At a Glance
- Boxer turnover jumped 12.1% as budget shoppers drove sales across South Africa and beyond.
- Online sales surged 33% via Mr D, boosting e-commerce presence and consumer convenience.
- Clothing segment posted 17.3% turnover growth, helped by seasonality and low prior-year base.
Pick n Pay Stores Ltd., the South African grocery chain undergoing a broad turnaround strategy, posted a 4.3 percent rise in group turnover for the 17 weeks ended June 29, 2025, helped by a strong showing from Boxer and booming sales in clothing and online segments.
Sales momentum in Pick n Pay South Africa Supermarkets continued to build, with like-for-like growth of 3.6 percent during the period, even as the group executed its Store Estate Reset Plan, which led to selective store closures and conversions that weighed on total turnover.
Boxer drives growth, clothing outpaces expectations
Boxer, the group’s low-cost banner, reported 12.1 percent turnover growth, outpacing the broader group and contributing strongly to topline expansion. Like-for-like sales rose 3.9 percent, reflecting growing demand for budget-focused retail formats.
Standalone clothing stores within the Pick n Pay segment surged 17.3 percent in turnover, with like-for-like sales up 12.5 percent.
This robust growth was attributed to strong execution, seasonal timing, and a low base due to port delays in the previous year. The group expects clothing momentum to soften in H2 as the base normalizes.
Online sales rose 33 percent, fueled by continued adoption of the Pick n Pay asap! app and its partnership with Mr D, reflecting growing consumer demand for e-commerce convenience.
Supermarket turnaround, inflation insight
Pick n Pay SA’s internal price inflation for the period was 1.8 percent—well below the national CPI Food of 4.2 percent—demonstrating the group’s price competitiveness. Company-owned supermarkets reported a like-for-like increase of 4 percent, building on recent momentum.
Like-for-like sales in franchise supermarkets softened slightly but have shown improvement in recent weeks. The group anticipates a stronger H1 FY26 showing in this segment.
Board strengthens governance amid transformation
As part of its governance refresh, Pick n Pay with a market valuation of R20.4 billion ($1.14 billion) announced the appointment of Grant Pattison—former Massmart CEO—as an independent non-executive director designate.
Pattison will also join the Group Audit, Risk and Compliance Committee in H1 2026. His deep retail and strategic experience, including his role in Walmart’s acquisition of Massmart, is expected to bolster Pick n Pay’s transformation efforts.
Additionally, Shore Africa gathered that Professor Haroon Bhorat, a respected economist and advisor, was appointed to the Nominations and Corporate Governance Committee, enhancing oversight of board composition and succession planning.
Looking ahead, the group said continued execution of the Store Estate Reset Plan and broader cost reforms will support its medium-term goal to break even in the Pick n Pay segment.
