Blu Label has issued a trading statement for the year ended 31 May 2026, warning shareholders that earnings will decrease by more than 20% compared to the previous year.
The group reports that it would have reports revenue of R9,4-billion, gross income of R2,555-billion, EBITDA of R923-million and net profit after tax of R677-million if it weren’t for Cell C and Comm Equipment’s financial results, all extraneous items relating to the restructuring transactions and listing of Cell C, and loss on disposals and impairments.
Core headline earnings would have totalled R681-million, equating to Core HEPS of 75.33 cents.
As only the gross profit earned on PINless top-ups, prepaid electricity, ticketing and universal vouchers are recognised as revenue, the imputed gross revenue generated from these sources amounted to R99,9-billion.
However, as reported in Blu Label’s interim results for the six-month period ended 30 November 2025, shareholders were advised that the non-operational accounting effects arising from the Cell C restructuring transactions and outcome of the listing would continue to affect reported earnings for the full financial year ending 31 May 2026.
Consistent with that guidance, the Group’s reported results for both the Reporting Period and the Comparative Period were materially impacted by the Cell C restructuring transactions, the outcome of the listing of Cell C and the resulting accounting consequences under IFRS Accounting Standards.
These factors resulted in a material decline in reported EPS, HEPS and Core HEPS for the Reporting Period.
Bly Label’s results for the year will be released on 26 August 2026.