Bidvest stock reports 8 percent trading profit growth

Bidvest stock is supported by FY2026 trading profit of ZAR 13.1 billion, an 8.40 percent increase from the prior year. Results dated August 31, 2026, also showed stronger cash generation and a final dividend of ZAR 4.83 per share.

Cash generation accelerates

According to Listcorp on August 31, 2026, revenue for the year ended June 30, 2026, reached ZAR 130.3 billion, up 2.90 percent. Cash generated from operations increased 16.90 percent to ZAR 17.2 billion, while free cash flow climbed 26.90 percent to ZAR 12.5 billion.

The cash result matters because Bidvest reported a net debt to EBITDA ratio of 1.9 times, down from 2.2 times in FY2025. That combination gives management more room to fund selected projects while continuing to reduce leverage.

Margins and divisions improve

The trading profit margin expanded to 10.00 percent from 9.50 percent, a 50-basis-point improvement. Continuing operations headline earnings per share rose 6.00 percent to 1,864.20 cents, according to Moneyweb on August 31, 2026.

The performance was broad. Commercial Products delivered revenue growth of 8.20 percent and trading profit growth of 27.20 percent, while Freight increased trading profit 10.30 percent. The figures suggest that margin expansion, rather than revenue growth alone, was the main earnings lever in FY2026.

Capital allocation sets the next test

Bidvest approved ZAR 2.5 billion of growth capital expenditure for Freight, including a second LPG terminal at Richards Bay and expanded bulk capacity at Durban. The company also said capital allocation would remain conservative and that no material merger and acquisition activity was planned in the near term.

The group declared a final dividend of ZAR 4.83 per share, with payment scheduled for September 28, 2026. Bidvest's FY2026 results therefore combine higher earnings, stronger cash conversion and a defined infrastructure spending program.