**Summary of DFI Retail Group Holdings Limiteds 2025 Preliminary Results**
DFI Retail Group Holdings Limited, a leading Asian retailer, announced its preliminary results for the year ended December 31, 2025, highlighting strong financial performance and strategic progress despite a challenging retail environment.
**Financial Highlights**
* **Underlying profit** reached the high-end of guidance at **US$270 million**, up **35% year-on-year**.
* **Reported profit** was **US$235 million**, a significant increase from a loss of **US$245 million** in 2024.
* **Revenue** remained stable at **US$8.869 billion**.
* **Health and Beauty** segment delivered strong like-for-like sales and profit growth.
* **Convenience** segment returned to profit growth in the second half of 2025.
* **Dividend** A final dividend of **US¢10.50 per share** was declared, based on a new **70% payout policy**.
**Strategic Achievements**
* **Portfolio Simplification** Divestments of Yonghui, Robinsons Retail, and Singapore Food strengthened the balance sheet and focused the Group on core operations.
* **Omnichannel Growth** Strengthened value-driven, omnichannel proposition in Food and Home Furnishings.
* **Shareholder Returns** Returned approximately **US$740 million** to shareholders, including a **US$600 million special dividend**.
* **Net Cash Position** Achieved a net cash position due to divestments and disciplined capital allocation.
**Segment Performance**
* **Health and Beauty** 7% sales growth, driven by Mannings and Guardians strong performance.
* **Convenience** Sales declined 2% due to lower cigarette volumes, but non-cigarette categories showed growth.
* **Food** Sales remained stable, with Wellcome focusing on value proposition and omnichannel growth.
* **Home Furnishings** IKEA sales declined 3%, but profitability improved due to cost control measures.
**Future Outlook**
* **2026 Guidance** Organic revenue growth of **2-3%** and underlying profit between **US$270 million and US$300 million**.
* **Strategic Focus** Strengthening value proposition, enhancing omnichannel capabilities, accelerating Own Brand innovation, and leveraging data for better customer and supplier outcomes.
**Key Takeaways**
DFI Retail Group demonstrated resilience and strategic agility in 2025, achieving strong financial results and progressing towards its long-term goals. The Groups focus on portfolio simplification, omnichannel growth, and shareholder returns positions it well for sustainable growth in the evolving Asian retail landscape.
| Metric | 2025 (US$m) | 2024 (US$m) | Change (%) |
|---|---|---|---|
| Revenue | 8,869 | 8,869 | 0 |
| Underlying profit attributable to shareholders | 270 | 201 | 34 |
| Profit/(loss) attributable to shareholders | 235 | (245) | n/a |
| Net debt/(cash) | (70) | 468 | n/a |
| Operating cash flow after lease payments | 430 | 318 | 35 |
| Free cash flow | 281 | 154 | 82 |
Note: The net debt/(cash) figure for 2025 represents a net cash position of US$70 million, compared to a net debt position of US$468 million in 2024. The change in net debt/(cash) is not directly comparable due to the shift from net debt to net cash.
Here is a separate table for debt-related metrics:
| Debt Metric | 2025 (US$m) | 2024 (US$m) | Change (US$m) |
|---|---|---|---|
| Current borrowings | 99.2 | 504.9 | (405.7) |
| Long-term borrowings | 0 | 236.5 | (236.5) |
| Total borrowings | 99.2 | 741.4 | (642.2) |
| Cash and bank balances | 168.7 | 273.8 | (105.1) |
| Net debt/(cash) | (70) | 468 | n/a |
Note: The decrease in total borrowings is primarily due to the repayment of long-term borrowings and the shift to a net cash position in 2025.
**Summary of Key Changes:** * **Revenue:** Remained stable at US$8,869 million. * **Underlying profit:** Increased by 34% to US$270 million, driven by improved profitability and lower financing costs. * **Net debt/(cash):** Shifted from a net debt position of US$468 million in 2024 to a net cash position of US$70 million in 2025, primarily due to debt repayment and strong operating cash flow. * **Operating cash flow:** Increased by 35% to US$430 million, supporting the shift to a net cash position. * **Free cash flow:** Increased by 82% to US$281 million, reflecting improved profitability and working capital management. These tables provide a clear comparison of the financials and debt year on year for DFI Retail Group Holdings Limited.