Shoprite posts 13.8% growth

Its South African supermarket operation increased sales by 11.5% and by 6.2% on a like-for-like basis. For the month of December, sales were 10.8% higher than in the corresponding period. Internal food inflation averaged 4.3% for the period, well below the official figure of 5.9%.

In an environment in which the rand continued to weaken against most non-RSA currencies, the company's supermarkets outside the country achieved sales growth of 28.2% and, on a like-for-like basis, of 13.4%. Taken at constant currencies, turnover grew by 23.5% in rand terms.

Shoprite CEO, Whitey Basson said the furniture industry continued to be one of the sectors most affected by the current economic conditions. Shoprite's furniture division nevertheless grew sales by 4.8% for the six months. This growth came mainly from the lower LSM groups.