JSE higher as rand strength lifts SA Inc.; BYI and iOCO diverge
The session showed how a stronger rand can lift SA Inc. even as global risk wobbles, while tech results tested whether guidance is enough when margins compress.
A firmer rand lifted domestic-facing shares on Tuesday, but the session's real story was the divergence between two tech results: Bytes Technology confirmed guidance yet sold off on margin compression, while iOCO's solid print failed to satisfy.
How the day unfolded
The session opened cautiously after an overnight VIX spike and a 1.99% slide in the Nikkei, but domestic-facing names found support as the currency firmed against the dollar. By midday the Top 40 was up 1.15% and the All Share up 1.06%, with Resource 10 up 2.22% on PGM strength. Into the close the rotation partially unwound: the Top 40 finished +0.59% and the All Share +0.60%, with Energy leading and Technology and Healthcare lagging.
The Financial 15 added 1.24% and the SA listed property index rose 0.93%, while the rand strengthened 0.52% to R16.50 against the dollar. Brent crude slipped 0.77% but Energy still posted the best sector print at +2.09%, led by Thungela and Exxaro. Technology fell 0.75% and Healthcare 0.98% as Bytes and iOCO results weighed.
By the numbers
| Index | Close | Change |
|---|---|---|
| All Share | 109,408 | +0.60% |
| Top 40 | 101,562 | +0.59% |
| Mid Cap | 105,707 | +1.34% |
| Small Cap | 107,665 | +0.46% |
| Resource 20 | 119,202 | +0.23% |
| Industrial 25 | 119,200 | +0.49% |
| Financial 15 | 24,897 | +1.24% |
| FINANCIALS AND INDUSTRIALS | 12,841 | +0.82% |
| SA LISTED PROPERTY INDEX | 488.81 | +0.93% |
| Sector | Close | Change |
|---|---|---|
| FTSE/JSE Energy | 25,176 | +2.09% |
| FTSE/JSE Oil, Gas and Coal | 140,628 | +2.09% |
| FTSE/JSE Food Producers | 8,031 | +1.52% |
| FTSE/JSE General Industrials | 108.31 | +1.43% |
| FTSE/JSE Construction & Materials | 22.11 | -0.32% |
| FTSE/JSE Personal Goods | 3,457 | -0.69% |
| FTSE/JSE Technology | 44,892 | -0.75% |
| FTSE/JSE Health Care | 5,295 | -0.98% |
Breadth: 96 advances, 57 declines, 8 unchanged.
| Macro | Level | Change |
|---|---|---|
| Rand/USD | 16.5018 | -0.52% |
| EUR/ZAR | 18.4683 | -0.70% |
| GBP/ZAR | 21.8563 | -0.39% |
| Gold | 4,163.82 | -0.16% |
| Platinum | 1,677.85 | -0.92% |
| Palladium | 1,129 | -1.47% |
| Brent | 105.83 | -0.77% |
| Iron Ore | 90.83 | +0.17% |
| S&P 500 | 7,793.78 | -0.17% |
| Nasdaq 100 | 27,178.82 | -0.25% |
| FTSE 100 | 10,649.83 | -0.06% |
| VIX | 15.24 | +0.20% |
| Bitcoin | 83,444.08 | +2.06% |
BYI Bytes Technology HY27 results confirm guidance but shares fall 4.18% as margin compression weighs; CyberOne acquisition disclosed
Bytes Technology reported revenue up 18.7% to £128.3m and gross profit up 17.8% to £97.1m for the six months to 31 August, confirming the guidance raise made in September (Bytes Technology HY27 results and dividend). The interim dividend rose 3.1% to 3.3p, and cash conversion improved to 45.7% from 34.4%.
Operating profit grew only 6.6% to £35.3m, however, as the group absorbed roughly half of the flagged £4.5m cost normalisation. Operating profit as a percentage of gross profit compressed to 36.4% from 40.2%, the margin story the market is watching.
Separately, Bytes is acquiring UK cyber security firm CyberOne for an initial £19.4m in cash plus performance-linked payments over the next 16 months (Bytes Technology CyberOne acquisition). CyberOne generated £9.5m of revenue in the 12 months to July 2026, but the filing discloses no profit or EBITDA figure, so the deal's earnings valuation cannot yet be sized.
IOC iOCO FY26 HEPS up 42% to 57c, guides FY27 EBITDA of at least R680m
iOCO's audited FY26 results landed inside the September trading statement ranges, with HEPS up 42% to 57 cents and adjusted EBITDA up 21% to R624 million (iOCO FY26 audited results and FY27 guidance). Revenue rose 3% to R5.73 billion on a constant-currency basis, and the EBITDA margin improved to 11% from 9%.
FY27 guidance targets EBITDA of at least R680 million and recurring revenue above 60%, implying continued double-digit growth. The guidance is conditional on avoiding major business disruption, macroeconomic deterioration and significant tax, interest-rate or exchange-rate changes, and it has not been reviewed by the external auditors.
The shares fell 3.75% after the print, suggesting the market wanted more than confirmation of numbers it already had.
ARI ARM to defend Assore legal proceedings over Assmang management rights, initiates counterclaims
ARM and Assmang have been served with a summons by Assore over management rights and operational information at the 50/50 Assmang joint venture (ARM Assore legal proceedings and counterclaims). ARM says, based on legal advice, that the claims have no substantive merit and will counterclaim over its contractual rights to manage Assmang and obtain information needed for legal and regulatory compliance.
No quantum is disclosed for either side, and the dispute strikes at the core governance of ARM's key joint venture. The share had already fallen 12.4% into the print, and the market cannot yet size the legal exposure.
TFG TFG London hit by cybersecurity incident; stores open but systems down and data-breach exposure unresolved
TFG London identified a cybersecurity incident on 11 October affecting IT systems supporting the Phase Eight, Hobbs and Whistles brands (TFG London cybersecurity incident). Stores remain open and trading, but several systems are still down and the investigation has not established whether personal or sensitive data was compromised.
TFG Africa and TFG Australia are unaffected, and Inside Story and White Stuff were not hit. The filing quantifies nothing — no revenue impact, remediation cost or timeline — leaving an open-ended disruption with a potential data-breach tail.
THA Tharisa FY26 PGM output up 11% to 153.7koz, basket price jumps 61%
Tharisa's FY2026 production report shows PGM output rose to 153.7koz from 138.3koz, in line with guidance, while the average PGM basket price jumped to US$2,607/oz from US$1,615/oz (Tharisa FY26 production report). Chrome output was broadly flat at 1,563.8kt.
The group swung to net debt of US$51.0m from net cash of US$10.7m, reflecting the US$300m bond and growth capex at Tharisa Underground and Karo Platinum. The next test is whether Karo's construction stays on schedule and on budget through to first ore in Q4 CY2027.
RDF Redefine Europe cuts Horse Group stake to 17.5% in Polish JV restructure
Redefine Europe's equity interest in Polish retail joint venture Horse Group falls from 50% to 17.5%, with its EUR50 million investment now ranking behind RMBIA and EPP GP in the distribution waterfall. The restructure facilitated Horse JV Lux's exit ahead of its March 2027 maturity, but no pro-forma financial effects or NAV impact are disclosed, so the net effect on distributable income cannot yet be verified.
SDL Southern Palladium's updated PFS doubles Bengwenyama NPV to US$1.96bn, IRR 39.1%
Southern Palladium's updated PFS lifts Bengwenyama's post-tax NPV to US$1,961 million, up 129% from US$857 million, and the IRR to 39.1% from 26.4%. The step-change comes from DFS-level metallurgy turning chrome into a co-product at 85.6% recovery, lifting steady-state chrome concentrate to about 1 Mtpa. The DFS due at end-Q1 2027 is the next confirmation point.
Movers explained
Top gainers were largely unexplained: Clicks rose 9.46% despite Healthcare being the worst sector, Argent Industrial added 8.14% and Purple Group 5.88% with no disclosed catalyst, and Valterra gained 4.23% even as platinum fell 0.92% and the rand strengthened. Thungela's 3.69% gain tracked Energy's 2.09% sector print. On the downside, ASP Isotopes fell 10.80% with no linked SENS or sector driver, Jubilee Metals dropped 9.80% on a thinly traded line, and Libstar lost 4.00% despite Consumer Defensive being a top sector. ArcelorMittal's 6.35% decline was SENS-linked with Brent and copper headwinds, while Bytes Technology fell 4.18% on its results and CyberOne acquisition.
Director dealings
Lighthouse Properties (LTE) director Desmond de Beer acquired shares indirectly worth R44.8m on 12 October 2026.
What we are watching
We are watching AVI, DSY and DTC for the next corporate updates, and whether the Energy sector's leadership persists while Technology digests the Bytes and iOCO results. Ninety One's interim results are due on 16 November.
Frequently asked
› Why did Bytes Technology shares fall despite confirming guidance?
Operating profit grew only 6.6% to £35.3m while gross profit rose 17.8%, compressing operating margin to 36.4% from 40.2%. The market focused on margin pressure and the undisclosed earnings impact of the CyberOne acquisition.
› What did iOCO report for FY26 and what is its FY27 guidance?
iOCO reported HEPS up 42% to 57 cents and adjusted EBITDA up 21% to R624m. FY27 guidance targets EBITDA of at least R680m and recurring revenue above 60%, conditional on no major disruption or macro deterioration.
› How did the JSE perform on Tuesday 13 October 2026?
The Top 40 closed 0.59% higher at 101,562 and the All Share 0.60% higher at 109,408. Energy led sectors up 2.09%, while Technology fell 0.75% and Healthcare fell 0.98%.
› What is the ARM and Assore legal dispute about?
Assore has served a summons over management rights and operational information at the 50/50 Assmang joint venture. ARM says the claims have no substantive merit and will counterclaim over its contractual rights to manage Assmang.
› What happened with TFG London's cybersecurity incident?
TFG London identified a cybersecurity incident on 11 October affecting IT systems for Phase Eight, Hobbs and Whistles. Stores remain open, but systems are down and it is not yet known whether personal or sensitive data was compromised.
› What did Tharisa's FY26 production report show?
PGM output rose 11% to 153.7koz and the average PGM basket price jumped 61% to US$2,607/oz. Chrome output was broadly flat, and the group swung to net debt of US$51.0m from net cash of US$10.7m.