Prosus H1 core profit nearly doubles to $423m

Prosus reported a 99% rise in adjusted core profit for the first half of its financial year, reaching US$423 million, up from US$213 million a year earlier.

The Dutch technology investor also saw revenue for the period climb 22% to US$3.6 billion, with its iFood and OLX platforms contributing significantly.

Prosus, majority-owned by South Africa’s Naspers and the largest shareholder in Tencent, is shifting from a passive investment approach to a more active role in managing its ecommerce businesses.

The company maintained its annual guidance.

🔗 Source: Reuters

🧠 Food for thought

Implications, context, and why it matters.

Prosus profit jump came from Tencent and buyback gains

EPS on N ordinary shares (one of its share classes) for continuing operations were expected to rise 28.1% to 37.0% 1. The increase came from higher earnings at the Tencent stake and gains from related share sales tied to the share repurchase program (a company buying back its own shares) 1.
Ecommerce aEBITDA rose 70% to US$530 million 2. That remains small next to US$5.6 billion profit attributable to equity holders 2.
The buyback has returned about US$42 billion to investors by selling Tencent shares and purchasing Prosus stock 3. This lifted NAV per share by 18% 3, which rests more on financial structuring than on organic expansion.

Enterprise software vendors can engage Prosus during its operator shift

Prosus runs nearly 100 companies that reach about 2 billion consumers across food delivery and payments 1. The network also spans classifieds, travel, and mobility.
The group has over 20,000 AI agents (software bots that automate tasks and decisions) 2. Vendors can pitch fraud detection and logistics tools. Payment processing or cloud cost products also fit buyers at iFood (food delivery). OLX (online classifieds marketplace) is a match as well. So is PayU (Prosus’s payments business).
This year, the company plans to free up about US$2 billion from its portfolio 2 while moving to active management. Lead with tools that lift unit economics such as profit per order, listing, or transaction. Buyers want measurable gains in profitability.