Prosus Sees Earlier E-Commerce Profitability After 1st Half Growth

By Elena Vardon

Prosus brought forward its target to reach e-commerce profitability by six months after it posted a rise in core earnings for the first half of fiscal 2024.

The Dutch investment group--which focuses on consumer internet companies--now expects to reach profitability for the segment in the second half of the current fiscal year as opposed to the first half of fiscal 2025 as previously guided.

"The goal is to build on the strong momentum in recent halves, sustain profitability growth for each subsequent period and reach good margins," it said.

For the six months ended Sept. 30, the company posted $2.56 billion in revenue from continuing operations, up from $2.27 billion for the same period a year prior. It attributed the rise to growth in its Classifieds, Food Delivery, and Payments and Fintech segments.

Prosus' trading loss for the half-year narrowed to $110 million from $338 million, on a reduction in e-commerce trading loss partly driven by lower costs, it added.

Core headline earnings rose 85% to $2.0 billion on profitability of the e-commerce segment as well as its equity-accounted investment and net interest income, it said.

Write to Elena Vardon at [e-mail]

(END) Dow Jones Newswires

November 29, 2023 01:39 ET (06:39 GMT)

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