Spur Corporation (SUR) Results Snapshot 1H22

Diluted improved to HEPS 69.84cps (+119.1% y-y and revenue increased by 40.3% y-y to R441 million. GPM increased by 660bps to 78.6%, while expenses to sales increased by 470bps to 54.7%. A charge of c. R22m relating to a tax dispute charged against the group. OPM increased from 13.3% to 24.6%. Interim dividend of 49cps declared. Nine franchised restaurants were looted during unrest, damages totalling R29.5m. Franchisees benefitted from temporary discounts in franchise and marketing fees during July 2021 lockdown period and KZN unrest.