Remgro increases asset value per share by 10.3%, more shareholder value unlocked

REMGRO lifted intrinsic net asset value per share by 10.3% for the six months to December 31, and its management says further work will be done to unlock shareholder value.

- EDWARD WEST

The investment group, chaired by well-known South African businessman Johann Rupert, includes among its major interests, stakes in Mediclinic International, RCL Foods, FirstRand, Discovery, and Momentum Metropolitan. The interim dividend was raised by 20% to 96 cents.

In the six months, intrinsic net asset value per share increased by 10.3% to R276.89 since June 30, 2024.

Remgro’s share price gained 3.53% Tuesday morning on the JSE to R159.78, which brought the annual gain in the price to 34%. Despite this, the price still represents about a 42% discount to intrinsic net asset value.

“Much work still needs to be done to further unlock and optimise the performance of the portfolio” Rupert said in the results announcement.

Headline earnings increased by 38.7% in the six months to R3.73 billion, while headline earnings per share (HEPS) increased by 38.6% to 672 cents, with the increase due mainly to much improved operational performances from the majority of the investee companies.