Naspers and Prosus shares jump on expected higher interim earnings

Shares in Naspers and Prosus jumped in early trade on Monday after Naspers advised it would report sharply higher interim earnings.

Naspers said in a trading statement that core headline earnings per share (HEPS) and HEPS for continuing operations for the first half of 2025 are expected to increase 87.2%-93.8% and 103.2%-109.6% respectively.  The increase was driven by accelerated growth and improved profitability of its consolidated Ecommerce businesses and equity-accounted investments, in particular Tencent.

HEPS for continuing operations were expected to rise by 321c-341c US from 311c a year ago, while core HEPS are seen increasing by 396c-426c from 454c.

“The group has demonstrated its continued commitment to deliver profitable growth, with consolidated e-commerce profitability in the first half of financial year 2025, significantly exceeding that of the prior 12 months,” it said in a statement.

“We expect to continue this growth path by accelerating our pace of execution and innovation, investing with an AI-first mindset and leveraging the potential of the group's technology ecosystem,” it said.

In early trade on the JSE, Naspers’ share price was up 2.8% at R4,223.

Prosus’ share price was up 2.3% at R744.72.

Prosus said in a separate statement that based on Naspers’ anticipated results for the period ended September, its core HEPS and HEPS per ordinary share N for continuing operations for the period are expected to increase by 84%-93% and 93%-102% respectively.

The gains relating to the sell down of Tencent and impairment charges impacting earnings per share are excluded from headline and core HEPS. The board considers core HEPS an appropriate indicator of the group's operating performance, as it adjusts for non-operational items, it said.

MackenzieJ@arena.africa