South Africa’s largest e-commerce player, Takealot Group, expects to report its first full-year profit in the 2026 financial year, a milestone achievement 15 years after its launch. The company traces its roots to the early 2010s when Kim Reid and Tiger Global Management acquired the e-commerce business Take2, rebranding and relaunching it as takealot.com in June 2011.
Over the years, Takealot expanded its footprint through strategic moves, including the 2014 launch of Mr Delivery (now Mr D) and fashion retailer Superbalist. In 2015, Takealot merged with Kalahari, and Naspers, South Africa’s most valuable company, acquired a 46.5% stake for R1.2 billion, later increasing its shareholding to over 95% in 2018. Despite dominating South Africa’s e-commerce market for over a decade, Takealot prioritized growth over profitability—until now.
Profitability Within Reach
Speaking after the release of interim results, Takealot CFO Tessa Ackermann confirmed that the group is on track to turn a profit this year. The company posted a R68 million EBIT loss in the first half of FY2026 (ending September 2025), but expects second-half gains—driven by Black Friday and the festive season—to push it into the black. “The next 60 days are critical,” Ackermann noted, expressing confidence that strong holiday sales will secure the group’s first-ever full-year profit.
Mr D: The Group’s Star Performer
While Takealot approaches profitability, its delivery arm Mr D has already achieved that milestone. After Superbalist was sold in 2024, Mr D became profitable in FY2024 and has continued its upward trajectory.
In the first half of FY2026, Mr D recorded:
- 12% revenue growth to $65 million (R1.1 billion)
- 14% GMV growth, with grocery GMV surging 47%
- Adjusted EBITDA of $3 million (R50 million)
Mr D’s success is fueled by expanding quick-delivery services, a trend gaining traction globally and in South Africa. CEO Frederik Zietsman highlighted partnerships with Frozen For You, Toy Kingdom, and Nespresso, alongside integration of TakealotMore, the group’s subscription service offering free delivery across restaurants, grocery, and Takealot’s marketplace. TakealotMore already partners with Pick n Pay and News24, with additional collaborations in the pipeline.
