as at end December 2019 WHO WE ARE 3722 - Shoprite · Freshmark 7. WHAT DIFFERENTIATES US? Serving...
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Distribution of operations As at 28 June 2020 Country Number of stores Angola 37 Botswana 33 DRC 2 Eswatini 25 Ghana 7 Kenya 3 Lesotho 25 Madagascar 10 Malawi 6 Mozambique 28 Namibia 95 Nigeria* 25 South Africa 2 002 Uganda 5 Zambia 49 Who we are and where we come from The Shoprite Group is the largest supermarket retailer in Africa. We employ over 141 000 people, operate a total of 2 829 stores and a network of distribution centres across the African continent. Our Group While the Group’s primary business is food retailing, our offering extends to a broad range of goods and services including household products, furniture, pharmaceuticals and financial services amongst others. At the heart of our offering is an unwavering dedication to be affordable and accessible to people of all income levels. Number of corporate stores over a 10-year period 2 500 2 000 1 500 1 000 500 0 Jun 2011 Jun 2012 Jun 2013 Jun 2014 Jun 2015 Jun 2016 Jun 2017 Jun 2018 Jun 2019 Jun 2020 Shoprite Holdings Ltd comprises the following brands Freshmark 2 352 Total corporate stores 17 Customer facing brands across various store formats and product ranges are available in-store or online. Branded value-added services available in stores and online. Operational support functions servicing third parties, stores and online customers. Operational structure 1 366 1 499 1 651 1 822 2 044 2 192 2 301 2 425 2 319 2 352 * Classified as discontinued operation.
Transcript of as at end December 2019 WHO WE ARE 3722 - Shoprite · Freshmark 7. WHAT DIFFERENTIATES US? Serving...
Distribution of operationsAs at 28 June 2020
CountryNumber
of stores
Angola 37 Botswana 33 DRC 2 Eswatini 25Ghana 7Kenya 3Lesotho 25Madagascar 10Malawi 6Mozambique 28Namibia 95Nigeria* 25South Africa 2 002Uganda 5Zambia 49
Who we are and where we come fromThe Shoprite Group is the largest supermarket retailer in Africa. We employ over 141 000 people, operate a total of 2 829 stores and a network of distribution centresacross the African continent.
Our GroupWhile the Group’s primary business is food retailing, our offering extends to a broad range of goods and services including household products, furniture, pharmaceuticals and fi nancial services amongst others. At the heart of our offering is an unwavering dedication to be affordable and accessible to people of all income levels.
Number of corporate stores over a 10-year period2 500
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Shoprite Holdings Ltd comprises the following brands
Freshmark
2 352
Total corporate
stores
17 Customer facing brands
across various store formats and product ranges are
available in-store or online.
Branded value-added servicesavailable in stores and online.
Operationalsupport functions
servicing third parties, stores and online customers.
Operational structure
1 36
6 1 49
9 1 65
1 1 82
2 2 04
4 2 19
2 2 30
1 2 42
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2 31
9
2 35
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* Classifi ed as discontinued operation.
What sets us apartOur strategic drivers
Our strategy remains growth-focused by optimising our retail core in existing markets. By pursuing these drivers of growth in an ethical and sustainable way, we capitalise on opportunities to unlock incremental growth by becoming a smarter, more customer-driven business and we continue to deliver on our purpose to be Africa’s most affordable, accessible and innovative retailer.
1A truly customer-first culture
2Develop future-fit channels
3Enable precision retailing
4Trusted, profitable private labels
5Grow share in premium food and fresh
6A stronger franchise offer
7Assess position in Africa
8Refocus capital allocation
9Unlock alternative revenue
A smarter Shoprite Closing the gap in key segments Winning in the long term
Our operations are fully aligned to deliver on the Group’s nine strategic drivers of growth:
Financial results for the year ended 28 June 2020
Contribution to total continuing operations
Trading profit per segmentSales per segment
96.7% 3.8%-0.2%-0.3%78.0% 6.9%3.5%11.6%
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n Supermarkets RSA n Supermarkets Non-RSA n Furniture n Other operating segments
The Group’s long-term performance is illustrated below through comparative sales figures as well as the share price performance over a 10-year period:
Annual sales
160 000
140 000
120 000
100 000
80 000
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20 000
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76Financial highlights
Restated*52 weeks 52 weeks
Change 2020 2019Continuing operations % Rm Rm
Sale of merchandise 6.4 156 855 147 478 Trading profit (2.7) 8 171 8 396 Earnings before interest, income tax, depreciation and amortisation (EBITDA) 0.3 12 538 12 498 Profit before income tax (5.3) 5 246 5 540 Basic headline earnings from continuing operations 2.3 4 242 4 146
Performance measuresDiluted headline earnings from continuing operations per share (cents) 2.5 765.8 746.9Dividends per share declared (cents) 20.1 383.0 319.0 Trading margin (%) 5.2 5.7
Sales per segment
Supermarkets RSA 8.7 122 412 112 655Supermarkets Non-RSA (1.4) 18 153 18 407Furniture (11.9) 5 470 6 206Other operating segments 3.9 10 820 10 409Total continuing operating segments 6.2 156 855 147 677Hyperinflation effect — (199)Total consolidated continuing operations 6.4 156 855 147 478Discontinued operations (6.3) 2 734 2 917Total consolidated including discontinued operations 6.1 159 589 150 395Total operating segments including discontinued operations 6.0 159 589 150 594
* Restated for the adoption of IFRS 16: Leases and discontinued operations in accordance with IFRS 5. Refer to note 2 of the condensed consolidated financial statements for the year ended 28 June 2020 for details of these changes in accounting policies.
Cen
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Shoprite Holdings Ltd share price
26 000
24 000
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18 000
16 000
14 000
12 000
10 000
8 000
6 000
4 000
2 000
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Res
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IFR
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