Shoprite Holdings delivers impressive earnings growth as market share expands

SHOPRITE Holdings has announced a significant increase in its diluted headline earnings per share (HEPS), projecting a growth of between 15.2% to 25.2% for the 52 weeks ending June 29, as it continued to grow market share for a fifth year in row.

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The anticipated diluted HEPS is expected to fall between 1 367.1 and 1 485.7 cents, indicating a robust trajectory. Alongside this, Shoprite's total merchandise sales are projected to rise by 9% to R262.3 billion, with merchandise sales from continuing operations expected to increase by 8.9% to R252.7bn.

This notable shift in sales figures highlights Shoprite's strategic focus on its omnichannel growth strategy, anchored by its core South African supermarkets.

The disconnect between total and continuing operations reflects the group's recent divestments, including closures and the sale of the furniture businesses in Mozambique and Angola, as well as ongoing sales processes in Malawi and Ghana.

In terms of performance, Shoprite's Supermarkets RSA segment shone brightly, reporting an estimated sales growth of 9.5% over the full year.