Prosus Surpasses Financial Targets with $7.4 Billion in Annual Earnings

Prosus N.V., a global consumer internet group and one of the largest tech investors, has surpassed its annual financial targets with $7.4 billion in earnings. The company's net sales are primarily driven by e-commerce platforms (40.4%), online food ordering and delivery platforms (22.4%), and mobile and electronic payment platforms (20.2%). Geographically, sales are distributed across Europe (49.1%), Latin America (39.1%), Asia (9.2%), North America (1.5%), and other regions (1.1%).

Prosus N.V., a global consumer internet group and one of the largest tech investors, has surpassed its annual financial targets with $7.4 billion in earnings for the year ended 31 March 2025. The company's net sales are primarily driven by e-commerce platforms (40.4%), online food ordering and delivery platforms (22.4%), and mobile and electronic payment platforms (20.2%). Geographically, sales are distributed across Europe (49.1%), Latin America (39.1%), Asia (9.2%), North America (1.5%), and other regions (1.1%).

The company reported a significant improvement in its e-commerce operations, with aEBIT (earnings before interest, taxes, and amortization) growing to $443 million, a substantial increase from the prior year. This was complemented by strong performances from Tencent, contributing to a 47% increase in core headline earnings to $7.4 billion. Free cash inflow more than doubled to $1.0 billion from $422 million in the previous year.

Prosus's financial results were bolstered by strategic acquisitions and investments. The company completed the acquisition of Despegar, a leading Latin American online travel agency, for $1.7 billion, and entered into a conditional agreement to acquire Just Eat Takeaway.com for €4.1 billion. These acquisitions, along with the sale of stakes in various businesses, reflect Prosus's commitment to enhancing its regional ecosystems' growth and profitability.

The group's e-commerce operations, particularly iFood, delivered impressive results. Revenue grew by 9% (30%) to $1.3 billion, reaching a 2% aEBIT margin over gross merchandise value (GMV) while more than doubling aEBIT to $226 million. OLX also reported strong performance, with revenue at $777 million, reflecting 18% (18%) growth year on year.

Prosus's payments and fintech businesses faced mixed performances amid challenging market conditions. PayU India showcased improved profitability in the second half of 2025, with its payment service provider (PSP) business growing revenue by 12% (14%) and the credit business growing by 60% (63%) on loan issuances of $1.1 billion in FY25.

The company's balance sheet remains robust, with $19.0 billion in cash on hand, including short-term investments and net cash of $2.6 billion, including interest-bearing loans and capitalised lease liabilities. Prosus has committed $7 billion for the acquisitions of Despegar and Just Eat Takeaway.com, resulting in about $12 billion of cash on hand following these transactions.

Prosus remains committed to managing its balance sheet within its investment-grade rating and is focused on delivering exceptional customer experiences through an AI-first approach. The company's open-ended share-repurchase program has reduced the free-float share count by 27% and returned over $35 billion of value for shareholders since its inception in June 2022.

References:
[1] https://www.marketscreener.com/quote/stock/PROSUS-N-V-66148584/news/Prosus-N-financial-results-FY25-booklet-50304874/