Pick n Pay reports 4.3% turnover growth amid challenging market conditions

Pick n Pay increased turnover 4.3% in the 17 weeks to June 29, with like-for-like sales up 3.8%, against the same period last year, a “creditable performance” given a highly constrained consumer and continued subdued food price inflation, the group said.

Pick n Pay South Africa (SA) like-for-like sales grew 3.6%, the retailer said in a trading update on Tuesday. The Store Estate Reset Plan resulted in turnover growth lagging like-for-like sales momentum, as a consequence of planned store closures and conversions, the directors said.

Boxer turnover increased 12.1%, with 3.9% like-for-like sales growth. Clothing turnover growth in standalone stores - reported within the Pick n Pay segment - came to 17.3%, while like-for-like sales were 12.5%.

Clothing benefitted from strong execution and a soft base in the comparative period, which last year was the result of port delays and a late start to winter. “We expect clothing turnover momentum to soften somewhat as the base normalises in the second half of the 2026 financial,” the directors said.

Online sales growth was up 33%, driven by growth of Pick n Pay asap! and Pick n Pay groceries on the Mr D app.

Pick n Pay SA's internal selling price inflation was 1.8%, slightly down from 2.1% in the 2025 financial year, and well below food CPI of 4.2%. Like-for-like sales growth remains the key indicator the group is targeting in Pick n Pay SA Supermarkets.

Company-owned supermarkets, which represent the majority of Pick n Pay SA sales, continued to show steady consecutive improvement, with like-for-like sales growth reaching 4%, up from 3.1% in the first half of the 2025 financial year, and 3.6% in the second half of that year.

Like-for-like sales into franchise supermarkets softened slightly but had improved in recent weeks. The group expected to report improved Franchise Supermarket like-for-like sales for the full first half, directors said.

Progress was being made with the Store Estate Reset Plan and the Future Fit Structure initiative, which would contribute to the achievement of the medium-term break-even objective of the Pick n Pay segment.

Pick n Pay Stores’ share price was unchanged at R27.41 on Tuesday morning on the JSE.

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