South African supermarket chain Pick n Pay to expand into Nigeria

Tue Apr 26, 2016 1:19pm GMT
 

"People have realised that Africa is not just going to be a pot of gold at the end of the road, it's a lot of graft and it's going to need long-term investment rather than something that happens quickly," Cape Town-based Beelders said.

Pick n Pay has lost ground in South Africa to rivals such as market leader Shoprite, after failing to invest in new stores. But Brasher, a former UK head of Tesco who took over in January 2013, is implementing a plan to win back market share.

Pick n Pay said headline earnings per share (EPS) rose 26.4 percent from a year earlier to 224.04 cents in the year to the end of February, helped by cost-cutting measures. Headline EPS, a measure that excludes certain one-off items, is the profit figure most widely used in South Africa.

The company declared a final dividend of 125.20 cents per share, bringing the year's total payout to 149.40 cents, 26.5 percent higher than the previous year.

Shares in Pick n Pay, which are up nearly 30 percent over the last year, inched up 0.58 percent to 69.89 rand by 1215 GMT.

(Editing by James Macharia and Susan Fenton)

A shopper pushes a cart at a branch of South African retailer Pick n Pay at a mall in Soweto, southwest of Johannesburg August 4, 2014. REUTERS/Siphiwe Sibeko
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