S AFRICA: Retailer Pick n Pay mulls Nigeria entry
Pick n Pay said it was "actively" looking at "new strategic opportunities" in Africa
South African retailer Pick n Pay has revealed it is looking at ways to enter Nigeria.
Pick n Pay said today (15 April) a group of executives were in Nigeria looking at ways to break into the country.
"We have installed a team on the ground in Nigeria to explore opportunities in that market," the retailer said as it reported its financial results for the year to 2 March.
The company has a small business outside its domestic market and it has quit markets in the last 12 months.
Pick n Pay has closed its franchise businesses in Mauritius and Mozambique, which it described as "clear and decisive action".
However, it said it had seen "good growth" in Zambia. Its sales outside South Africa were up 9.4%.
Pick n Pay reported higher annual turnover and earnings despite "subdued" like-for-like sales. Pre-tax profits were up 3% at ZAR830.9m (US$78.6m).
The company's financial year comprised 364 days, versus 368 in the previous fiscal period.
Excluding that factor, pre-tax profits were up 17.6%. Headline earnings per share - a key reporting metric in South Africa - grew 43.5% to 68.83 cents.
Turnover climbed 7.7% to ZAR63.1bn in part due to a 2.7% increase in like-for-like sales.
However, Pick n Pay said new stores had given a boost to its top line as higher food and utility bills weighed on consumer spending.
The retailer also claimed its performance was getting closer to that of the market as a whole. "The gap between Pick n Pay's growth and overall market growth narrowed from 2.5% in the previous year to 0.7% this year," the company said.
"We are a stronger business than we were 12 months ago. We are better positioned to strengthen and grow our core South African business, and actively explore new strategic opportunities in the rest of Africa."
Synopsis Canadean's "Pick n Pay Holdings Ltd. - Company Capsule" contains in depth information and data about the company and its operations. The profile contains a company overview, key facts, major ...
Pick ’n’ Pay is expected to improve its position thanks to a growing presence within internet retailing in South Africa. As the company’s consumer base is middle- to high-income consumers, Pick ’n’ Pa...
Pick ‘n’ Pay Stores targets towards all of South Africa’s diverse consumer groups, with the focus on sales of packaged food, home care and beauty and personal care. In order to increase spending among...
Agricultural Products in South Africa industry profile provides top-line qualitative and quantitative summary information including: market size (value and volume 2009-13, and forecast to 2018). The p...
Introduction Food Retail in South Africa industry profile provides top-line qualitative and quantitative summary information including: market size (value 2009-13, and forecast to 2018). Th......
Grocery retailers remained the most dynamic channel in South Africa in 2013: while other channels such as such as mixed retailers and health and beauty specialist retailers, saw stronger current value...
The South African packaged food industry is expected to achieve high value growth in 2014, with growth set to be commensurate with the growth recorded during 2013. Value growth in the industry is bein...
Leading retailers are increasingly importing sugar confectionery brands independently. Pick 'n Pay (Pick 'n' Pay Retailers (Pty) Ltd) for example, has an increasing array of brands such as the German ...
- How Danone aims to meet its 2020 objectives
- Greencore's food-to-go focus paying dividends
- Interview: Ritter sees growth potential in US, EU
- Mars rice policy more than crop-ticking exercise
- Will Belvita win at breakfast in China? - analysis
- Pinnacle to buy Boulder Brands in $975m deal
- Genius Foods buys UK gluten-free firm Chapel Foods
- Maple Leaf Foods to cut over 400 jobs
- Nestle combats Thai seafood supply forced labour
- Greencore profits lifted by on-the-go food focus