COMPANY RESULTS: Pepkor could become a more successful version of the SA Post Office delivering on average 11,500 parcels a day

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JSE-listed Pepkor’s parcel delivery arm, Paxi, delivered 4.2 million parcels during the year up to the end of September, with an average delivery of 11,500 parcels a day — and almost 21,500 parcels on its busiest day.

Chief operations officer Sean Cardinaal says Paxi is technically a tech product — “a cheap courier service that uses a combination of our extensive store network and our extensive distribution capability”.

Pepkor, which is home to popular brands including Pep, Ackermans, Tekkie Town, The Building Company and Incredible, reported strong headline earnings growth of 20.1% for the year to end September, reflecting a consistent performance. “This has translated into 1.9 billion transactions across our more than 5,800 stores and 202,000 Flash traders. The group sold 12 million cellphones this year, which equates to seven out of every 10 cell phones sold in the country,” he says.

Rolling blackouts increased to unprecedented levels, especially during the last quarter. During the first half of 2022, rolling blackouts increased by 80% compared with the prior year. Following this, rolling blackouts increased to Level 6. As a result, the group reported 313,000 lost trading hours during the year, reflecting an increase of 123% compared with the previous year.

Within traditional retail, the clothing and general merchandise segment remains the largest contributor to group revenue and operating profit .Within the fintech division, the Flash business achieved 19.3% growth in operating profit. Flash is a business-to-business offering in the informal market, with 202,000 informal traders on its books. One of its offerings is a digital currency, 1Voucher, which is gaining traction in the informal market.

Cardinaal says the year under review saw significant revenue increase within Capfin, on the back of conservative credit extension.

 

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Dear ANC, this is what the private sector can do which government cannot. DPE_ZA CommsZA SAPostOffice PresidencyZA CyrilRamaphosa MondliGungubel_ the_dti

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