Caxton interim results 2025

Caxton & CTP Publishers, the South African media and publishing powerhouse led by Terrence Moolman, reported a 4.03% decline in profit for the six months ended December 30, 2025.

Profit fell from R346.05 million ($21 million) in H1 2024 to R332.11 million ($20 million), as weak consumer demand and lower advertising revenues continued to pressure its publishing and printing division.

According to the group’s interim results, revenue also dropped marginally by 0.48%, sliding from R3.63 billion ($218.82 million) to R3.61 billion ($217.88 million). The Publishing and Printing segment declined by 3.7%, partly offset by 1.9% growth in the Packaging and Stationery division.

Key drivers of earnings pressure
Caxton’s Publishing and Printing operations were impacted by declines in both national and local advertising revenues, reflecting muted economic activity and constrained marketing budgets.

In contrast, the Packaging and Stationery segment recorded growth across several markets, supported by organic expansion in the quick-service restaurant sector. However, this was partially offset by weaker beer label revenues following reduced tender allocations.

Profit from operating activities before depreciation and amortisation declined by 5.9%, while profit after depreciation and amortisation fell by 7.8%. The decline was partly cushioned by a R3.8 million ($0.23 million) increase in net finance income.

Raw material prices remained stable during the period, with management continuing alternative sourcing strategies amid uncertainty surrounding the potential closure of the Mpact mill in Springs. The group indicated it maintains established supplier relationships that allow flexibility in redirecting volumes if required.

Stronger balance sheet and dividend declaration
The group ended the period with cash and cash equivalents of R2.86 billion ($161 million), up R499 million compared to the prior corresponding period.

However, cash declined by R170 million ($10.31 million) relative to June 2025, reflecting funding requirements for the peak trading season and payment of the 2025 dividend. Net asset value per share increased 3.3% to R22.95 ($1.39), signaling continued balance sheet stability.

On Jan. 29, 2026, the board declared a 100-cent special dividend per ordinary share, subject to approval by the South African Reserve Bank. Following delays in receiving regulatory approval, the board withdrew the special dividend and declared an interim dividend of 100 cents per ordinary share and 798 cents per preference share instead.

Caxton’s future
Under the leadership of Terrence Moolman, who co-founded Caxton with Noel Coburn in 1980, the group has grown to manage 88 newspapers and 15 magazines, in addition to its prominent printing and packaging businesses.

Moolman’s 53.46% stake in Caxton, valued at nearly $170 million, cements his position as one of the most influential figures in South Africa’s media landscape and one of the wealthiest investors on the Johannesburg Stock Exchange (JSE).

With inflation easing, interest rates moderating, and the rand strengthening, sentiment has improved modestly. However, management noted that there is currently little evidence that these macroeconomic improvements will materially boost second-half performance.

As a result, Caxton remains focused on improving operational efficiencies and expanding its packaging footprint, while navigating persistent structural challenges in its publishing business.