Shoprite Holdings Plc (Zambia) – SA supermarket segment increased sales by 10.1% in FY22

Shoprite Holdings Plc (SHOPRT.zm) 2022 Abridged Report

Pieter Engelbrecht,
Chief Executive Officer

We are proud of our 2022 results especially considering our high base, the additional week included in our reporting calendar last year and the headwinds presented by a challenging local and global context.

On a 52-week basis our customers spent an additional R19.6 billion with us this year. This growth equates to R6.2 billion in South African market share gains for the period. My heartfelt thanks to our millions of customers for their continued support and to Team Shoprite, our people, for their world class execution and continued dedication to our business.

Our core South African supermarket segment (80.0% of Group sales) increased sales by 10.1% (12.6% on a 52-week base). Shoprite and Usave which make up 52.8% of this segment increased sales by 7.2%. Despite having two large format Checkers Hypers still closed due to the July 2021 social unrest, our Checkers and Checkers Hyper supermarket business, which makes up 39.8% of our core RSA segment increased sales by 9.1%. Our Shoprite and Checkers LiquorShop business, 7.2% of the segment’s sales, increased sales by 44.5%. This is due to strong underlying growth and the fact that the business was closed for less days this year than last year, due to Covid-19 regulations.

In terms of price and value execution our Shoprite and Checkers Xtra Savings Rewards Programme saved our 24.7 million loyal members a tremendous R9.4 billion this year.

In terms of accessibility for our customers our community based Usave business increased sales by 11.4% and our on-demand one-hour delivery app Checkers Sixty60 continued to innovate and grow its sales despite its incredible growth trajectory over the past few years.

Our 2022 full year dividend increased by 10.3% this year. In recognition of the contribution made by our people we established the Shoprite Employee Trust during the year. Added to this we’ve continued with our share buy-back program and advanced our proposed acquisition of Cambridge Food, Massfresh and Masscash Cash and Carry to the Competition Tribunal approval stage. We have much to do in terms of executing our strategy to grow the business in the years ahead, this is just one of our initiatives and we look forward to reporting on our progress on this and our other plans during 2023.

• Shoprite Holdings Ltd (SHOPRT.zm) on Africanfinancials