Pick n Pay hopes to build on its positive performance in the six months to come.
Today, PnP released their unaudited condensed consolidated interim financial statements for the 26 weeks ended 26 August this year. Their trading performance for the six months, measured by volume, is the strongest the retailer has shown for more than five years.
PnP CEO Richard Brasher said:
“I am delighted with the six-month result. This has taken a great deal of hard work from everyone in the Pick n Pay and Boxer team.”
He accredited the company’s 17 percent growth of normalised headline earnings per share and 6.4 percent turnover growth to bold actions and tough decisions, by improving cash flow, reducing their long-term gearing to almost zero, investing heavily in their customers, reducing prices of key grocery lines, delivering more a compelling fresh meat and produce offer and giving their customers simpler and more personalised promotions.
“A tough economy is a good test for a solid retailer. Pick n Pay has improved its offer, localised our product offerings and found traction with customers across all sections of the economy. This has been achieved without any sacrifice in earnings or profit margin.”
Pick n Pay held inflation at 0.3 percent against a food CPI of 3.5 percent and reduced their prices across 2,500 everyday grocery lines.
“While working hard, we’ve remained true to our values, investing in schools, communities and environmental initiatives. This is on top of the benefits that a successful Pick n Pay brings through more jobs, more suppliers and more partners. I am very proud of the culture of this business, which is why South Africans recognise Pick n Pay as their most trusted retailer.”
PnP has demonstrated an improved ability to compete effectively in a low growth environment with these results.
Richard concluded by saying:
“We look forward to building on this momentum in the second half of the year.”