Woolworths 20-week sales up 10.3%

The company said that clothing sales in South Africa grew by 9.5% with a price movement of 6.6%, and sales in comparable stores grew by 5.9%.

Meanwhile, food sales grew by 10.8% with a lower than expected price movement of 3.5% and sales in comparable stores grew by 7.2%.

General merchandise, which remains impacted by the reduction of the cellular handset business grew by 3.4% and by 2.5% in comparable stores.

South African retail space, excluding franchise conversions, grew by 2.5%, the group said.

It added that franchise store conversions were on track with 50 stores now converted, and a further 8 will be converted during the balance of the year and 17 stores will remain franchised.

Converted franchise stores are treated as non-comparable, Woolworths noted.

Sales in Australia (A$) contracted by 0.8% with sales in comparable stores declining by 4.5% and space in Australia grew by 4.9%.

Country Road's South African sales are included in the South African clothing segment.

"The Woolworths Financial Services debtors' book reflected year on year growth of 3.9% at the end of October 2011.

"The impairment rate for the four months to October 2011 was 1.74% compared with 2.70% for the equivalent period last year," Woolworths said.

The group's interim results for the 26 week period to December 25 2011 are scheduled to be announced on or about the February 16 2012.