Shoprite's capital expenditure could be as much as R8.5 billion in its 2024 financial year, a quarter higher than in 2023, as it invests in store and supply chain expansion as well as ecommerce initiatives.
This came as the group reported its South African supermarkets business's sale of merchandise increased 17.8% to R173.6 billion for year to 2 July, saying its unbroken market share growth had been extended to more than four years. It also recorded double digit growth in sales across its core brands. This was while it increased diluted continuing headline earnings per share by 9.7% and it hiked its full-year dividend per share 10.5% to 663c.
"During a time when every cent really does count, this equated to a 1.4% increase in market share, extending our period of uninterrupted South African market share gains to 52 months."A deep dive into the big business story of the week, as well as expert analysis of markets and trends.Engelbrecht said the group was also pleased to report growth in its headline earnings and dividends but was disappointed by R1.3 billion in diesel expenses.
Sales growth at its Checkers and Checkers Hypers came in 18% higher, while the group's online delivery service Sixty60 increased sales by 81.5%. Shoprite and Usave saw sales increasing 15.6%.