The tough local economic climate is finally catching up with apparel retailers across the consumer profile and moves into offshore markets seem to have done little to alleviate investor concern. Upmarket retailer Truworths’ business update for the first 18 trading weeks of its 2017 financial year last week upset investors, with the share price dropping more than 8% in intraday trade. The market expected a negative outlook, but the forecast was truly shocking. Sales in the period under review declined 1%, excluding its acquisition of British shoe chain Office. Including Office, sales jumped 39% but to no avail. The disappointing Truworths update followed the lacklustre performance of Woolworths and Edcon, which reported an 8.1% decrease in retail sales in the first quarter of its 2017 financial year. All eyes will be on broad-spectrum retailer TFG later this week when it releases its interim results. Analysts expect the group to post better sales figures than that of Truworths. TFG o...
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