{
  "id": 15434618,
  "title": "WHERE TO INVEST: Can iOCO deliver on turnaround promises and unlock future growth?",
  "url": "https://urgent.news/2026/10/18/where-to-invest-can-ioco-deliver-on-turnaround-promises-and-unlock",
  "topic": "world",
  "section": "World",
  "published": "2026-10-18T15:28:32.000Z",
  "source": {
    "name": "Daily Maverick",
    "slug": "daily-maverick",
    "url": "https://www.dailymaverick.co.za/article/2026-10-18-can-ioco-deliver-on-turnaround-promises-and-unlock-future-growth/"
  },
  "original_language": "en",
  "account": "ICT services provider iOCO, formerly known as EOH, has undergone a significant turnaround on the JSE. The business, once plagued by legacy issues, is now focused on future growth rather than crisis survival. The company has seen a remarkable increase in its share price, more than quadrupling from R4.00 in 2024 to a peak of R4.80 in 2026. However, the price has since settled at R4.00, trading at a price-to-earnings (P/E) ratio of around 7x, which is typical for a mid-cap on the JSE.\n\nThe earnings per share (EPS) jump in 2026 was not solely due to revenue growth, as the group only increased its revenue by 3%. The main driver was a 6.4% decrease in operating costs, leading to a 21% rise in adjusted core profits (EBITDA). Despite this, gross profit margins decreased slightly, and gross profit in rand terms declined by 0.8%.\n\nThe turnaround has been made possible by eliminating loss-making business units and reducing net interest-bearing debt from over R2-billion in FY21 to just R480-million in FY26. Investors who entered the stock after the capital raise are now benefiting from the company's improved financial position. Management has guided a significant capital allocation of R1.15-billion over the next two years, with potential further acquisitions ranging from R60-million to R600-million.",
  "summary": "After a dramatic recovery from its EOH legacy problems, ICT services provider iOCO faces a crucial test: allocate forecast cash flow wisely while growing its core businesses.",
  "key_points": [
    "iOCO, formerly EOH, underwent significant turnaround on JSE",
    "Share price quadrupled from R4.00 in 2024 to R4.80 in 2026",
    "Financial improvement driven by cost cuts and debt reduction"
  ],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 1,
    "also_reported_by": []
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}