Prosus Powers Ahead: Prosus NV (PRX.AS), a prominent technology investor, has reported a striking 118% surge in core headline earnings during the first half of 2024, citing improved profitability across its diverse e-commerce investments. The company expressed satisfaction with the current financial landscape of its businesses, highlighting that these investments are poised to achieve profitability within the current financial year, surpassing initial expectations by six months.
For the half-year period ending on September 30, core headline earnings reached an impressive $2.0 billion, demonstrating a substantial increase from the $1.1 billion recorded during the same period the previous year. This significant surge, adjusted for currency fluctuations and business disposals, emphasizes the company’s robust and positive operating performance.
Prosus is renowned for its substantial stake in China’s tech giant Tencent (0700.HK). The company noted that it has strategically sold down its Tencent stake from 26.2% to 25%, a move aimed at funding a rolling share buyback program. This strategic initiative, according to Prosus, benefits shareholders significantly, as the Tencent stake, currently valued at $98 billion, is worth about 30% more than Prosus itself. The company’s commitment to delivering shareholder value is evident in its strategic financial moves.
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In addition to its Tencent holdings, Prosus highlighted the growth trajectory of its e-commerce portfolio. Revenue within this segment experienced a commendable 13% increase, reaching $2.6 billion. Trading activities within the e-commerce sector exhibited notable improvement, with a reduced loss of $36 million compared to the $256 million loss reported during the same period the previous year.
Prosus’s accelerated journey toward profitability and its overall positive financial performance underscore the company’s pivotal role in the dynamic landscape of technology investments. The strategic decisions made by Prosus, including the share buyback program and the focus on improving profitability, align with broader industry trends, reflecting the evolving dynamics of the global technology investment scene. As the company continues to navigate the tech investment landscape, its strong financial results position it as a key player in shaping the future of the industry.
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Is Prosus a real company?
Based in Bellaire, Texas, Prosus, Inc. is a leading provider of managed services and cloud solutions. With a focus on innovation, we stay ahead of the curve to deliver cutting-edge IT services to organizations across all our divisions. Our global reach allows us to serve clients worldwide, ensuring they receive the best possible solutions for their needs.
Is Prosus a good buy?
Looking for a promising investment opportunity? Look no further than Prosus! According to analysts, this stock has a whopping 77.33% upside potential, making it a strong buy. In fact, the consensus rating for Prosus is also a strong buy, based on 8 buy ratings and 1 hold rating. Don’t miss out on this opportunity to invest in a company with such high potential for growth.
Naspers and its global internet subsidiary, Prosus, experienced a sharp decline in share prices on Friday morning following the announcement of new regulations by Chinese regulators. The regulations are expected to negatively impact tech giant Tencent and other companies in the sector. This news caused a significant drop in the global internet and media company’s stock prices.
How does Prosus make money?
Prosus has been striving to achieve profitability by implementing cost-cutting measures and enhancing operational efficiencies. The company’s core units, which comprise classified advertising, food delivery, payments, and fintech, have played a crucial role in supporting this endeavor. To achieve its goal, Prosus has focused on optimizing its resources and streamlining its processes. These efforts have enabled the company to make significant progress towards profitability.