Shoprite Holdings ( (SRHGF) ) has released its Q4 earnings. Here is a breakdown of the information Shoprite Holdings presented to its investors.
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Shoprite Holdings Limited, a prominent player in the retail sector, operates a vast network of supermarkets across South Africa and other regions, focusing on providing affordable groceries and household products. In its latest earnings report for the 52 weeks ending June 2025, Shoprite Holdings announced a significant milestone, surpassing R250 billion in sales, reflecting an 8.9% increase in group sales to R252.7 billion. The company’s core segment, Supermarkets RSA, contributed significantly to this growth, with a 9.5% increase in sales. Additionally, the company reported a 15.8% rise in diluted headline earnings per share to 1,367.2 cents, and a 9.7% increase in the full-year dividend per share to 781 cents. The company also expanded its footprint by opening a net 281 new stores and creating 8,723 jobs during the year.
Key financial highlights include a trading profit increase of 16.6% to R15.0 billion, supported by a higher gross margin of 24.3% and a trading margin of 5.9%. The company’s EBITDA rose by 18.8% to R23.8 billion, showcasing its robust cash-generating capability. Shoprite’s strategic focus on its core Supermarkets RSA segment, alongside its digital commerce platform Sixty60, which saw a 47.7% increase in sales, underscores its commitment to enhancing customer experience and operational efficiency. The company’s decision to divest from sub-scale markets and focus on high-growth regions is also evident in its strategic announcements.
Looking ahead, Shoprite Holdings remains optimistic about its growth prospects, emphasizing its commitment to supporting South African households amidst challenging economic conditions. The company plans to leverage its extensive store network and digital platforms to continue providing value to its customers while pursuing its omnichannel growth strategy. Management anticipates continued investment in initiatives that strengthen its resilience and facilitate strategic priorities, aiming to meet the expectations of shareholders, customers, employees, and communities alike.