Diversified investment vehicles

Corporate information

Sustainability measures

KTH’s contribution to Remgro’s headline earnings amounted to R344 million (2024: R241 million).

KTH’s headline earnings for the year increased to R789 million from R553 million in the comparative year.

The increase is mainly due to:

• The change in the accounting treatment of the investment in Momentum from IAS 28: Accounting for Investments in Associates to IFRS 9: Financial asset held at fair value through profit or loss impacted headline earnings as follows:
  • KTH recognised positive fair value adjustments net of deferred tax (including initial recognition deferred tax) of R509 million, driven by the improvement of the share price by 49.7% since June 2024 from R22.90 to R34.29.
  • In the comparative period, equity accounted income from Momentum was R245 million, along with positive fair value adjustments recognised on the Momentum preference shares of R125 million until conversion took place at the end of June 2024.
  • KTH recognised dividend income from Momentum of R128 million, while in the comparative period, dividend income of R111 million was included as part of the equity accounted investment.
  • Net finance income was R71 million (2024: R57 million). The increase was driven by the reduction in group debt and positive returns on cash balances.
• The increase in headline earnings was partially offset by:
  • The contribution from the Kagiso Media group being lower by R46 million compared to the comparative year due to operations being impacted negatively by adverse trading conditions resulting in lower operating profits, and Lupo Bakery Proprietary Limited contribution being lower by R12 million compared to the comparative year.
  • Equity accounted losses recognised on Servest Group Proprietary Limited of R85 million (2024: loss of R61 million).

During the year, KTH paid a dividend of R139 million (2024: R114 million).