Pick n Pay is aggressively opening new liquor and clothing stores to expand its reach
Pick n Pay sê dat hy nóg ‘n beter finansiële vertoning in die eerste helfte van die 2017-boekjaar gelewer het.
- Pick n Pay said it will add more liquor and clothing stores to its stable to expand its reach.
- Alcohol and clothing sales affected by Covid-19 restrictions, retailer said in results
- He also pledged to purchase at least 25 million bottles of South African wine to support the local industry.
Retailer Pick n Pay said it will add more liquor and clothing stores to its stable to expand its reach.
On Wednesday, the retailer released its results for the 52 weeks ended February 28, in which it mentioned that alcohol and clothing sales had been severely affected by trade restrictions induced by Covid-19.
The group lost 209 alcohol trading days during the year and recorded negative growth of 31% in the group’s alcohol and tobacco sales.
To address this, the group said it added 35 new liquor stores during the year and plans to add 40 more in fiscal 2022.
“To help revive the local wine industry, Pick n Pay has pledged to purchase at least 25 million bottles of South African wine this year and will work closely with farmers to increase sales through the launch new ranges, strong promotions and more dedicated storage space, ”said the group.
According to Pick n Pay, clothing sales were hit hard by trade restrictions in the first half of the year. Pick n Pay apparel sales grew 1.3% year-over-year.
The group has increased its local sourcing by nearly 40% year-over-year to mitigate supply chain disruptions from Covid-19, reduce order times and improve availability.
“The group added 22 clothing stores during the year and will continue to expand its reach through targeted investments in stand-alone clothing stores, additional space in supermarkets and a growing online offering. The group plans to add 30 new clothing stores during fiscal year 2022.
Group revenue grew 4.3% year-on-year to R93.1 billion, while the group saw 10% sales growth in food and basic groceries in South Africa
Overall earnings per share fell 21.4% to 229.31 cents per share.
The group’s “rest of Africa” segment contributed R 4.3 billion to sector revenue, down 8.6% from last year. This includes operations in Botswana, Lesotho, Namibia, Swaziland and Zambia.
The group said the board owed a debt of gratitude to outgoing CEO Richard Brasher for his leadership during an eight-year term, and in particular for his commitment this year, when he delayed management. of the company during the Covid-19 crisis.
“The board expresses its sincere thanks to Richard for his invaluable contribution and wishes him a happy retirement.”
“This is my last streak of results before I retire. It has been a real privilege to lead the group for the past eight years. My legacy is to leave the company stronger than I found it – equipped to win in the years to come. I would like to thank the president, the Ackerman family and the board of directors for their continued support, “Brasher said in a statement.
Brasher also announced the launch of PicknPay.com, an online platform where customers can shop seamlessly with Pick n Pay at any time.
“My best wishes to Pieter Boone, who succeeds me today. He is an exceptional retailer and well positioned to move the business forward with confidence, ”Brasher said.