The Foschini Group said trading conditions remained tough in all three of its key operating segments, TFG Arica, TFG London and TFG Australlia, in the year to March 31, and further constrained consumer demand was expected.
The Foschini Group (TF) increased market share in South Africa in the year to March 31, growing by 50 basis points (bps) in womenswear, and by 40 bps in homeware and furniture, as it began to position for more constrained consumer demand.
The share price recovered slightly by 3,93% on Friday to R57,87, but the price is over 55% lower from R131,52 a year ago.
The group said trading conditions were challenging and management responded decisively in the second half of the year. Planned expenditure was reduced, capital investment was tightened, inventory levels were actively managed, cash generation was prioritised, and a disciplined approach was maintained to credit granting to ensure the business remains resilient in a prolonged period of constrained consumer demand.
TFG CEO Anthony Thunström said they were focused on strengthening business resilience in the face of expected continued adverse trading conditions.
