Shoprite beats profit expectations
Fin24 - Aug 23rd 2011, 10:33
Johannesburg - Shoprite Holdings, Africa's biggest grocery retailer, beat analysts estimates with a 12.4% rise in full-year profit, as lower interest rates and a tentative economic recovery boost consumer spending.
Shoprite, which runs discount stores of the same name and the more upscale chain Checkers, said on Tuesday diluted headline earnings per share totalled 507.6c in the year to end June from 451.6c a year earlier.
Analysts on average had expected headline EPS - the primary profit measure in South Africa - to come in at 498.3c, according to a Thomson Reuters poll of 12 analysts.
While South African food merchants sold more products in the past year thanks to lower interest rates and a slow recovery in consumer spending, items have been sold at bargain prices.
Shoprite said its internal food inflation on average was flat during the period, compared with a 2.25 rise a year earlier.
The company, one of the retailers seen likely to lose from Walmart's entry into South Africa, said while prices are expected to rise in the coming fiscal year, they will be kept in check by intensified competition.
South African retailers are gearing up to take on the world's biggest retailer, which took a 51% stake in Massmart Holdings and said it would expand the local retailer's food retailing business.
"Competition is expected to further intensify. However, we believe the group is well equipped to deal with the challenges that will confront it in the new financial year," Shoprite said.
Its share price was little changed early on Tuesday, trading 0.19% lower compared to a 1.1% rise in the blue chip Top 40 - (Tradeable) [JSE:J200].
Slight upturn in prospects for SA 2019/2020 stone fruit exports
16/10/2019 - 10:11
The latest forecast for South Africa's stone fruit season points to improved volumes compared to last year although the continued effects of drought in some areas and adverse weather during pollination has impacted the full potential, an industry body said on Tuesday.
Shoprite makes significant positive impact
10/10/2019 - 11:01
The Shoprite Group’s significant positive impact in the countries and communities in which it operates have seen it subsidise staple products to the value of R141 million, donate surplus food and goods to the value of R60.4 million and serve more than 20 million meals to communities in need in the 2019 financial year.
Shoprite works to prevent childhood stunting
08/10/2019 - 09:46
The Shoprite Group has announced investment in several specific interventions to prevent childhood stunting which leaves one in four South African children under the age of five with lifelong cognitive, educational and employment challenges.
From a rubbish dump to a thriving community garden
03/10/2019 - 15:55
Due to the care and dedication of a group of local women, what was once a rubbish dump behind Sediba-Thuto Primary School in Mapetla, Soweto has been transformed into a thriving vegetable garden the size of a soccer field.
Community champions help rural orphans
01/10/2019 - 09:14
In 2004, when Charmaine and Andre Krugel were asked by community members of the Huntington Trust in Bushbuckridge, Mpumalanga, to help orphans and vulnerable children in the village, they couldn’t say no.