Altron posted impressive growth in profitability for its financial year ended 28 February 2025 with operating profit
from continuing operations surging by 50% to R972 million. The company’s EBITDA also saw robust growth,
rising 27% to R1.8 billion.
Reflecting its strong performance, the Altron Board declared a final dividend of 50 cents per share, an increase
of 52% compared to the previous year.
Commenting on the results, CEO Werner Kapp said, “This year’s strong results reflect the disciplined execution of our strategy, despite heightened economic and political uncertainty. Our high annuity revenue base provides a solid foundation, with our Platforms segment remaining a key growth driver, delivering double-digit revenue and profit growth. This consistent performance has strengthened our financial position and enabled us to deliver meaningful value to our shareholders.”
Netstar delivered another year of strong growth, increasing EBITDA by 17% to R935 million. The company’s subscriber base expanded by 16%, surpassing 2 million, supported by growth in both the consumer and enterprise segments. Netstar further increased its market share by growing strategic partnerships across the insurance and dealership segments, as well as continued growth within the OEM channels. These efforts have significantly enhanced its distribution network. Netstar’s platform processed over 226 billion data points this year, and its global fleet bureau scaled to over 33 000 managed assets, fuelling growth in data-driven managed services revenue.
Altron Fintech reported impressive results, growing revenue by 17% to R1.3 billion and boosting EBITDA by 38% to R457 million. This strong performance highlights the success of Altron FinTech’s proprietary platforms, which make it easy for merchants – big and small, formal and informal – to join the system quickly. The platform’s ability to work seamlessly with various payment systems and wallets, together with smart use of data for better credit checks and customer insights, helps build trust and drive adoption. As a result, Altron Fintech is expanding its reach, especially in the microfinance sector, supporting financial inclusion in underserved communities.
Altron HealthTech grew its revenue by 6% to R397 million and increased EBITDA by 15% to R122 million. Investments in its platform have helped it gain more market share in both private and corporate healthcare. Altron HealthTech is also using its large database of health records to launch innovative, data-driven solutions.
In Altron Digital Business revenue remained flat at R3.2 billion for the year (adjusting for the sale of the ATM Business2), while EBITDA dropped 44% to R109 million primarily due to delays in major IT project spend across the industry caused by continued economic and political uncertainty.
Altron Security’s profit improvement initiatives have paid off, with growth in managed services boosting margins and increasing EBITDA by 13% to R114 million.
Altron Document Solutions was reclassified as a continuing operation during the year, giving major clients more confidence, boosting staff morale, and strengthening ties with Xerox. The company is executing on its profit improvement strategy, delivering EBITDA of R84 million, compared to a loss of R74 million last year.
Altron Arrow maintained steady EBITDA of R69 million despite tough market conditions in the global electronics component distribution industry. With its focus on innovative solutions, Altron Arrow grew its market share by 4% this year (arei).
Altron’s strong operating cash flows rose by 7% to R1.7 billion, thanks to higher profits and careful management. Net cash improved by 58% to R993 million as at 28 February 2025, further strengthening the Group’s finances and ability to invest. During the year, Altron invested R708 million in capital expenditure, with R645 million supporting growth—including R442 million for Netstar and R31 million for Altron FinTech. All capital spending was funded from operating cash flows, and net debt dropped to R113 million from R313 million last year.
Altron’s Board approved a 52% increase in the final dividend to 50 cents per share. This brings the total dividend for the year to 90 cents per share, up 55% from last year.
An investor presentation will be hosted at 9:30am CAT on 26 May 2025 to present the Group's financial results for the year ended 28 February 2025. A webcast of the presentation can be accessed via the following link: click here (https://78449.themediaframe.com/links/altron250526.html)
The results announcement on SENS can be accessed at https://altron-investors.com/sens-announcements.php
Notes
All growth rates quoted are year-on-year and refer to the year ended 28 February 2025 compared to the restated year ended 29 February 2024, unless stated otherwise.
For media enquiries contact: ian@thenielsennetwork.com