Latest news with #SparGroup
Bloomberg
2 days ago
- Business
- Bloomberg
Spar Sees Muted Store Growth as South African Economy Stalls
Spar Group Ltd. expects muted store growth in the next year as South Africa's second-largest grocer by revenue seeks to focus on restructuring the property portfolio in its home market as it also prepares to sell its Swiss and UK businesses. Rapid expansion of retail space in South Africa has raised questions about sustainability, particularly in light of an economy whose growth is slowing and narrowly avoided contraction in the first quarter. The National Treasury last month lowered its forecast for annual expansion in gross domestic product over the next three years for the continent's biggest economy.
Zawya
3 days ago
- Business
- Zawya
Spar Group plans to sell Swiss and UK retail businesses
Spar Group plans to sell its retail businesses in Switzerland and in the United Kingdom after completing a strategic review of its European operations, the retail and wholesale group said. The group, which owns several Spar country licences of the Dutch Spar group, has been trimming its international operations in order to "maximise the return on capital allocated". Last year it sold its loss-making Polish business. The group said it was in exclusive talks with an established UK-based business over the sale of its UK operation Appleby Westward Group. The potential buyer, which Spar did not name, was "well positioned to develop and grow AWG in South West England," it said. In Switzerland, Spar has been engaging established parties with extensive business interests in the region and experience in European food retail and distribution, it added. "The group approach has been to engage parties whose interests align with the growth ambitions of the local management teams and retailer partners, and will ensure continuity for employees, suppliers and customers," Spar said. The Swiss business, with 300 stores, contributes R16bn to group turnover, while the South West England unit contributes R6bn. Internationally, Spar will be left with Ireland, its biggest overseas business, and a joint venture in Sri Lanka. All rights reserved. © 2022. Provided by SyndiGate Media Inc. (
TimesLIVE
3 days ago
- Business
- TimesLIVE
Supermarket group Spar reports slight drop in earnings
Supermarket retailer Spar Group reported on Wednesday a marginal decline in half-year earnings as group revenue from continuing operations remained steady at R66.1bn. The retailer said headline earnings per share from continuing operations fell by 0.4% to 450.1c in the 26 weeks ended March 28, down from 451.9c a year earlier. Group operating profit increased by 1.6% to R1.5bn, supported by improved cost discipline, with its operating margin stable at 2.2%. In Southern Africa, wholesale turnover increased by 1.7% to R49.9bn, reflecting the ongoing pressure on consumer spending, compounded by lower food inflation, Mozambique post-election unrest, the timing of Easter falling in the second half of this financial year and shop closures in Gauteng, Spar said. Combined grocery and liquor wholesale revenue rose by 1.1%, while retail revenue increased by 1.9%, with like-for-like sales up 1.6%. Growth was underpinned by strong momentum in the lower-income customer segment, while the middle and upper segments' performance lagged the market, the retailer said. Ireland reported local currency revenue fell by 0.6% in an environment where inflation is challenging volumes in the retail convenience sector.
