Prosus Reports $60M Profit in First-Half After Asset Sales

AFRICAN STOCKS AND FINANCEDecember 3, 2024 at 7:47 AM UTC

TLDR

Prosus NV posted a $60 million adjusted EBIT profit for the first half of its fiscal year, reversing a loss from the prior period.
The profit stemmed from $2 billion in asset sales, including its stake in China’s Trip.com and South Africa's Superbalist.
The group plans to use its $10 billion in deployable capital to bolster investments in AI, marketplaces, food delivery, and fintech, with India emerging as a key growth market.

Prosus NV posted a $60 million adjusted EBIT profit for the first half of its fiscal year, reversing a loss from the prior period. The profit stemmed from $2 billion in asset sales, including its stake in China’s Trip.com and South Africa's Superbalist.

The group plans to use its $10 billion in deployable capital to bolster investments in AI, marketplaces, food delivery, and fintech, with India emerging as a key growth market. President and CIO Ervin Tu highlighted AI as a crucial enabler across Prosus's ecosystem, adding that the firm may make larger investments in companies within its network.

The Amsterdam-listed company’s revenue rose 26%, with adjusted EBIT for its e-commerce arm surging fivefold to $181 million. Prosus also made gains through its ongoing buyback program, which has created $36 billion in value.

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Key Takeaways

Under CEO Fabricio Bloisi, Prosus has streamlined its structure, aiming to double its valuation within four years. With a focus on high-growth markets like India, where IPO activity is accelerating, and continued investment in AI, Prosus targets $6.2 billion in annual revenues with over 20% organic growth. The company’s ability to monetize assets, such as its reduced stake in Swiggy, supports its strategy to unlock $100 billion in new value globally.

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