African businesses help boost Shoprite turnover by 14%

Cape Town - The Shoprite Group [JSE:SHP] increased its turnover by 14.0% from R62.5 billion to R71.3 billion for the six months to December 2016, the Group said in a note to shareholders. 

“Sales in the South African supermarket operation continued in the same trend as the first six months of the calendar year and, supported by good festive trading, increased by 10.7%. Growth on a like-for-like basis was 7.4% with internal inflation averaging 7.4% for the period.” 
 
The group’s non-South African supermarkets recorded sales growth of 32.3% assisted by higher inflation and achieved in the face of low commodity prices and foreign exchange shortages in certain countries. Growth on a like-for-like basis was 14.2%.

“Taken at constant currencies, sales grew by 51.7%,” Shoprite said. 
 
The Group’s furniture division grew sales by 10.0% for the period. Credit sales continues to be affected by the changes in the National Credit Act.
 
The other operating segments achieved growth of 10.5%, mainly driven by the OK Franchise division’s strong performance.
 
The financial information has not been reviewed or reported on by Shoprite Holding’s auditors. The financial results for the review period will be published on or about Tuesday, 21 February 2017.