Shoprite Holdings ( (SRGHY) ) has released its Q2 earnings. Here is a breakdown of the information Shoprite Holdings presented to its investors.
Shoprite Holdings is a leading retail group in Africa, primarily operating in the supermarket sector with a diverse portfolio of brands including Shoprite, Checkers, and Usave, known for its extensive reach and innovative retail solutions.
In its latest earnings report for the 26 weeks ending December 2024, Shoprite Holdings announced a robust financial performance, highlighted by a significant increase in sales and earnings. The company’s core South African Supermarkets segment surpassed R100 billion in sales, marking a notable achievement for the period.
Key financial metrics from the report include a 9.4% rise in group revenue to R130.8 billion and a 9.6% increase in merchandise sales to R128.6 billion. The Supermarkets RSA segment saw a 10.4% growth in sales, reaching R107.7 billion. The diluted headline earnings per share rose by 9.9% to 659.9 cents, and the interim dividend per share increased by 6.7% to 285 cents. The group also expanded its footprint by opening 283 new stores and added nearly 3,000 employees.
Shoprite’s strategic focus on data-led planning and execution, alongside its digital commerce initiatives, has driven these results. The successful rollout of a new point of sale system and the expansion of the Checkers Sixty60 delivery service underscore the company’s commitment to leveraging technology for growth. Additionally, the group’s alternative revenue streams and adjacent business formats, such as Petshop Science, have shown promising growth.
Looking ahead, Shoprite remains optimistic about sustaining its growth trajectory, focusing on its core supermarket operations and digital platforms to enhance customer experience and market share. The company aims to continue expanding its product offerings and store formats to meet the evolving needs of its customers, despite the uncertain global economic environment.