Spur Corporation Reports Strong Growth and Declares Dividend Amid Challenging Economic Climate

  • Spur Corporation reports strong financial growth with increased turnovers, earnings, and revenue, showcasing resilience in challenging economic conditions.
  • Despite macroeconomic challenges, Spur attracts customers with its unique value proposition, leading to double-digit growth during the festive season.
  • The company declares an interim dividend of 95 cents per share, reflecting its commitment to delivering value to shareholders.
Published by
Lethabo Ntsoane

Spur Corporation Limited announced its interim financial results for the six months ending December 31, 2023. Despite facing tough economic conditions, the company showcased robust growth across various financial metrics:

Franchised restaurant turnoversUp 10.4% to R5.386 billion
Earnings per shareIncreased by 16.3% to 159.53 cents
Diluted headline earnings per shareRose by 14.8% to 156.85 cents
RevenueSurged by 15.2% to R1.766 billion
Interim dividend per share95 cents (compared to 82 cents in 2023)
Profit before income taxIncreased by 13.9% to R191.8 million
Headline earningsGrew by 15.4% to R129.5 million

Trading Performance

Despite challenging macroeconomic conditions, Spur Corporation managed to maintain its customer base and attract foot traffic to its restaurants. The company’s unique value proposition resonated with consumers, evident in a Spur Family Club loyalty voucher redemption rate of 76%.

The first quarter of the reporting period witnessed strong performance, driven by increased customer foot traffic. However, the second quarter experienced slower trading patterns. Nevertheless, strong trading in December 2023 buoyed restaurant turnovers.

Notably, high tourism numbers in the Western Cape contributed to double-digit growth during the festive season. Additionally, the company’s brands performed well in KwaZulu-Natal in December 2023.

Financial Performance

Spur Corporation’s revenue growth was supported by higher sales in retail company stores and increased sales from the manufacturing and distribution division. The company also experienced improved franchised restaurant turnovers.

Group profit before income tax increased by 13.9% to R191.8 million, with headline earnings climbing by 15.4% to R129.5 million. Diluted headline earnings per share saw a significant increase of 14.8%.

Payment of Cash Dividend

The company declared an interim gross cash dividend of R86.447 million for the six months ended December 31, 2023, equating to 95.0 cents per share. Shareholders not exempt from dividend withholding tax will receive a net dividend of 76.0 cents per share.

The relevant dates for the dividend are as follows:

  • Last day to trade “cum dividend”: Monday, 18 March 2024
  • Shares commence trading “ex dividend”: Tuesday, 19 March 2024
  • Record date: Friday, 22 March 2024
  • Payment date: Monday, 25 March 2024


Despite forecasts of improved GDP growth in South Africa, Spur Corporation anticipates continued challenging trading conditions. However, with a portfolio of ten distinctive restaurant brands, the company remains well-positioned to gain market share across various categories, regions, and countries.

The company aims to open 41 new restaurants in South Africa and 12 internationally by the end of the financial year.


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Lethabo Ntsoane

Lethabo Ntsoane holds a Bachelors Degree in Accounting from the University of South Africa. He is a Financial Product commentator at Rateweb. He is an expect financial product analyst with years of experience in reviewing products and offering commentary. Lethabo majors in financial news, reviews and financial tips. He can be contacted: Email: lethabo@rateweb.co.za Twitter: @NtsoaneLethabo