World

Bottom-up: Pick n Pay lost 4 billion rand sales, primarily due to the ban on alcohol and tobacco

Pick n Pay lost 209 liquor trading days during the fiscal year.

Pick n Pay said Thursday that the group’s sales were heavily impacted by a ban on the sale of alcohol and other products for a significant portion of the year, resulting in the loss of an estimated R4 billion in sales. ..

In the latest information to shareholders, retailers said the fiscal year was almost entirely within the state of emergency caused by Covid-19, resulting in a 4.3% increase in Group sales.

Pick n Pay lost 209 liquor trading days during the fiscal year, reducing all trading hours except the three weeks of the fiscal year. From March 27th to August 17th, the sale of cigarettes and other tobacco products was banned. Due to these restrictions, this division of Pick n Pay saw a 31% drop annually.

According to the Group, major retail sales, including all food, grocery and miscellaneous categories, achieved market-leading sales performance in South Africa’s major food and grocery offerings, growing from 9.9% in the first half. I accelerated it. It will be 10.1% in the second half of the year.

Despite the ban on clothing during hard lockdown, clothing sales increased 1.3% year-on-year.

Retailers said employees who applied for Pick n Pay’s voluntary retirement program in the first half of the fiscal year were paid a one-time compensation of R $ 100 million. However, this cost was fully recovered by saving employee costs in the second half of the year.

The Group expects annual headline earnings per share to decline from 15% to 25% when it announces its year-end financial results on April 21st.

Bottom-up: Pick n Pay lost 4 billion rand sales, primarily due to the ban on alcohol and tobacco

Source link Bottom-up: Pick n Pay lost 4 billion rand sales, primarily due to the ban on alcohol and tobacco

Back to top button