt to Normalised EBITDA
(excl. IFRS 16) 0.9 1.5
Cash generated from operating activities (excl.
net working capital) 1 026 716 4.4% 983 427
Cash generated from operations (incl. net working
capital) 1 025 502 29.1% 794 410
Capital investment in property, plant and
equipment & intangible assets 241 144 24.2% 194 190
Cash conversion ratio 95.0% 80.1%
* The results for Denny Mushrooms are disclosed in the Group's discontinued operations for the year
ended 31 December 2025. The comparative prior period statement of comprehensive income has been
re-presented to provide a like-for-like comparison.
# Volumes adjusted for extraordinary items
OUTLOOK
Libstar expects to continue making steady progress against its Simplification, Growth and Sustainability
strategy, supported by improved operational discipline and a strengthened balance sheet. With net debt
to EBITDA at the lower end of the Group's target range, the Board has resolved to utilise this balance
sheet optionality to enhance stakeholder value creation. Accordingly, the Group will adjust its dividend
policy from a Normalised HEPS cover of between 3.0x and 4.0x to between 2.0x and 3.0x and intends to
implement a general share repurchase programme of up to 5% of shares in issue, subject to prevailing
market conditions.
In parallel, Libstar will continue to allocate capital toward efficiency-enhancing projects within the Dairy,
Wet Condiments and Dry Condiments sub-categories, aimed at improving capacity utilisation, cost
competitiveness and margin resilience. The integration of Dickon Hall Foods into Montagu Foods,
scheduled for completion during Q2, will result in temporary plant downtime and associated transitional
costs. As a consequence, the Group anticipates that earnings performance for the year will be weighted
more heavily toward the second half than in prior periods. The Group, however, remains confident in the
growth and sustainability outcomes from this important capital project.
Notwithstanding ongoing macroeconomic and consumer pressures, the Board remains confident that
continued execution of the strategy, combined with disciplined capital allocation, positions the Group to
deliver sustainable improvements in earnings quality, cash generation and returns over the medium term.
Responsibility statement
This short-form announcement is the responsibility of the directors and is only a summary of the information
in the full announcement. Any investment decision should be based on the full announcement. The
information presented in the Results summary section above includes pro-forma financial information in
terms of the JSE Listings Requirements. The pro forma financial information presented in this
announcement, which is the responsibility of the Group's directors, has been prepared for illustrative
purposes only, and may not fairly present the Group's financial position, changes in equity, cash flows or
results of operations.
The full announcement can be found:
- On the JSE's website:
https://senspdf.jse.co.za/documents/2026/jse/isse/lbre/FY_2025.pdf
- On the Company's website:
https://www.libstar.co.za/wp-content/uploads/2026/03/SENS-Booklet-2025.pdf
A copy of the full announcement is available for inspection and may also be requested at Libstar's registered
office and offices of our sponsor, at no charge, during office hours.
Report of the independent auditors
The consolidated annual financial statements for the year ended 31 December 2025 have been audited
by Ernst & Young Inc., who expressed an unqualified opinion thereon. The auditor's report in terms of
International Standards on Auditing, along with their key audit matters and the Annual Financial
Statements, are available at the following link: https://www.libstar.co.za/wp-
content/uploads/2026/03/Annual-Financial-Statements-2025.pdf
DECLARATION OF CASH DIVIDEND
The Board of Libstar has approved payment of a cash dividend of 28 cents per ordinary share (gross) in
respect of the year ended 31 December 2025 (2024: 15 cents), representing an increase of 86.7% on the
prior year.
In accordance with JSE Listings Requirements, the following additional information is disclosed:
• The dividend has been declared from income reserves.
• The local Dividends Tax rate is 20% (twenty percent).
• The gross local dividend amount is 28 cents per ordinary share for shareholders exempt from the
Dividends Tax.
• The net local dividend amount is 22.4 cents per ordinary share for shareholders liable to pay the
Dividends Tax.
• Libstar has 608 871 625 ordinary shares in issue.
• Libstar's income tax reference number is 9526395174.
The following salient dates will apply to the dividend payment:
• Declaration date Tuesday, 17 March 2026
• Last day to trade cum the dividend Tuesday, 7 April 2026
• Shares commence trading ex the dividend Wednesday, 8 April 2026
• Record date Friday, 10 April 2026
• Payment in respect of the dividend Monday, 13 April 2026
Share certificates may not be dematerialised or re-materialised between Wednesday, 8 April 2026 and
Friday, 10 April 2026, both days inclusive.
CHANGES TO THE BOARD
The following changes were affected to the Board during the reporting period and thereafter:
- Tertius Carstens was appointed as an independent non-executive director with effect from 1 May
2025.
- Wendy Luhabe resigned as Chairman and independent non-executive director with effect from 30
May 2025.
- JP Landman was appointed as Chairman of the Board with effect from 1 June 2025.
- Anneke Andrews was appointed as the lead independent director with effect from 31 July 2025, a
position left vacant when JP Landman was appointed as the Chairman of the Board.
- Ntokozo Makomba resigned as Company Secretary with effect from 30 September 2025.
- CIS Company Secretaries Proprietary Limited was appointed as Company Secretary with effect
from 6 November 2025 to 31 March 2026.
- Zinhle Zondi has been appointed as Company Secretary with effect from 1 April 2026.
UPCOMING CAPITAL MARKETS DAY
Shareholders are reminded that Libstar will host a Capital Markets Day in Cape Town on Tuesday, 31
March 2026, followed by a manufacturing site visit on Wednesday, 1 April 2026, as previously advised on
4 March 2026.
The Capital Markets Day will include presentations by the Group's management team covering Libstar's
strategic priorities, key growth drivers and roadmap for sustainable value creation.
The event will be conducted in a hybrid format, with attendance available either in person in Cape Town
or via live webcast. Online participation requires prior registration at:
https://www.corpcam.com/LibstarCMD2026.
The presentation materials and a recording of the webcast will be made available on the Company's website
on 31 March 2026 at: https://www.libstar.co.za/investors/presentations/.
For further information, please contact investor@libstar.co.za.
By order of the Board
JP Landman CB de Villiers
CHAIRMAN CEO
17 March 2026
Sponsor
The Standard Bank of South Africa Limited
Date: 17-03-2026 08:00:00
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