South African retailer Pick n Pay’s clothing sales up 13.8% in H1 FY24

The group’s overall turnover growth was recorded at 5.4 per cent, with a like-for-like growth of 2.3 per cent. Boxer, a South African chain, registered a 16.1 per cent growth and took its total number of stores to 454. Boxer aims to open 200 new stores between FY22 and FY26 and has plans to double its sales.

Pick n Pay reported strong growth in its clothing division with a 13.8 per cent YoY increase in H1 FY24.
The company added 20 new stores.
Overall turnover grew 5.4 per cent in H1 FY24.
However, profit was impacted by rising finance charges, resulting in a loss of R837.2 million.
The company’s online sales surged 76.3 per cent in the first half of FY24.

The group’s gross profit margin declined by 0.9 per cent, settling at 18.5 per cent. Moreover, profit before tax suffered due to a 47.3 per cent hike in net finance charges, leading to a pro forma loss before tax and capital items of South African Rand (R) 837.2 million.

Online sales saw remarkable growth, increasing by 76.3 per cent, with on-demand sales doubling year-on-year. Despite the mixed results, Pick n Pay confirmed that it would maintain its capital expenditure guidance at R4 billion for FY24 to support its growth plans for Boxer, Clothing and the online division.

Fibre2Fashion News Desk (DP)