Spur Corporation Ltd (SUR) Earnings Call Transcript & Summary

Good morning to all our guests this morning, both in person and online, local and international. A warm welcome to all our franchisees, international franchise partners, investors, business associates and shareholders. I'd like to acknowledge our Board of Directors and our Spur Corp executives who have worked so hard to deliver the results you'll see today. I'd like to personally thank our Chairman, Mike, Mike Bosman, who's right here for his continued wisdom and direction and to our nonexecutive directors for always sharing the expertise and best practice. I'd like to express my thanks to all the executives as well as the entire Spur Corp team in every region who have demonstrated an incredible commitment and hard work towards the business through their passion. They've worked closely to the network -- with the network to deliver the results you are about to review. And finally, my acknowledgment always goes to the customers who vote for us by stepping into our restaurants daily as our franchisees and their restaurant teams await to offer them a great dining experience. On behalf of the Board, it gives me great pleasure to advise our shareholders and audience that Vuyokazi Henda has been appointed as an Executive Director of the company with effect from the 2nd of March 2022. Vuyo will serve on the Spur Corp Board and Spur Group. Vuyo joined our team as Chief Marketing Officer in May 2022. Her previous experience gained at Unilever in South Africa and London, which was to drive sustained revenue growth and strong underlying profitability of successful iconic brands in South Africa. Vuyo's contribution over the last 3 years and strategic direction have been instrumental, particularly building a marketing division with strong capability. She project led the reigniting of the Spur brand into its new look and currently is driving the development of a customer loyalty strategy. Vuyo adds value in every engagement. So on behalf of our Chairman, Mike Bosman, and the directors of Spur Corp, I welcome you Vuyo to the Board, and we look forward to your contribution as we take the business into the future. of Growth and Sustainability. This morning, it gives me great pleasure to officially open up the presentation of the group interim results for the 6 months ending 31st of December 2025. Cristina Teixeira, our CFO, joins me to present the financial and segmental review after the business overview. Cristina, welcome. I think it's our 11th presentation together. So we'll end the presentation today with the opportunity for you to engage on any further questions. If we look at fiscal '26 interim results at a glance, it's not working. Okay. Thank you. If we look at the interim results at a glance, we reported restaurant sales for the reporting period of ZAR 6.4 billion, which increased by 8%. Group revenue increased by just over 8.5% and profit before tax increased by 13% to ZAR 244 million. Pleasingly, earnings per share increased by 13.9%. The Board has also approved and declared an interim dividend at ZAR 1.20 per share to shareholders. Our purpose of leading for the greater good continues to be the North Star for the organization. And I think you're all familiar with the model that we set in fiscal '21 and have evolved it over the years. Our focus has been to preserve the core and yet through innovation and design to propel the business forward. Before I go through the details of the trading review, I thought it would be appropriate just to talk a little bit about what's happening out there because we are trading in a rather volatile environment. So geopolitical volatility in this sector has operated in the backdrop of economic pressure and ongoing supply chain disruptions. Just yesterday, our Minister of Finance, Mr. Enoch Godongwana, delivered his budget speech to convey what the projections are for South Africa's economy. And I thought I'd just put it up just to have a look at what a lot of other institutions projected in December. And our minister said South Africa should deliver an economic growth of 1.6% for the remainder of this year. And over the medium term, growth is expected to reach an average of 1.8% and perhaps 2% by 2028. I hope that this is going to pan out. It's important for all of us and certainly for the country. The minister also added yesterday that persistent logistics bottlenecks, weak public infrastructure and the recent outbreak of the foot and mouth disease continue to weigh on the economic activity and pose a risk to the outlook. The foot and mouth disease has certainly impacted our business with brands having to pass on some big increases to consumers, and particularly with brands like RocoMamas who rely on a freshly prepared beef smash. Brands like Spur, Doppio Zero and Hussar Grill offer various protein options, so could lessen the impact of the beef price increase. South Africa's inflation according to Nedbank's economists was reported at 3.6%, in line with expectations. But as we know, meat was flagged as the outlier. Meat prices increased and peaked up to 30% to 40%, but by December settled on about 12.5%. Further disruptions with the foot and mouth disease were followed with outbreaks in Zimbabwe, Botswana and Eswatini, where we also trade. We're pleased that with our strong supplier relationships and our supply chain executives direction, we acted promptly to secure and increased volumes of alternative options of protein such as chicken and pork. Consumer spending is intentional. Every single purchase has to earn its place. Consumer research data reveals a trend towards a more careful and deliberate purchase with 56% of South Africans planning ahead before they shop. 53% compare prices before they buy, 64% ensure they only buy what they know they need and to avoid wastage. South African consumers report to plan to cut back on spending across several categories in the next 12 months. And we saw this trend from about a year ago where consumers are saying they're going to be spending less on food and delivery and takeaways, a decline of 45% usage. Out-of-home dining, 43%; out-of-home entertainment, 43% as well. So functional quality and emotional value are the biggest factors influencing trust. Even in a price-conscious environment, 74% of South Africa say brand trust is important in consideration in a purchasing decision. Trust in brands is highly influenced by product quality and consistency, customer service and responsiveness and also the importance of consumers wanting personal communication. So consumers' expectations have increased. Their needs are changing. They have very little tolerance for disappointment. They have busy lifestyles and are strapped for cash, and they're looking for a seamless experience. They have predetermined expectations. And if not met, they will be disappointed and in many cases, do not return. On the tech and AI acceleration and seamless commerce being the new frontier, the pressure is on. Social media now amplified with AI will influence how people search, how they research, how they look out for reviews and recommendations for their favorite restaurant, influenced by those social influencers and then they will select where they're going to go for what occasion and what will suit their budget. So building a trust will depend on striking the right balance, technology that delivers both efficiency and empathy and brand promise that maps out continually the evolving lifestyles and changing habits of the shoppers. We also have to understand that it comprises that they earn loyalty and will not only adapt to shoppers or changing habits, but brands that understand what matters most to the consumer. Looking forward, success will not come from digital acceleration alone. Retailers, restaurants and us too, must capture growth by expanding occasions and building volumes both online and in-store, while giving consumers confidence, control and a sense of simplicity. The winners will be those who deliver consistency in a fragmented world, meeting the shoppers wherever they choose to engage. So that sets a whole new scene for the business going forward. Often, as we've said in our own business, very often, there's nothing wrong with the business model, but it's the changing trading environment that requires that we adapt and are nimble to adjust our offerings and value proposition to suit the change in customer needs. If we go through a little bit of an update on the trading report, what I will be doing this morning is taking you through some group stats and then highlighting 1 or 2 brands, not all of them. If we look at the restaurants in which we trade, it's 14 countries now, including South Africa. This year, we reentered Lesotho. We were there before. We now have a Panarottis and -- sorry, RocoMamas and I've gone -- I've mixed up, Spur and Panarottis in Lesotho, which is wonderful. Our international footprint is 113. And as you can see there, our overall footprint mid-700s. Our brand portfolio remains the same. You can see our mainstream brands on the top as well as RocoMamas, our fast casual brand. In the center, our portfolio of specialty brands. VK brands are holding their own, still an important category for that convenience conscious consumer. And our top VK brands now remain Pizza Pug in first place, Rib Shack RocoFellas for RocoMamas in second and Just Wingz third. If we look at our restaurant count for the period, what's interesting to see Spur, as we know, being the foundation brand represents 47% of the count. What's interesting when you look at the Panarottis count of 150 in fiscal '21, the Panarottis count was 33% of the Spur count. This has now reached 42%. So just wonderful to see the expansion of this wonderful brand, bringing a wonderful offering and an easy-to-eat product to the market. Specialty brands are sitting at 86% with the dominance being Hussar Grill and Doppio Zero. If we look at some of the new stores and closures and revamps, we've had great success this first half, exceeding the expected numbers of new stores. New restaurants in South Africa were 29, International were 9 and we did have some closures. Closures are usually because they're in the wrong location and they can't relocate because of poor performance, because of new developments in specific nodes. Pleasingly, some of those closures were rebrands. So in John Dory's instance, you remember last year, I mentioned that our John Dory's in Silvervachten was converted to a RocoMamas by the same franchisee. More recently, we converted another 2 John Dory's to Panarottis and RocoMamas as well. And for Piza e Vino, a small brand also struggling to find exactly its value proposition. We converted 2 Piza e Vino brands to Doppio Zero. If we look at the group turnover monthly trend, and I know as investors and the audience, you like to see this, we've tracked it now for the last 5 years, and this is the sixth year. The solid turquoise is obviously fiscal '26 half 1. We had a very good start to the year. You remember last July wasn't great because of the way the school holidays fell. We were really pleased and we thought that trend would continue. It didn't because you can see sort of a steady decline into September. Our teams did react well towards the end of August, September and into October. We had very strong brand activity, which delivered a nice growth in that month. November ended quite well with Black Friday. It was a record-breaking Friday for the group, but we beat that record for Saturday, Valentine's Day this year, which has been awesome. But unexpectedly, post-Christmas, we did have a very flat last week of trade last week of the calendar year and last week of our half 1. So that was a bit disappointing, but the group still delivered a growth on previous year for the month of December and obviously, for the period. If we look at restaurant turnover in South Africa numbers and turnover, if we look at the Spur brand, more mature brand, working now in a highly competitive arena. A lot of competition are trying to copy the Spur offering, and we have to stay sharp and stay in the lead. We've delivered a growth of 7.2%, which we think is a good growth in the current market conditions. Panarottis is an outstanding system-wide growth of 17.4%, and I'll show you the like-on-like shortly, but really outstanding. John Dory's continues to show a negative growth, and you will continue to see that for a period while we rationalize the portfolio and either convert, close and refine the top-performing stores. And the rest speak for themselves. Piza e Vino also decline. A good news on Piza e Vino. We have franchised one of the Piza e Vino company-owned stores. So that hopefully will show a nice increase in performance. If we look at the international market, our international portfolio represents about 10% of our turnover and its profit has increased. Cristina will take you through that shortly. But on the international front, which is really the rest of Africa, we trade mainly with Spur about 39% contribution, Panarottis is about a 35% contribution and 25% RocoMamas. Our top-performing countries are listed on the right with Mauritius being the highest and Nigeria #5. Lots of growth opportunity in Nigeria. So we're going to see that country moving up the ranks, but they delivered a turnover growth of 14%. If we look at the group turnover and particularly focus on like-on-like, which is always indicative of the health of the brand, we can see that we had an 8% system-wide growth and a 4.5% like-for-like. Spur, 5.2%, Panarottis is a double-digit like-for-like growth, which is really great. The one that disappointed us, and we saw a distinct change in frequency and foot count after the end of July when we had put in an increase for the RocoMamas Smash. So we've got our heads together now to look at how we're going to mitigate that. But the beef price hike in an environment where you mainly sell beef, freshly made beef smash has certainly had a negative impact, but we do believe that, that is reversible. If we look at the brand customer count, this excludes Doppio Collection because they measure their customer count a bit differently. I've put this slide up only to show that there is a glimmer of hope. It's the first period that we started seeing a slight increase in customer count. We, in fact, had an increase in customer count for December for Spur, Panarottis is very impressive. And then the overall group customer count also showing a marginal increase, which is really promising. If we move on to our regional growth and contribution, you can see the importance of Gauteng, not only for our group, but also for the country, a lot more locations, a lot more development, a bigger population represents 58% of our group turnover, followed by the Western Cape at 21%. Growth was quite interesting this year. You remember probably a year or 2 ago, we were seeing quite a bigger increase in the Western Cape. Obviously, we're working against high figures now. So the 2 that I could call out is the growth of Gauteng at 9.3% and Western Cape at 7.4%. I'm going to move on to just some highlights on some of the brands, starting with the specialty portfolio. This is the new look Hussar Grill. This photo might have even been taken before it was completed, but a beautiful store. It's a company-owned store in Mouille Point. It's a very busy store, very profitable, really has done well. If we look at the Hussar portfolio overall, we've got 28 Hussar Grill restaurants in South Africa. This map is indicative of showing you where they're more saturated. And because it was born in Cape Town, you can see a stronger footprint in Cape Town. But more recently, we opened another store in KZN. So we've got 3 stores in KZN, and we opened a new store in Mossel Bay, which has been extremely successful. This is the one in Cotswold in KZN owned by multiple franchisee who owns a couple of other brands as well. And then Mussel Bay is our franchisee who owns the Piza e Vino in Hartenbos, a beautiful store in a heritage building, did exceptionally well over season and continues to attract diners to the restaurant. If we now look at the footprint of Doppio Zero or the Doppio restaurants, we have 35, 34 in South Africa and 1 in Botswana. And you can almost see the opposite, strong dominance in Gauteng and starting to grow in the coastal areas. So that is the opportunity. I think this really displays to our franchisees and new business executives, the opportunity that exists to expand these 2 formidable specialty brands. What is important to note that out of the portfolio of about 85, 86 restaurants, 63 are the Hussar and Doppio Zero brands and the turnover contribution to specialty is almost 80%. So these are dominant brands, and that is going to be our future focus. We've launched 2 derivatives of the Doppio brand, if I can call them subsidiaries. We told you a little bit about this at the last results. They are now open and trading. The first one is the Doppio Caffe in Sea Point. It's in the Protea Hotel. It not only serves the public, but it also does the breakfast buffet for the Protea guests, and it also does a little bit of room service business. A beautiful little restaurant, not a lot of parking in that area as we know in Sea Point, but really a wonderful looking store. Sandton Mediclinic, the Doppio Caffe there is doing really well. We know the Mediclinic owners are really keen and talking to us about other opportunities. They do -- you can't see it in this photograph. It's got quite a big counter for takeaways because as you can imagine, people are walking in for medical appointments or visiting their loved ones. So some sit and wait and others just grab and go. Our newest baby is Doppio Bistrot. This has been developed now for a while. A lot of you who come from Johannesburg will know the old Keith Kirsten nursery, very popular on Jan Smuts Avenue corner or Jan Smuts Avenue in Bolton. It's a new development called Nine Yards, really a beautiful setup, the same landscaper who did all the Sun City Landscaping actually has done the landscape here. So it's a wonderful site to explore and look at. We've got a beautiful site. It has access to both parking lots. It's in build at the moment. It's going to open by early March. This is just one view of the patio. The patio deck's got a private dining section as well. This is some of the interiors, the look and feel and just another view. So one up, a little bit more of a bespoke menu just so that it can attract breakfast, lunch and evening diners. And then just 2 other messages on our specialty brands. Casa Bella, we opened the new restaurant in Century City. I think I prompted it last year, doing very well, owned by one of our multiple owners who owns a Hussar Grill in the same area and also owns Panarottis and more recently, another one of our brands. So that's happening there. And then Nikos, you saw the performance of Nikos, and this is the view of the Silver Star Casino, which was an ocean basket that converted to Nikos. At this point, I would like to announce, and you've probably seen it on the SENS this morning, after careful consideration and refocusing our energy and effort on a few good specialty brands that mirror the competency we have like Hussar Grill, like Doppio Zero, like pasta and pizza brands. We took the decision with our partners and founding family to dispose of the Nikos brand. So the Nikos brand post the reporting period has been sold to the Nikos family. It will be effective on the 1st of March, and it will be reported in the half 2 results. So to the Nikos family, we had an engagement this morning with them and also with their franchisees. We want to say in Greek, [Foreign Language] thank you to the Nikos family who gave us the opportunity to grow with them over a period of about 5, 6 years. And thank you, too, to our specialty executive, Justin and his team for taking care of this baby during the time here at Spur Corp. So our new portfolio of brands will be looking like this without the Nikos brand. If we look at the growth of locations impacted by weather and gambling in particular, yes, very good results in the bigger malls because we know with bad weather, people gravitate to malls because it's covered, undercover parking. But just some to call out casinos, only a 5% growth relative to the growth in other locations. We know a lot of this has to do with foot count in the malls either because there isn't -- in the casinos, either because there isn't a good show or because of the incidence of online gambling. We know this has had a direct impact. In a recent engagement, someone mentioned to me, they wouldn't give me the name, but they cited a growth of one of the big online gamblers at a 73% increase. So this is definitely affecting those locations. Freestanding perhaps also because of the weather, hotels, only a growth of 5%, then regional balls a little bit lower than the small regional or the super regionals. So always interesting to study that. Obviously, different dynamics per brand, but this is the group representation. If we now move on to Spur, our foundation brand, a very loved brand, a heritage brand. This is the new look. This happens to be Eagle Canyon Spur that's just recently revamped. I want to thank Morne Brown, one of our multiple franchisees for his continued investment and trust in the brand. This is the team. They're looking great. We currently have 74 Pegasus looks, that's what we call them, the new look Spurs in South Africa. We've got 7 in the international market. And we're hoping that by June, we will reach the 100 mark milestone. The team are telling me it's a little bit higher than 100, but I thought I will only commit to 100, but exciting times for the brand. If we look at the group daypart, it is influenced by the Spur because we know that Spur is predominantly about casual dining and family entertainment. If we look at our main daypart remains lunchtime, 51% at a growth of 6.8%. And dinner remains constant. We all know that we're all trying to get more people into our stores for dinner, but that changed after COVID. We're now sort of closing restaurants between 10 and 11. Years ago, we used to close in early hours of the morning. So that has changed. So we're just trying to leverage the best seating capacity for each day part up to the time consumers want to shop. And breakfast has also been an interesting one for different brands, there's been a different growth. But overall for the group, an 8%. This is also because a lot of the smaller brands have started introducing breakfast like RocoMamas, Panarottis continues to drive it. And obviously, for Spur, it's an important daypart. Some exciting news for Spur. Eventually, after 5 years, we have our #2 drive-thru in the new look. It's in Allandale in Midrand, really beautiful, also owned by multiple franchisees. It launched on Valentine's Day. It's early days, but we're hoping it will attract the convenience shopper. It also has a very big sit-down environment and play area. So we're hoping this will be more of a hybrid drive-thru than a traditional drive-thru because our customers still love sitting around the table and celebrating. This is a new store at the Loftus Park, which is a shopping center just adjacent to the actual stadium. You can actually walk to the stadium from here. We already have a Panarottis there that's traded really well. It's jampacked whenever there's a game. If you look at this store, it's actually owned by the same franchisee who owns the RocoMamas, who had faith in the Spur brand. This opened recently. We did go to open in night. It was wonderful. So here, consumers can sit inside and look on the TV screens or outside on the patio. To the right of this photograph is a massive screen in the center of the Loftus Stadium. So really exciting. And I know during games, it's going to be an awesome destination, but it is busy even in nongame times. And just talking about our proud sponsor, the Springboks, lots of activity happens. Our marketing team are just driving just amazing collaboration and partnerships with the Springboks. Last year, we did the Mascot incentive where 1 or 2 Mascots could walk on to the field with the players, which was in Durban. We had the sendoff of the women's rugby team to the Women's Rugby World Cup, their last meal at Oliver Tambo, Spur before they boarded their flight. And then, of course, Grilling the Greats, which is an awesome concept where kids can question the professional Springbok players about all the rugby data and information. That's something that our team plan to continue into the new year. In Limpopo, Lebowakgomo, I had opportunity to visit the store myself with the team in November, a beautiful little store. It was jampacked with people eating grills and desserts and everything we actually had to leave quite quickly because we were getting in the way, but really wonderful. And I do take my hat off to our new business executive who understands the importance of moving into markets where the community will respond so positively to the Spur experience. Canyon Creek in Bronkhorstspruit, the brand was in Bronkhorstspruit many years ago, an important little town as people enter and exit Pretoria on that Witbank Highway, also owned by a franchisee who owns a couple of stores in Pretoria and operating really well. In a more upmarket area, and it's always wonderful to bring Spur to a more upmarket area in Dainfern Square. We currently already have RocoMamas there. This was opened by our biggest multiple, BrinSpur, beautiful restaurant to attract that more affluent consumer from all the housing development that's expanding in the Dainfern and surrounds. Little Thunder, Soshanguve. This is in the Sosh Mall. We already have another store in Soshanguve. This was the second one. You just have to be there. It's a massive mall. I visited this mall twice towards the end of last year before Christmas and early in the new year, it is packed. What is wonderful to see is just how many consumers are living in Soshanguve and how many affluent consumers with disposable income and they walk in the mall, shopping their fashion, buying their meals, also a great-looking store owned by a multiple franchisee. Appaloosa Spur, everyone all know the popular Alzu stop on the Witbank Highway. We have many stores with the Alzu Group. Spur is a very important site there. It has a very strong takeaway business, as you know, for transient traffic and we have a big seating area. It's been revamped. It was long overdue for a revamp, looking really awesome, and we thank Alzu for their investment in this brand. And then just a small note, we're not telling you a lot about marketing in this presentation. Just the importance of driving value. The Spur brand started towards the end of June where they introduced a Big 3 combo. It was a great success. We then followed that by the Master Griller combo, which was sort of end of September period into October. And currently, because of the foot and mouth disease, our supply chain team have managed to secure ribs at a very good price. Our ribs are all imported. This is just a snapshot of the commercial. So it's not blurred. It's just moving. It's actually new photography that's being used of the plate sort of moving through the store to the customer. Maybe one day with AI, that's going to happen in reality. But this campaign is currently running, and we're already seeing some good traction for the restaurants. Our group active loyal customers is now sitting at 2.8 million. Obviously, the biggest contributor there is the Spur brand. This becomes and continues to be a strategic priority for us. We know the importance of building loyalty of rewarding frequency. More recently, the Spur Loyalty Club was also voted or nominated for 2 categories in the International Customer Loyalty Awards. We're waiting to see what the outcome is, but that is a huge accolade to be awarded an international award for a local South African loyalty brand. So well done. If we now move on to more of what influencers, obviously, off-premise turnover. Sit-down remains our dominant offering, but off-premise is critical to us. At the moment, it represents 12%, which is predominantly collect, where the customer can call, click or phone and collect themselves or deliver through the third parties. We have quite a big strategy behind the scenes working on how we can offer a last-mile delivery model to our franchisees at a better margin and also satisfy our consumers' needs. RocoMamas, as I mentioned earlier, has been negatively impacted by the hike in beef price. RocoMamas is already a premium burger. So that consumer is obviously sensitive for price. We've now got our heads together to see how we're going to respond to that, but still attracts those people who are addicts and love our Smash Burger. I also wanted to point out that our creative department produced this slide with actual photographs of the burger, but the rest has been done on AI. So don't think it was someone's son. Okay. And just a few new stores. You'll remember, I think the last cycle, we only reported 1 new RocoMamas store. They've gained some great traction. We've opened 5 RocoMamas stores in this last reporting period. This is in Long Street, a great little store, just around the corner from our little Pizza Pug that we're testing. Garsfontein, Pretoria, also in the outskirts of Pretoria. Lenasia Halaal store that's opened. At this point, I also wanted to mention that we currently have 40 Halal restaurants in the group, 20 are from Spur and 14 from RocoMamas. And at this point, I also want to wish our Muslim audience and our franchisees and customers all the strength for Ramadan. Hartbeespoort Dam, this is hot off the press. It will be reported into fiscal 2 in terms of -- into half 2 for the reporting period. This is a John Dory's conversion. One of our multiple owners owns the Spur owns and owns now this RocoMamas at Hartbeespoort at the Lifestyle Center. A beautiful little store has had a great impact for that market, also lots of weekenders and holiday makers in that area, so an ideal product for food on the go. Fourways Mall has seen a great revamp. It's been classed now as the biggest mall in South Africa. You actually get lost in it, I must tell you. So last reporting period, we told you we had opened a Spur for Peaks, very successful, doing exceptionally well. The same franchisee is now going to open a Panarottis. And our black female franchisees who own 5 RocoMamas opened this RocoMamas in the Fourways Mall, also doing really well. And we're hoping in the medium term that we will probably have 2 more brands in the same center. For John Dory's, this is our most recent new look, which is Eastgate, Gauteng. The team was successful to secure a very prominent site in Eastgate being one of the high-traffic malls in the East Rand. It had a very good season. We're hoping that, that trend will continue. But for the John Dory's brand, we only have 5 new looks at the moment. So there's a lot of work at play to look at how we evolve this brand. It's probably going to go through a little bit more difficulty until it turns and improves, but hopefully, we'll get there. I decided to leave Panarottis for last, so I'm almost done because it has definitely been the shining star in the network with the incredible growth. I think this slide just captures the hospitality and the dining of Panarottis. And as you know, we're also pushing pasta in a big way at the moment. This is a recent revamp, East Rand Mall, Panarottis is looking really beautiful. And I wanted to just talk a little bit about how it's gained momentum. On the left there, you can see the old look Panarottis pizza and on the right, the new. And I wanted to just talk about how eventually we understood the flywheel concept because it happened with this brand. So just to point out some key milestones. In fiscal '21, we had 112 restaurants. That was for the group, local and international. In '22, we repositioned the brand and the new look. We were very clear about the vision for Panarottis. It's a place where you sit and enjoy pizza at the table. It was unintimidating. We saw the vision that people don't only want to eat pizza out of a box, even though we also sell them in a box. We then embarked on our small town strategy and a big expansion plan over the following 2 fiscals. And today, as we stand here, 70% of the network is now in the new look. And currently, we have 150 restaurants, of which 53 of those are in the Rest of Africa. So well done to Cornelis and his team, our franchisees who were aligned with us on this repositioning, believed in us and are clamoring to open and revamp the rest of the Panarottis. So well done. You remember that peak in October, a lot of it was because of Panarottis, but what happened in the prior months, we had opened 2 restaurants. We revamped 4, showed a 20% growth of those -- all 4 of those restaurants, just to show you how important it is to create a great environment for a consumer. We all love sitting in a new place, new chairs, new ambience. So that helped them. And then in October, they ran a very successful duo campaign, which was pasta and pizza and basically delivered for the reporting period a 14.6% growth on customer count, outstanding. Just some sites, Hartenbos. We already trade in Hartenbos with a very good Spur and also a very good Piza e Vino. Panarottis did very well over season. They all did. They took a little bit of turnover away, but there was a lot of other competition. So all 3 of our brands trading really well, which shows that you can dominate a small captive audience in a town like that. Yes, a lot of holiday makers over season, but a beautiful store that overlooks the tennis courts and a bit of the sea. Tokai, also our new look Panarottis there. Kathu, that's known as the center of iron ore. And we know that Kathu, Kuruman and Postmasburg, those are very important mining areas at the moment and a lot of growth and opportunity. We already trade with a Spur there, and this is the Panarottis that opened recently. Mahikeng, important, also owned by a multiple franchisee. We have a Spur there, and we have Panarottis. Mall of the South, Johannesburg, also important, beautiful store, also a very high-traffic mall, also attracts a lot of your mainstream consumers. So what a wonderful thing to offer them a casual dining environment, especially for the first-time diners. Riverside Mall, Mbombela was also John Dory's that was converted to Panarottis before the end of last year. On the international front, you can see a slight different look. This is Coker, Nigeria. Basically, we focus on more takeout for Panarottis Pizza in Nigeria. We currently have -- where was -- I think I always forget this figure. I can't remember now. Where is it? Sorry, I just wanted to get the international count. We have in Nigeria, 11 Panarottis. So these 3 opened recently in the Heart of Lagos, all these 3 sites, Herbert Macaulay, also in the Heart of Lagos and Ojaja as well. Also a lot of promise from our franchisees in Nigeria to expand this model as well as expanding the Spurs and revamping them. This is Panarottis pizza. It's a clip on. It's a clip on to a Spur could this work elsewhere, carve out a piece of an existing bigger store and deliver a new experience. Just on the CSI side for Panarottis, they've just launched this new initiative. I think it's amazing. They've partnership -- they partnered with iSchoolAfrica and basically launched a coding and robotics club. Every year, they'll be contributing to money that's collected ZAR 1 for every top-up that will go towards feeding these young minds for their future life, which will be full of technology and innovation. So really wonderful to see these little youngsters so engaged in this new device. And to close off, just some added value. We relaunched our training division well over a year ago, really successfully with a new leader, a new team just doing amazing stuff online classroom and in-store. This is our new training facility in the Woodmead location, which our franchisees visit and our restaurant staff get trained. You can see that in the reporting period, we trained 9,300 people, of which about 3,000 of those were actually restaurant managers. So really wonderful to see the service provided to the franchisees. And leading up to a close, just to call out 1 or 2 things, we remain committed to our transformation journey. Transformation is not only about CSR. It's about doing the right thing. It's about having the right culture. It's about creating harmony in the workplace. You can see some of those stats. We've got greater good influencers now that run greater good weeks, which help get engagement from our own people. We continue to invest in learning and development, not only with ECD teachers, but our own people, rising leaders, learnerships for our factory people. We're hoping that by the end of the fiscal, we will have probably invested close to ZAR 5 million in learning and development. And many other projects which continue, the feeding of ECD children has reached 3,520. And just yesterday in the Eastern Cape, our corporate comms team and Spur Foundation team were at another school, giving girl learners their complementary sanitaryware for their whole high school career. So a lot of things happening, which is awesome, and we continue to put our franchisees on a pedestal with a purpose in action awards to recognize all this good work that's happening by our franchisees and by the group. Customer recognition is always important. I'm sure you've seen a lot of these, and you'll see it in the pack. But always important to see that when our customers vote for us, we see it outright, and we know that, that is just an affirmation of doing the right thing, but also getting feedback of the things we've constantly got to improve. So at this point, I thank you for your attention and for your time. I'm going to hand over to Cristina, who's going to take us through the financial and segmental review, and then we'll both be back to field some questions. Thank you.

Thank you, Val. Good morning, ladies and gentlemen. Let's start with the income statement. Val highlighted an 8% increase in sales, which then translates, as you see on the slide, to an 8.5% increase in revenue. And this uptick was largely driven by an 11.5% increase in sales to franchisees and external retail sales sources through our outsourced distributor, as can be seen on the slide on the third line. And it's also been complemented by a 7.5% increase in local franchise revenue and a 9.6% increase in international franchise revenue. Further down, gross profit percentage is at 31.5% versus 31.8% in the prior period. The other expenses have risen by 3.9% to -- sorry, to ZAR 452 million, and they made up of a number of items. Marketing expenses, ZAR 177 million is a 6.8% increase. Retail company store expenses, it was ZAR 67 million, a 6.6% increase. And then operation expenses of ZAR 88 million, which you'll see on the detailed income statement, increased by 16.3%. But that is as a result of a change in the operating model in managing our retail source businesses. And then admin expenses in terms of overheads was ZAR 126 million and increased by 1.2%, and this is unpacked later in the presentation. So if we move to the operating profit line, the operating profit margin all in is then 10.8% for the period compared to 10.1% in the prior period. As we look at the net finance income, you can see it's down to ZAR 8.8 million instead of ZAR 12.3 million, and that's due to lower prevailing interest rates but also lower cash on hand. What we did is we applied a higher -- there was a higher application of free cash to share repurchases as well as we increased the dividend paid to shareholders compared to the prior period. You'll remember the higher dividend in the second half of last year. Moving a line down to the equity accounting investment, that is profit on an associate of a company that's owned, it's a Doppio Zero company that we own as an associate. The tax rate is then 29.5% and profit is reported at ZAR 173 million, which as you can see on the bottom right, is a 12.4% increase period-on-period and earnings per share at a 13.9% increase period-on-period. We'll unpack the Spur brand remains our main contributor to the franchise revenue and profit. And the increased sales of 7.2% by Spur then translated into a revenue increase of 7% for Spur and a profit increase of 8% through cost control. And that's a healthy position at ZAR 161 million for Spur for the period. That brand, the Spur brand continues to be to generate also the best operating margin at -- of all the brands at 88%. The Spur brand is responsible for 50% of the network of stores that we have and represents 66% of the South African franchise revenue. If we look at the remaining sort of franchise businesses, it's the remaining brands in the group. Panarottis, which is depicted in the till, sort of third from the top, was the star performer, as Val has mentioned earlier, with a -- it's excelled with a value proposition that is appealing and sustainable and delivered a 17% increase in sales, which translated into an 18% increase in revenue and a 21% increase in profit. So again, cost management as well as revenue increase. RocoMamas, which is depicted in the orange, reported solid revenue and profit growth at 5% and 8%, respectively, 5% revenue, 8% profit. Both brands are holding robust net operating margins at 75% and 79%, respectively. Panarottis and RocoMamas represent 10% of the South African franchise revenue each. But well, it's actually 1.5% for Panarottis and 9.7% for RocoMamas. And I'm only that specific and exact because those 2 CEOs are highly competitive. So if I rounded the numbers, they would be very, very unhappy with me. John Dory's, which is depicted in the blue at the bottom, reported a negative growth on sales and has maintained its delivery of ZAR 9 million per annum revenue and a consistent sort of -- sorry, not per annum per half year and a consistent ZAR 4 million per half year on profit. Growth in this brand category does remain challenging. The specialty brands increased revenue, and you can see them -- I can't actually see what color that is, but the specialty brands increased sales by 9.1% with, as Val mentioned, Hussar and Doppio Zero still being the dominant brands within the specialty portfolio. And this converted into a nearly 12%, 11.6% increase in revenue and a 9% increase in profit. And as Val mentioned, effective 1 March 2026, the group has disposed of its 62% interest in Nikos back to the founding partners, and that will be reported in H2 of this financial year. This forms part of sort of the group's specialty portfolio rationalization strategy, focusing on the specialty areas that we as a group think we have expertise in. But I also take a moment to acknowledge and thank Niki, Nick, Pano and the late Peter for the wonderful partnership that we've had with them over the years. If we then move to the next slide and we look at the company-owned stores. So the group has 14 company-owned stores, 4 Hussar Grills, 10 in the Doppio Collection portfolio. And then we add another one, which is that associate I mentioned earlier, and then the 2 Modern Tailors entities. The retail, the company stores, you'll see shows a negative revenue growth of 5.5%. This is actually largely due to the closure in the prior period of Ciccio's, a concept store that we had, which was in the second half of the financial year. And then we also sold a Doppio Zero to a franchisee, as Val mentioned. So it's in the first quarter of the current financial year. So if you exclude those 2 stores, which are now no longer in the first half of this current period, the comparable revenue growth would not be minus 5.5%, but would be an increase of 2.4% and then with added efficiencies that have come through the running of the company-owned stores and removing the loss that came through in Ciccio's of the prior year and a profit on disposal of the company that we said we sold to a franchisee, that profit was ZAR 1.4 million. We then delivered a profit of 10.2%, which is a 17.8% increase period-on-period for the portfolio. Val did mention this, but the review of the portfolio of company-owned stores is also underway. We are currently finalizing the sale of a further 2 company-owned stores to franchisees. So that's part of our structure for transformation and also part of our structure to optimize the utilization of the company-owned stores. If we look at the Manufacturing and Distribution segment, we'll see revenue increased by 11.5%, which is obviously higher than the franchise or turnover increase of 8%. And that's really because of the increased sales to franchisees and external sales on our retail sources via our outsourced distributor. And then profit went up by 23%. The most material contributor to profit still remains the profit on procured items, but it has now also been complemented with the profit on the manufacturing sources. And the current period also includes the impact of our change in structure on the in-sourcing of the management of the group's retail sources, which was implemented in the second half of the previous financial year. And although that change has not yet resulted in a significant change in revenue, it has improved the operating margin. So it's really improved performance in all 3 of those categories that allowed us to generate that profit before tax increase of 23%. If we move to marketing funds. So overall, you see an increase in revenue of 2.8% on the right-hand side, and that appears lower than the increase in the sales that we spoke of 8% but that's purely due to the accounting for the revenue over a period of time in terms of IFRS 15 at least as opposed to a point in time. So if you adjust for that ZAR 7.8 million deferred income number at the bottom, it actually increases the marketing revenue and therefore, the period-on-period comparison is 7%, which makes more sense in line or compared to the sales turnover for the group. And it's a small contribution profit of ZAR 113 million. I think what's important to note is that it's important to note that the marketing -- each marketing fund for each of the brands are fully funded. So they have cash in bank. And that's obviously reflected within restricted cash because it's not for the group's benefit, but it is funded. It doesn't need a call on the group to run the business. And the surplus is reflected as a contract liability. This enables the further activation at least of customer-focused marketing activities. If we move to South Africa, what we call other and shared services, the table on the left, I think you've become accustomed to remembering that it discloses the operating performance for those activities which directly support the franchisees. So not overheads, but directly support. So that would be decor, training and then the work we do with our export departments and our call center. Our decor and export team have been very important in delivering the revamps and the -- or at least the input for the revamps and the new stores. And as we know, that's 38 new stores for the period and 29 revamped locations. But both revenue and profits were slightly behind what we were expecting and slightly behind the prior period. Our training department that Val showed just now, the pod is delivering good results and good -- and the good results in terms of training and interventions. It does remain a small cost center for the group. On the right-hand side, we reflect the costs associated with the support department, so your traditional head office. And you'll see income is in line. Net interest income is a bit down, as we explained earlier, with the lower cash balances. But I think what's more relevant is the second row from the bottom, which is the actual overhead costs. So what you'll see is it's reported at ZAR 103 million versus ZAR 101 million for the prior period, which is a 2.1% increase, and we'll unpack that in a little bit more detail on the next slide. So taking that 2.1% increase, the ZAR 103 million shared overheads, we strip out for you for comparability purposes, some of the sort of maybe key items that you would expect to say you should see they cost like the legal expenditure in support of the GPS matter and IFRS adjustments, including a gain on derecognition as you see of a lease of ZAR 1.4 million. So then we strip those out because those are inconsistent period-on-period, and we'll show you that the comparable shared overheads is actually ZAR 99 million and represents a 6.7% increase on the prior year, which is probably more in line with your expectations as opposed to the 1.2% increase period-on-period. We do provide more detail in the appendix, which takes that ZAR 99 million and breaks it down by department, so you can see the increase. But it's the larger increase is ZAR 3 million, ZAR 4 million that comes through the technology department as we've added a certain investment for interventions that we're undertaking under the guidance of our CRO or lead by CRO. And that is to support multiple channels and to partner with our marketing department in making sure that we deliver customer-centric fit-for-purpose, automated interventions and contact to consumers. We move to international. International, I think, had a good performance in the period. It's performing well. It had a 16% increase in revenue, as you can see on the slide, and a 37% increase in profits over the prior period. The international team have worked really hard to support our cross-border franchisees and opened up 9 new restaurants and revamped 3 in the first half. And I think Val might have mentioned this, but a highlight was the reintroduction of Spur into Lesotho, which happened in the latter part of the calendar 2025. And then the one John Dory's store was closed in the period in Zambia. Obviously, there are always some challenging trading conditions working in the Rest of Africa in several markets. Obviously, Botswana had some pressure with contraction in the diamond industry, and there's also been a change in government administration. Zambia continue to struggle with energy crises that have been running for about 2 years. But pleasingly, what is good to see is that our costs continue to be maintained. And on a constant exchange rate basis, costs increased also by about 6%. So it's -- costs are in hand. If we look at our comparable profit analysis, we start with our profit before income tax at ZAR 244 million. You're used to seeing us strip out marketing funds because it's not for us to -- we do control, but it's not for our account. And we see that, that profit before income tax was an increase of 13%. When we reduce our profit by -- to take out the extraordinaries, the profit on disposal from the sale of the one entity, the gain on derecognition of lease, and I won't read through all of those, but it's also the legal costs on GPS. We left with a comparable profit before tax of ZAR 246 million, not materially different to the ZAR 244 million. But because there were some one-offs in the prior period, it actually then represents an 11.7% increase as opposed to a 13% increase. And we do that for full transparency so that you can see the adjustment. All right. On to balance sheet, slightly small, but balance sheet, you see the PPE number, largely unchanged. We've had about ZAR 13 million additions in CapEx, and that's offset by depreciation of ZAR 16 million. To give you a flare of what those assets are, sort of ZAR 4 million in our head office, a roof repair of ZAR 1.9 million, a revamp of our stock hold of ZAR 3 million and ZAR 2 million in Doppio Collection for revamps of our stores. There's also the right-of-use asset that you see that offsets the right-of-use liability. But the most material asset obviously remains the goodwill balance on our balance sheet of ZAR 499 million. It's largely unchanged. The only thing that's moved is the amortization of licenses. Other noncurrent assets of ZAR 6 million, ZAR 3 million, our investment in associate and ZAR 3 million deferred tax assets, all temporary differences, no assessed losses. I'll cover the movement on the working capital, so inventory and creditors and debtors on the separate slide when we do the cash flow statement. But if you look at the -- I'm going to move on to the slide, if you look at the contract liabilities. So if you look at current and long term together, they equate a number of ZAR 65 million, and they consist of the unspent marketing funds, circa ZAR 27 million that I mentioned previously as well as the balance of ZAR 38 million, which is the initial license fees paid by franchisees to the group on conclusion of a franchise agreement, which is then recognized over a period of time on the -- into the income statement. So it's carried on the balance sheet and unwound over the franchise agreement. Okay. And just to note, a reminder to shareholders, we obviously still have a material contingent liability that we disclosed and that's fully disclosed in the notes to the interim financials. I think it's Note 13 mark there. So as you know, the shareholders are aware, there was a GPS claim. It was -- matter was referred to arbitration by agreement. Closing arguments were heard on the 9th of December 2024. Nearly a year later, we received a part award by part award, part award on merit only, not on quantum, and that award was against the group that was in August 2025. The arbitration -- so where are we now currently? The arbitration is being reopened to address matters of quantum. The claim continues to be disclosed as a contingent liability. So no liabilities recorded on our balance sheet as at the reporting date, and we'll await the arbitrators finalization of the appeal -- not the appeal pardon, finalization of the arbitration and then merit determination on claim B and then quantum determination before we can bring this matter to close. From a cash flow perspective, as you know, the group reported profit before tax of ZAR 245 million. And you will see that, that increased by ZAR 3 million to get to operating profit of ZAR 247 million. So really, it's the add-back of noncash items. So in essence, depreciation of ZAR 16 million was offset by ZAR 17 million movement in employee-related accruals and liabilities. So we landed up with just -- the net effect of the noncash items is only ZAR 3 million. Working capital reflects an outflow of ZAR 30 million. I'll explain that now. And well, let's do that now. It's constituted by a change in trade payables. As you can see, a positive inflow of ZAR 12 million and then inventories outflow of ZAR 10 million, and that's additional inventory that we carried at year-end or at least reporting period end with our outsourced distributor, mainly the inventory that goes to our franchisees as well as the retail sources that are on stands. The outflow -- so that's normalized. The outflow of ZAR 32 million on the trade and other receivables is really just due to the seasonality of our business. Trade receivables are generally higher in December because of the increased volume in December relative to June. So you would expect that period-on-period, the debtors value would be higher, and that shows then as a trade and other receivables outflow. We can, however, confirm that the cash comes in the back in the month of January. And so it's normalized certainly by the end of the first month post December, so in January. So this generated a healthy cash generated from operations, we feel of ZAR 217 million, and that represents a 21% increase over the prior period. If I finish off, I think, just with the cash flow, we've covered the cash generated from operations. We've covered net finance income. You can see then we paid ZAR 230 million to key stakeholders. So SARS received ZAR 72 million of that, and our shareholders received ZAR 165 million in terms of dividends. You can see that in investing activities, that ZAR 10 million is largely the proceeds on disposal settled by the ZAR 13 million that I said we spent on investing in CapEx. And then if we look at the financing activities that sit at ZAR 61 million, ZAR 57 million. So the most of it was spent on share repurchase. a portion of it for share buybacks and a portion of it for our long-term incentive plan. ZAR 8 million spent in settlement of our lease liabilities, then external debt was raised of ZAR 21 million for Doppio Collection and ZAR 16 million was paid out to minority partners. So that then leaves us with -- sorry, I think there's something with my slide. Sorry, excuse me. No, just one back, please. And just, yes. So as I said, we've now got cash and cash equivalents that are at ZAR 458 million, lower than the closing balance at June. But as I said, it's a result of higher share buybacks as well as the increased dividend to shareholders relative to the prior comparative period. And then there was also utilization of marketing funds that's in unrestricted cash of ZAR 9.4 million. The allocation of the cash, obviously, is key for the group. It is a key focus for the Board of Directors as discussed at every Board meeting. And obviously, the Board has to consider contingent liabilities, any future capital expenditure that is required. And of course, we'll also consider any investments that if they meet the return hurdles that are necessary for the group to achieve. And obviously, as we said from a dividend perspective, of that ZAR 402 million unrestricted cash, the group will pay out ZAR 109 million of that to shareholders in the form of dividends on the 23rd of March. I'll now hand over back to Val to continue the presentation.

Well done, Cristina. Well done. Great. Where are we? Good. Thank you, Cristina. That was wonderful. Good. Just a quick overview of the way forward. This is a long discussion, but we'll quickly give you a snapshot of what we envisage. I think you've seen our business model going forward. We presented it at year-end results, where we're on a journey of value creation across a focus of how we bring new value to our business. That could be innovation. It could be game-changing initiatives. It could be new strategies. It could be new formats, et cetera. What we're going to do to look at more value. So doing all the things that we do right, do more of it because we know we get the return and we know consumers love it. And then obviously, to look at continuous improvement. In every business, we've got to look at how we're going to look sharper. We know there's changing consumer needs. So we've got to do and offer a lot more better value in various areas of the business. This year, as we move ahead, as we close the financial year and move into fiscal '27, we've adopted a mindset of value creation with purpose so that we can ensure that every single initiative that we do is delivering a purposeful and impactful situation to anything that we choose to do. So that's quite key. Our targets remain the same. You've seen it when we announced it at the end of last year. We plan to open a total of 42 new restaurants in South Africa and 12 in the rest of Africa and then continue to focus on really driving growth with the brands that are growing and are healthy and stable and looking at how we mitigate risk with some of the smaller brands that need a different type of attention. We remain committed to effective and responsible capital allocation, either in share buybacks, as you saw this year -- this last half or looking at special dividends or looking at any possible investments that would grow our portfolio to ensure sustainability and growth of the group. So I'm now going to open up to questions, and I think Graeme is fielding them for us.

Thank you. Thanks, Val. A few questions that have come in on the webcast. The first being from Charl Gous at Bateleur Capital. Charl says, well done on a good set of results. And he says, how should investors think about the dividend payout ratio for the 2026 financial year. Last year, the second half dividend payment -- payout ratio was substantially higher than normal. Could you please provide some color on the expected payout ratio?

Thank you for the question. So yes, we did pay out a higher dividend in the second half than traditional or expected by shareholders. It represented about 100% of the headline earnings or adjusted headline earnings. And the reason why we did that was because we did not have a better application for that cash, and we felt it appropriate to distribute an additional increase to shareholders. We would -- we don't have a dividend policy. We look at our dividend distribution, as we said at every Board meeting based on the conditions of the company and where we have -- where we feel it's best to allocate capital. So we don't have a policy. But what we can say is that as contingent liabilities matters reviewed, the idea is that as contingent liabilities matters do not materialize. And should we have the ability to increase our dividend payout, we will do so, but it is going to be very specific to the conditions we follow. At the moment, we have no set policy for the end of the year, but we will assess it at the end of the period.

Thanks, Cristina. Then 2 questions from Nick Wilson from News24. His first one is, with the disappointing sales fall at John Dory's, is Spur considering exiting the brand? Or does it believe it can be turned around? The seafood sector is quite pricey, so it's a difficult segment to play in. Any color would be appreciated. Thanks.

Okay. Nick, good question. I'm not going to give you an answer. It's like any portfolio of brands. Not all your brands are at the same maturity in their brand life cycle. So this one has challenged us a little more because of the sensitivity of the seafood category. We think we've got a short-term turnaround plan for it. I think it might need a little bit more creative thinking and innovative thinking. So at this stage, we do not intend disposing of the John Dory's brand. Thank you.

Thanks, Val. And then a second question from Nick. I see the group is also -- is exiting Nikos, selling the brand back to the founding family. I was hoping for a bit of color on why this brand did not work in the portfolio.

Okay. Nick, it's not that the Nikos brand didn't work. I mean you could have a look at its profit delivery over the last period. It somehow just didn't attract the interest of our franchise investors. What's very important with any brand, yes, is the health of the brand to the consumer. That's important. And we know there are lots of Greek offerings in the marketplace owned by small players. But I think it was more around the fact that -- our multiple franchisees weren't interested in Nikos. It was a cuisine that was difficult to execute. They are a lot more comfortable buying and investing in brands where they've got a core competency, and that's grilling of meat, making breakfast, serving a variety of chicken dishes. So we couldn't get enough traction to really get growth. So our repositioning of the specialty portfolio is around brand names and menu offerings that delivers on our competency. So that's why you'll see a big emphasis around Hussar Grill and Doppio Zero, followed by the pasta and pizza brands like Piza e Vino and Casa Bella.

Thanks, Val. Then a question for Cristina from Ziyad Parekh from WealthVest. Do you have insurance against the GPS damages claim, assuming an amount is finalized and settled?

So we have insurance, but we wouldn't have an insurance on the contractual claim. There is insurance on the delictual claim. Yes, that's probably -- that's my response.

Thanks, Cristina. A question from Georgia Hinckley from Granate Asset Management. What would you attribute John Dory's main struggles underperformance to?

Yes, it's an interesting one. And because I'm sort of a brand person, I think it is important to know that brands aren't only about the value proposition and the food you serve. It's about the image that you occupy in the consumers' minds. So I think from the early years of John Dory's at the time when the leading seafood brand was really at its peak, John Dory's was really successful in KZN, nowhere else. And it was quite an unusual positioning. It worked for the KZN market. And as the brand started expanding into other regions, it didn't succeed as well as it had in KZN. So I think it's a lot about just the perception of the actual brand image and brand proposition that I think never really got out of the starting blocks. And when you start entering Cape Town, you start entering Johannesburg, where there's an array of great brands and great offerings, it struggles to perform. So I think it was -- I think a lot of it has to do with its history. That's why this change that we're about to embark on is probably going to be a little bit more dramatic to look at how we create an offering that is unique, has a very distinct taste and appeals to that seafood lover.

Thanks, Val. Then there's a question from Charl again at Bateleur Capital. Could you please provide guidance as to the expected proceeds from the sale of the Nikos brand?

Okay. It's one for you.

Yes. So it won't be a material amount. But certainly -- so I'm not going to give you the exact number, but it is not a material number to the results. It is -- it does ensure a profit on sale. It does ensure recovery of our initial capital costs and earnings and the like. So I think shareholders will be pleased with its results.

Thank you. Val and Cristina, no further questions on the webcast. Thank you.

Good. Thank you, Graeme and thank you all.