Earnings release
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AVI LIMITED Registration number 1944/017201/06 Share code: AVI ISIN: ZAE000049433 (“AVI” or “the Group”) TRADING STATEMENT AND UPDATE FOR THE SIX MONTHS ENDED 31 DECEMBER 2025 Segmental revenue for the six months ended 31 December 2025 2025 2024 % Rm Rm Change Food & Beverage 7 297,1 6 884,6 6,0 Entyce Beverages 2 734,9 2 616,5 4,5 Snackworks 3 251,1 3 069,9 5,9 I&J 1 311,1 1 198,2 9,4 Fashion brands 1 586,1 1 586,3 (0,0) Personal Care 470,0 506,6 (7,2) Footwear & Apparel 1 116,1 1 079,7 3,4 Group 8 883,2 8 470,9 4,9 The trading environment in the semester remained challenging. Group revenue growth of 4,9% was supported by the combination of volume growth in several categories and higher selling prices to off-set inflationary cost pressures. Revenue growth in Entyce was achieved across all categories. Tea demand was sound with sales volume growth achieved across both the Freshpak and Five Roses brands. Creamer demand was sound albeit with price deflation to combat aggressive competit ion. Coffee commodity costs increased necessitating higher selling prices which constrained sales volumes. Snackworks revenue growth was supported by innovation and good demand for Bakers Choice Assorted through the festive season . Overall Biscuit sales volumes for the semester improved over the prior year. I&J’s revenue grew 9,4% with improved fishing revenues driven by selling price increases and higher domestic and export fish sales volumes. Catch rates improved, which together with increased capacity from the freezer vessel commissioned in February 2025, supported hake volumes. Abalone sales remained challenging with the category continuing to experience over-supply, weak selling prices and poor demand in key Asian markets. Indigo continues to be challenged by falling category demand in the core deodorant body spray category and the concomitant competitive disruption. A number of innovations were launched towards the end of the semester with good initial demand that will aid in off-setting the decline in the body spray category over time. SPITZ had a strong December with good demand for the core footwear brands and the non-repeat of last year’s supply challenges supported an improvement in footwear sales volumes. Notwithstanding benefits from product innovation,
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retail competition remained intense constraining sales in our apparel brands. The Group’s consolidated gross profit margin improved over the prior year supported by I&J’s profitability and the ongoing management of margins across the business. Selling and administrative costs were tightly managed, and with the benefits from the restructuring initiatives implemented in the prior year costs were contained to the same level. This, together with the improved gross profit, supported a n improvement in the Group’s operating profit margin and operating profit. Net finance costs were largely in line with last year with the impact of lower interest rates offset by increased average borrowing levels . The effective tax rate is largely in line with the corporate tax rate of 27%. CAPITAL GAINS There were no material capital items with gains decreasing on a prior year which included profits on the disposal of the assets and business conducted by I&J’s Umsobomvu joint venture. CONSOLIDATED HEADLINE AND ATTRIBUTABLE EARNINGS The weighted average number of shares in issue is expected to be 0,5% higher than last year due to the issue of new shares in terms of the Group’s various share incentive schemes. We hereby advise shareholders, in accordance with Section 3.4 (b) of the Listings Requirements of the JSE Limited, that: ▪ Consolidated headline earnings per share for the six months ended 31 December 2025 are expected to increase by between 10,5% and 12,5% over the prior year, translating into an increase from last year’s 407,5 cents to a range of between 450,3 and 458,4 cents per share; and ▪ Consolidated earnings per share for the six months ended 31 December 2025, including capital gains and losses, are expected to increase by between 9,5% and 11,5% over the prior year, translating into an increase from last year’s 411,3 cents to a range of between 450,4 and 458,6 cents per share. It is expected that AVI will release its full results for the six months ended 31 December 2025 on or about 9 March 2026. The information above has not been reviewed and reported on by the Group’s external auditors. Illovo 27 January 2026 Sponsor The Standard Bank of South Africa Limited