Premier Group: Revenue Forecast Jumps Post-RFG Acquisition

JSE-listed consumer goods company Premier Group says its revenue is expected to increase by between 35% and 45%, following the acquisition of RFG Holdings Limited. As part of the acquisition, which was completed in March, Premier issued an additional 37.5 million ordinary shares. The RFG business has subsequently been integrated into the group as the Premier Culinary division. “The benefits of operating as a combined business have begun to deliver the expected financial performance,” the group said in a trading update for the six months ending 30 September on Sens on Tuesday. Read: Theres a lot of opportunity to drive costs out Premier CEO RFG earnings slide as Premier takeover looms Premier posts double-digit earnings growth, lifts dividend It said volume growth across various categories has translated into a notable uplift in operating earnings, supported by improved efficiencies and consistent operational execution. “Sustained capital investment across the group’s diverse asset base, focused on manufacturing excellence, the development of our people and maintaining highly efficient logistics and distribution channels, continues to deliver tangible growth.” Half-year earnings are expected to rise between 22% and 32% when the producer releases its interim results in November. Fruit processing Western Cape In July 2026, the Premier Culinary division completed a comprehensive assessment of the dire economic prospects of the global fruit-canning industry. The industry has been in long-term decline, with canneries closing globally as demand for canned fruit products has dramatically decreased. As a result, the export prospects of the Fruit Processing Western Cape (FPCW) business, which exports approximately 90% of its production, have deteriorated rapidly to the point where the facility is no longer economically viable. Earlier in the year, the group’s board decided not to reopen the facility for the upcoming fruit-harvest season, subject to the completion of the applicable legal and regulatory processes. Read: Premier Foods factory closure: Talks break down Cosatu shocked by exclusion from Premier Foods factory closure talks SAs fruit canning industry under threat as Premier Foods plans closure Life in Tulbagh depends on its canning factory, which is now shutting down The Premier Culinary division said it continues to engage constructively with affected stakeholders to mitigate the adverse consequences of this decision. “Premier’s efforts to mitigate and absorb the adverse consequences for industry stakeholders will incur financial losses for the group, however, the group does not expect there to be a material revision in the financial guidance provided.” Read: Life in Tulbagh depends on its canning factory, which is now shutting down Tiger Brands confirms plan to sell loss-making fruit canning plant The company said it’s still in the process of establishing whether the proposed retrenchments relating to FPWC constitute a breach of the merger conditions finalised for the RFG acquisition earlier in the year. Premier’s acquisition of RFG was approved by the Competition Tribunal on 6 March 2026, subject to, among other conditions, no merger-related retrenchments being implemented for a period of three years. But the Competition Commission later received a formal complaint from the South African Clothing and Textile Workers’ Union on the matter. “Premier is cooperating fully with the Commission and is providing all information requested as part of its investigation,” the group said, adding that the proposed closure of the FPWC facility is solely as a result from the significant structural economic challenges affecting the global fruit-canning industry and is thus independent of the RFG transaction. Follow us on our official channels: or create a free account . Free users can leave 4 comments per month. Subscribers can leave unlimited comments via our website and app .