Brimstone cuts debt, sees earnings rise with Sea Harvest

Brimstone reported a lift in earnings as structural reforms — particularly in energy and logistics — began to show early signs of traction, while further interest rate cuts provided some relief to under-pressure consumers.

Headline earnings per share jumped by 98% — driven by the strong performance of its associate Sea Harvest group and supported by lower finance and operating costs.

“The global economy has remained uncertain, with slower growth and mounting risks, but South Africa has shown resilience. A stronger rand, lower inflation, and further interest rate cuts have provided some relief to consumers under pressure,” the group said.

The group declared a final dividend of 42c per share for the year.

During the year, the group sold 11.95-million shares in Oceana Group for R633.4m, part of its debt reduction strategy, which saw net debt fall by R520.3m.

Vuna, which is part of Brimstone’s portfolio, contributed about R5m in equity earnings, with Brimstone receiving a R1m dividend. Meanwhile, the group’s share of Sea Harvest’s profits for the year to December 31 2025, came to R151.5m, alongside R35.1m in cash dividends.

The group repurchased 1.55-million shares for R7.2m during the year. Revenue decreased to R413.7, while earnings per share fell to 18.3 cents.

Obsidian healthcare supplier, also part of the Brimstone portfolio, contributed R20m to group profit during the year, supported by stronger revenue, an improved product mix, and disciplined cost management.

“Obsidian’s revenue growth for 2025 was driven primarily via growth in the Life Sciences and Point of Care divisions and with the inclusion of new business generated by the take-on of another agency business, Quidel Ortho,” the group said.

The group said improvements this year were supported by a stronger rand, a better product mix, and margin and cost management initiatives. Obsidian signed a new agency, Sebia Diagnostics, which is expected to contribute to revenue growth in 2026.

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