Publication: Supermarket & Retailer
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Retail heavyweight Shoprite released its unaudited interim results on Tuesday, 3 March 2026, reporting a steady performance for the six months ended 28 December.
The group delivered revenue growth of 7.1%, lifting total turnover to R138.9 billion. Merchandise sales climbed 7.2% to R136.8 billion, while South African merchandise sales rose 7.1% to R115.3 billion.
Earnings also improved. Diluted headline earnings per share advanced 7.9% to 708.9 cents, while adjusted diluted headline earnings per share increased 9.5% to 753.3 cents. Profit for the period grew 7.1% to R32.6 billion.
Outside South Africa, however, trading conditions were more challenging, with profit declining 17.4%. Chief executive Pieter Engelbrecht acknowledged the softer international showing but highlighted the resilience of the group’s core operations.
He noted that the results were achieved during a period of exceptionally low internal selling price inflation, averaging just 0.7% for the half-year and dipping into deflation during the key festive trading period. This was significantly below Statistics South Africa’s reported food and non-alcoholic beverage inflation rate of 4.7% for the same timeframe.
Engelbrecht said the group’s commitment to affordability was further demonstrated by R9.7 billion in Xtra Savings discounts provided at checkout, reinforcing its low-price positioning as central to its strategy rather than an afterthought.
Performance across store formats varied. Sales growth at Shoprite and Usave outlets was relatively subdued at 5.1%. By contrast, Checkers and Checkers Hyper delivered stronger momentum, with sales rising 8.9%, supported by internal selling price inflation of 1.9% and 1.1% respectively. Despite the faster growth at Checkers, Shoprite, Shoprite LiquorShop and Usave together still contributed 53.9% of total sales in the South African market.
The standout performer remained the Sixty60 on-demand delivery platform. Sales through the service surged 34.6% to R11.9 billion, accounting for 10.3% of the group’s South African turnover. The app has also supported growth in other parts of the business, including Petshop Science, which benefited from its integration into the Sixty60 platform.
Investment in expansion and staff
Over the past year, Shoprite opened 273 stores across its operations. In the last six months alone, the group created 1,711 new direct jobs and increased employee benefits by 8.6%.
This included R155 million allocated to South African staff through the Shoprite Employee Trust and related awards. The retailer also invested R513 million in training initiatives, including R52 million dedicated to 1,292 participants in the Youth Employment Service programme.
Engelbrecht said the group’s ability to grow sales, earnings and dividends in an environment characterised by minimal price inflation, instances of deflation and rising operating costs was noteworthy. He pointed out that sales growth in the core Supermarkets RSA division outpaced the broader market by 2.3 times for the period, according to NielsenIQ data. During the critical Black Friday and December festive trading window, this outperformance widened to 5.3 times market growth.
He thanked employees for prioritising affordability and customers for their continued loyalty, reaffirming the group’s commitment to helping shoppers stretch their budgets.
While the interim results reflect a solid close to 2025, the group will likely aim to accelerate growth in 2026, particularly in markets outside South Africa where performance has lagged.
Amendment to the Gazette