Clicks Group interim earnings up 13.2%

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CEO Vikesh Ramsunder says the group is planning capital investment of R700 million for the year.

Pharmacy, health, and beauty retailer Clicks on Wednesday reported a 13.2% increase in diluted headline earnings per share to 300.1 cents for the six months to February, driven by strong health and beauty sales.Group turnover was up 6.2% to R15.3 billion and the operating profit grew by 11.3% to R1 billion.

Clicks expanded its store footprint to 680 with the opening of 17 stores in the past six months. The online store was the chain’s fastest-growing store, reflecting customers’ need for convenience as well as the growing trend to online shopping in South Africa. Macro-economic conditions were not likely to improve in the short to medium term, and Clicks expected the trading environment to remain challenging in the second half, Ramsunder said.

But Ramsunder said the core health and beauty markets in which Clicks traded, as well as its business model, had proven to be resilient.

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