Shoprite’s half-year liquor sales surge by 20%
The retailer’s core Supermarkets SA business achieved sales growth of 9.8% in the six months to end-December
Shoprite, the owner of Checkers and Usave stores, said on Wednesday that liquor sales in its half-year to end-December 2019 rose by more than a fifth, helping to underpin almost double-digit sales growth in its core SA business.
The group said all three of its supermarket brands traded well in a tough market, although Angolan hyperinflation continued to weigh on its non-SA performance.
Group sales rose about 7% to R81.2bn, with product volumes in its supermarket business rising 4.4%, the group said.
Shoprite’s core business, Supermarkets SA, achieved sales growth of 9.8%, while its other African operations saw a decline of 3.1% in rand terms, but growth of 4.8% in constant-currency terms.
During the reporting period, the Angolan kwanza, Zambian kwacha and Nigerian naira depreciated 40.4%, 20.8% and 18.2%, respectively, against the dollar when compared to the previous year, the company said.
Other operating segments, which include OK Franchise division, Computicket, MediRite Pharmacies, Transpharm and Checkers Food Services, grew sales by 4.4%.
In morning trade on Wednesday, Shoprite’s share price had jumped 4.88% to R120.51, putting it on track for its best one-day performance in almost six months.