Latest news with #MarekMasojada
TimesLIVE
18-05-2025
- Business
- TimesLIVE
Boxer eyes growth in Gauteng and KZN
Boxer Superstores will double down on growing its presence in Gauteng and KwaZulu-Natal to close the gap with competitors who have been on an aggressive rollout in recent years. This week, the value grocery retailer, which was spun out of Pick n Pay and listed on the JSE in November last year, said it would spend R1.2bn in opening new stores and also on its new distribution centre in KwaZulu-Natal. It has 525 stores in total, including liquor stores, after opening 48 in the year to March. The retailer has almost doubled its outlets from 298 stores in 2020. Boxer CEO Marek Masojada said: 'In terms of the study we have performed, the provinces where we have the biggest gap are Gauteng and KZN. I guess you can say the Western Cape, as well, but our priority is on Gauteng and KZN. One of the reasons we created capacity in our supply chain is to support growth in those two regions. However, we continue opening stores in all other provinces as well.' Boxer opened a second distribution centre in Gauteng about 18 months ago, and early next year will open another one in KZN, which will 'give us capacity of over 100 new stores in the region', said Masojada. In total the retailer has six distribution centres, and once the KZN one comes on stream, Boxer will have capacity to add 200 superstores 'before needing our next distribution centre. This means no new distribution centres for at least four to five years. We have created a solid supply chain platform to grow our future store base,' said Masojada. The value grocer is planning another 60 stores (25 superstores and 35 liquor stores) in the 2026 financial year. Masojada said the challenge was finding space. 'We have people on the ground in every province working with different developers and property owners to unlock some of those opportunities. It's a mix between getting into existing shopping centres that might be taking on a second or third anchor, and greenfield developments as well.' Boxer wants to close the gap between its standalone liquor and grocery stores. It has 320 grocery stores and 175 liquor outlets. 'So, there's an opportunity to close the liquor store numbers faster than the super soil. Without mentioning our targets, we are looking to close that gap,' said Masojada. The company employs 32,000 workers after adding 3,000 new jobs through new stores opened in the year to March. The group is likely to continue converting some Pick n Pay stores into the successful Boxer brand. In the period under review, it took ownership of eight supermarkets and six liquor stores. Outside South Africa, Boxer has stores in eSwatini. Masojada said: 'Currently, we don't have the desire to go outside the borders of South Africa; we see enough opportunity internally. We do keep an eye on what's going on in Lesotho, a smaller market but one that talks to our value-conscious consumers.' All Boxer stores are corporate-owned, and it has no immediate plans to introduce a franchise model. The company will expand its private label products, which are a fifth of total turnover. While its rivals get more than 30% of total turnover from private labels, Masojada said 'at 20% at the moment, we do see a steady increase in that percentage, but we are not fixated on a number — we will be guided by the retail trend within our own stores and what customers are looking for'.
TimesLIVE
12-05-2025
- Business
- TimesLIVE
Boxer expands footprint: 48 new stores opened, targeting 60 more by 2026
Boxer Retail will invest R1.2bn in new stores and a distribution centre in KwaZulu-Natal this year. The grocery retailer added 48 new stores in the 52 weeks to March, bringing its total store network across South Africa and Eswatini to 525. This resulted in 3,000 new jobs, taking its total staff complement to close to 32,000. Boxer is targeting another 60 stores (25 superstores and 35 liquor stores) in the 2026 financial year. The company, which was unbundled from Pick n Pay and listed on the JSE in November last year, reported a 13.2% growth to R42.3bn. Trading profit increased 9.9% to R2.3bn, at a trading margin of 5.5%. 'The results are a testament to our powerful discount model underpinned by a deep understanding of our customers' needs,' the company said. 'We drive volume growth by giving customers great value, enabling us to expand our store network and improve our efficiency, all of which helps us deliver even better prices for our customers. 'It's a model that continues to work, and we're excited about the opportunities ahead and future growth. While there will be continued economic pressures, this is where Boxer really thrives, and we are resolutely focused on execution to capture growth opportunities, which remains our primary focus,' said Marek Masojada, Boxer CEO. Boxer operates in the lower market segment and competes with Shoprite, Usave and Spar's SaveMor. Boxer said 'it's lean discount model, efficient supply chain, and focused expansion give it a strong edge in South Africa's evolving retail landscape.' The company has 1.9-million members on its loyalty rewards programme, which was launched in October last year. It has partnered with Capitec to offer rewards members a discount on 5KG Goldi chicken. The partnership comes hot on the heels of similar collaborations between Pick n Pay and FNB, and Checkers and Standard Bank, who are offering discounts to clients.
Bloomberg
12-05-2025
- Business
- Bloomberg
South Africa's Recently Listed Budget Grocer Plans More Stores
Boxer Retail Ltd. plans to increase its store rollout in the next three months as South Africa's most recently listed budget-grocery chain makes the most of a new distribution center and a market that's starved for growth. The retailer will soon open a new distribution center in the country's eastern province of KwaZulu-Natal. This will fuel capacity for at least 200 new stores in the next five years, Chief Executive Officer Marek Masojada said Monday.
The Citizen
12-05-2025
- Business
- The Citizen
Is Boxer taking over, or is trouble brewing?
Boxer said its store growth has had a positive impact on job creation, as it has created 2 900 jobs in 52 weeks. Grocery retailer Boxer has expanded its footprint in South Africa and eSwatini by adding 48 net new stores during 52 weeks ending March 2025. However, its headline earnings for the period remained flat. Now operating 525 stores (320 Boxer Superstores, 175 Boxer Liquor stores, and 30 Boxer Build stores), the retailer plans to open 60 more stores, including 25 superstores and 35 liquor stores, by 2026. This is with the aim of making its discounted offers more accessible to a wider range of customers. Boxer made the announcement on Monday in its first-ever financial results since listing in November 2024. NOW READ: Most of Pick n Pay staff affected by closure of 32 stores will be redeployed How did Boxer perform? The retailer reported turnover growth of 13.2% to R42.3 billion during the 52 weeks and trading profit growth of 9.9% to R2.3 billion. 'This growth was 17.0% if excluding non-recurring non-cash gains on the derecognition of a Pick n Pay financial guarantee in the prior year. 'Comparing year-on-year performance on a pro forma 52-week basis, turnover increased by 10.4%, in line with pre-IPO market guidance, while trading profit increased by 7.0% (to R2.3 billion) and 14.0% when excluding the once-off non-cash gain in the prior year, detailed above.' Boxer's discount model Boxer has positioned itself as the 'People's Champion' due to its lean discount model, prioritising price and efficiency. The retailer said its store growth has had a positive impact on job creation, as it has created 2 900 jobs during the 52 weeks. Boxer now employs 31 906 staff members 'The retailer has invested in its Boxer Rewards Club loyalty programme and attracted over 1.9 million sign-ups since its launch in October 2024.' Marek Masojada, Boxer CEO, said, 'The results today are a testament to our powerful discount model underpinned by a deep understanding of our customers' needs.' NOW READ: Boxer CEO Marek Masojada to address Business@Breakfast event about resilience in retail Bad news Despite the growth, Boxer's headline earnings remained flat at -0.1%, reflecting higher net finance costs associated with the new external debt introduced as part of the pre-IPO balance sheet restructuring, alongside an increase in the effective tax rate, which offset the positive impact of the operational performance. Headline earnings are used to measure the company's profitability on a per-share basis. Boxer's trading costs also grew to R7.06 billion, from R6.08 billion in the previous financial year. Although Boxer's profit margin for the period came in well ahead of the 5.0% target, the retailer expects some pressure on margins going forward. This is due to the extra ongoing costs of being a publicly listed company, some short-term losses as the new Tongaat DC starts operating, and increased spending on product pricing to stay competitive. Shareholders The retailer informed shareholders that the number of Boxer shares is expected to increase by approximately 34% in the next financial year, following the IPO. This will lower earnings per share and is likely to result in a decline in headline earnings per share compared to the 2025 financial year. Boxer has not declared a final dividend for the financial year 2025, and it maintains its intention to pay out 40% of headline earnings per share from the financial year 2026. 'Boxer intends to declare an interim financial year 2026 dividend at the time of the first half of the year result.' NOW READ: Will Boxer listing on the JSE save Pick n Pay?
IOL News
12-05-2025
- Business
- IOL News
Boxer Retail creates 3 000 jobs amid store expansion network in South Africa
Boxer CEO Marek Masojada says the company is well positioned to meet its pre-listing forecast of a dividend at the end of the first half of its 2026 financial year. Image: Supplied JSE-listed Boxer Retail added nearly 3 000 new jobs in the 53 weeks to March 2 after it opened more than 40 new stores and met the financial forecasts it had made to its investors on the JSE months ago. The soft discount retailer added 48 net new stores during the period, bringing its store network across South Africa and Eswatini to 525. The plan is to open another 60 stores—25 superstores and 35 liquor stores—in the new financial year. Additionally, there are plans to expand the distribution centre capacity for the stores, particularly in northern KwaZulu-Natal, CEO Marek Masojada said in an interview with BR. The additional employees brought its full staff complement to close to 32 000 and demonstrated the retailer's growth, and its efforts to uplift the communities and towns where it operates, he said. On the financial front, the retailer outperformed its pre-listing guidance with a 5.4% 52-week trading margin, which is ahead of the 5% forecast made prior to the listing. The maiden published annual financial results — after the biggest listing on the JSE in eight years—delivered a strong performance with consistent market share gains, and the focus in the new financial year is to continue meeting the targets provided before the listing, said Masojada. Turnover grew by 13.2% to R42.3 billion, and trading profit increased by 9.9% to R2.3bn. This growth was 17% when excluding non-recurring non-cash gains on the derecognition of a Pick n Pay financial guarantee in the prior year. Comparing year-on-year performance on a pro forma 52-week basis, turnover increased by 10.4%, in line with pre-IPO market guidance, while trading profit rose by 7%, and 14.0% when excluding the one-off non-cash gain in the prior year. Boxer's discount model, supply chain—which includes six distribution centres currently—and expansion plans, provide it with a strong edge in South Africa's evolving retail landscape, said Masojada. He said that many of their consumers are experiencing significant cost of living increases, even though Boxer managed to keep its selling price inflation flat. This was reflected in more consumers closely examining their monthly or weekly grocery purchases to get more value. The group was able to measure this by tracking the uptake of promotional activity. Boxer's commitment to "Lower Prices Every Day" was reflected in the normalised full-year internal selling price inflation of 0.3%, after adjusting for mix change impacts, which were influenced by promotional activity. Boxer had invested in its Boxer Rewards Club loyalty program and attracted over 1.9 million sign-ups since its launch in October 2024. The club offers a range of benefits, including discounts on repeat shopping trips The loyalty data also provides valuable insights, enabling Boxer to better understand and serve its customers, said Masojada. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ He said Boxer's business model continues to work in the communities where its stores are located. In the past year Boxer's headline earnings remained flat at -0.1%, reflecting higher net finance costs associated with the new about R850m external debt introduced as part of the pre-IPO balance sheet restructuring, alongside an increase in the effective tax rate, which offset the positive impact of the operational performance. Boxer did not declare a final dividend for the 2025 financial year, as indicated in the pre-listing statement. However, the company remained cash generative, was working on reducing debt, and was on target to deliver a dividend at the end of the first half of the 2026 financial year, in line with pre-listing commitments, said Masojada. "We're excited about the opportunities ahead and future growth, Whilst there will be economic pressures, this is where Boxer really thrives, meeting challenges is part of our are resolutely focused on execution to capture growth opportunities," he said.
