Prosus N.V., led by South African billionaire Koos Bekker, reports $38-million e-commerce profit

Oluwatosin Racheal Alabi -

Key Points:

  • Prosus N.V., a global Internet group led by South African billionaire Koos Bekker, and its parent company Naspers reported their first-ever e-commerce profit for the fiscal year ending March 31.
  • Improved efficiencies in core units and strategic cost reductions, including the closure of non-performing units, drove the successful profitability of the e-commerce business.
  • Fabricio Bloisi will become CEO on July 1, with interim head Ervin Tu assuming the role of chief investment officer and president, leading to a 4% increase in share prices for both Naspers and Prosus.

Prosus NV and Naspers Achieve First-Ever E-Commerce Profit

Prosus N.V., a global internet group led by South African billionaire Koos Bekker, and its parent company Naspers have reported their first-ever profit from their e-commerce business.

This achievement comes as Fabricio Bloisi, the former head of iFood, prepares to take over as CEO in July. The success, driven by improved efficiency and cost-cutting, promises ongoing growth and stability under his leadership.

The e-commerce segment, excluding their stake in Tencent Holdings and including companies such as iFood in Brazil and PayU in India, achieved a trading profit of $38 million for the fiscal year ending March 31.

This profitability was achieved by improving efficiency in key areas like classified advertising, food delivery, payments, and fintech, along with strategic cost reductions and the closure of underperforming units.

Following the announcement of these results, the share prices of both Naspers and Prosus rose by about four percent on Monday, indicating investor confidence in the company’s strategy.

Fabricio Bloisi will officially become CEO on July 1, succeeding interim head Ervin Tu, who will assume the roles of chief investment officer and president. Bob van Dijk, who led the company for 10 years, resigned in September.

Tencent investment and financial performance

Prosus and Naspers are renowned for their early investment in Tencent Holdings, a major Chinese tech company. They invested $34 million in 2001, which has grown significantly. Due to this growth, they sold some of their Tencent shares and repurchased their own shares, creating $30 billion in value to date. Despite a 35 percent drop in net income to $6.61 billion this year, it exceeded the $6.25 billion estimate, showcasing strong financial performance.

Prosus, founded in 1997 under Koos Bekker’s leadership, has become one of the world’s largest technology investors. The Amsterdam-based company boasts an international portfolio of investments in prominent fintech, social media, ed-tech, and food delivery firms.

In April, Billionaires.Africa reported that Prosus Ventures invested in Constantinople, showcasing its commitment to supporting tech startups. With this deal, the venture capital arm has now made 99 investments, empowering companies to make a rapid impact on their communities and become leaders in their respective markets through tailored support