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Shoprite says it is heading into its full-year results in September with profit and sales growth above the wider retail market, while still keeping prices low and continuing to open hundreds of stores ahead of targets.The group announced on Wednesday that it expects HEPS from continuing operations for the 52 weeks to June 28 to increase by between 9.7% and 14.7%.The guidance from Shoprite, touted as Africa’s largest retailer by sales, profit valuation, headcount and customers, comes as it continues to cement its dominance in a market where consumers remain sensitive to prices as the cost of living continues to climb.The group said its approach to pricing kept selling price inflation below food inflation during the year, while its store expansion added to total sales.Sales increased by 7.2% to R270.8bn, more than R18bn higher than the previous year.Shoprite’s South African core supermarkets were a major driver of growth. Sales in the segment increased 7.1%, compared with 2% growth for the rest of the market, according to global market research and consumer intelligence firm NielsenIQ.Shoprite’s e-commerce star, Sixty60, continued its rapid growth, increasing sales by 34.5% to R25.5bnThe group said it continued to grow while keeping prices relatively low. Internal selling price inflation in its supermarket business was just 0.8%, compared with 3.9% food and non-alcoholic beverage inflation measured by Stats SA during the period.At the same time, Shoprite continued to expand its footprint, opening a net 262 stores during the year. This included supermarkets, liquor stores and newer formats.However, sales from existing stores grew only 2% when the effect of new stores and closures was removed, it said.The group’s two biggest supermarket brands also recorded solid growth:Shoprite and Usave, including Shoprite LiquorShop, increased sales by 4.3%; while Checkers and Checkers Hyper, including Checkers LiquorShop, increased sales by 10%.Checkers LiquorShop was one of the strongest performers, with sales rising 14.5%.Shoprite’s e-commerce star, Sixty60, continued its rapid growth, increasing sales by 34.5% to R25.5bn.The retailer also continued to build smaller businesses around its supermarkets. Its adjacent businesses — including Petshop Science, Uniq Clothing by Checkers, Checkers Outdoor and Little Me — increased sales by 57.4%, it said.Outside South Africa, sales increased by 11% in rand terms, while sales in constant currency increased 7.1%.Shoprite is due to release its full 2026 financial year results on September 1.Business Day
