Brait’s positive momentum following its recapitalisation strategy has continued into the rest of its 2025 financial year, resulting in a return to annual profit.
The investment holding company, which swung back to profitability in the first half of the year, reported headline earnings per share (HEPS) of 5c for the 12 months to end-March compared with a 13c loss in 2024. Brait’s net asset value per share, its key reporting metric, rose 6% year on year to R3.06.
Brait’s turnaround was underpinned by strong operational performances from its key portfolio companies — Virgin Active and Premier — as well as a R1.3bn reduction in debt following a series of recapitalisation measures that included a R1.5bn rights offer and bond buybacks, Brait said.
Virgin Active, which makes up 62% of Brait’s total assets, recorded a 13% increase in revenue, boosted by membership growth and improved pricing across its international network. It also posted a 45% increase in earnings before interest, tax, depreciation and amortisation (ebitda). In Southern Africa, where it has 640,000 members, the group has been investing in refurbishments to meet brand standards, but is also exiting locations that no longer meet its targets.
Three clubs in SA were being closed between May and July, Virgin Active recently announced. The Jabulani RED gym in Soweto was the first to shut at the end of May, leaving the township without a Virgin Active presence after the earlier closure of the Maponya Mall and Southgate clubs. The Boulders club in Midrand will close at the end of June, with the Riverside club in Mbombela closing in July.
Premier, which contributes 32% to Brait’s total assets, delivered 7% revenue growth and double-digit ebitda gains despite a challenging consumer environment. Its core MillBake division remained the top performer, supported by cost efficiencies and market share gains.
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