RCL Foods earnings rise thanks to strong recovery of its baking division

Stephen Grootes speaks to RCL Foods CEO, Paul Cruickshank about the group’s full year financial results.

Listen to the interview in the audio player below.

RCL Foods on Monday reported that its Headline Earnings are up by nearly 29% for the year to the end of June 2025.

The delivered a strong performance notwithstanding subdued market conditions and volume pressure across most categories.

RCL Foods is a leading South African food manufacturer, producing a wide range of branded and private label food products, including Yum-Yum peanut butter, Bobtail and 5-Star maize meal.

It's baking division seems to have made a strong turnaround, despite issues related to the price of sugar and sugar exports.

The particular division increased revenue by just 1,8%, but the underlying EBITDA of that dvision was at nearly 55%.

Speaking to Stephen Grootes on The Money Show, RCL Foods CEO, Paul Cruickshank says it's been a great year for its baking business. 

"...revenue is very muted. Volume is under pressure in most categories. There are some areas within baking that has improved, but we focused very much on the last 12 months on costs that are in our control..."

- Paul Cruickshank, CEO - RCL Foods

"Some of our cost-savings that came through would've been on lower amounts of diesel as a consequence of less loadshedding...but the bulk of it would've been initiatives which we would've donw ourselves."

- Paul Cruickshank, CEO - RCL Foods

"Bread remains a challenge market. We certainly not stealing share from anybody. Pricing parity in bread is actually an issue, and remains so. Although the bread part of the business did improve over the prior year."

- Paul Cruickshank, CEO - RCL Foods

Scroll to the top of the article to listen to the full interview.