15225 replies to this topic

[Polly]

now hows Shoprites trading statement seeing they part of Pepkor?

 

and sens issued after market closes tells a lot hay!!

[Polly]

Today Shoprite : ( part of Pepkor)

 

rading statement for the period ending 30 December 2018

SHOPRITE HOLDINGS LIMITED
(Incorporated in the Republic of South
Africa) Registration no. 1936/007721/06
ISIN: ZAE000012084
JSE share code: SHP
NSX share code: SRH
LuSE share code: SHOPRITE
(“the Group” or “the company”)

TRADING STATEMENT FOR THE PERIOD ENDING 30 DECEMBER 2018

Following the operational update for the 26 weeks to December 2018, the Group is in the
process of finalising its financial results for the period. After the adoption of IFRS 9 and IFRS
15, the effect of the impact of Hyperinflation accounting as well as the transition to moving
average cost for the valuation of stock, the company is satisfied that a reasonable degree of
certainty exists that the financial results for this period is likely to vary by at least 20% from the
corresponding period.

The low turnover growth resulting from low food inflation, temporary stock availability
challenges and currency devaluations combined with lower Non-RSA gross margins and
inflexible expense growths have adversely affected profitability. Given the numerous once-off
costs and challenging trading environment, the Group anticipates lower earnings per share
(“EPS”) and headline earnings per share (“HEPS”) for the 26-week period ended 30 December
2018, falling within the ranges below:

Estimated Reported
Including the Dec 2018 Dec 2017 Expected
hyperinflation adjustment (26 weeks) (26 weeks) % change

Basic HEPS (cents) 441.1 - 388.6 525.6 -16% to -26%
Basic EPS (cents) 421.6 - 369.5 521.3 -19% to -29%

Estimated Reported
Excluding the Dec 2018 Dec 2017 Expected
hyperinflation adjustment (26 weeks) (26 weeks) % change

Basic HEPS (cents) 387.4 - 334.9 525.6 -26% to -36%
Basic EPS (cents) 369.9 - 317.8 521.3 -29% to -39%

Profitability in the Group’s Non-RSA business suffered mainly as a result of the Angolan operation,
where the 85% devaluation in the local currency against the dollar since the beginning of 2018 caused
affordability challenges. The Group absorbed most of the price increases driven by higher import costs
which simply could not be passed on to consumers given the current economic recession. Higher US
dollar linked rentals in the Non-RSA operations also made local currency cost containment
challenging.

In the Group’s RSA business, the following factors impacted profitability:

- Deflation (the Group still had 10,719 items in deflation in December) in basic food
categories in which the Group commands a higher than average market share.
- Supply constraints stemming from industrial action and the deployment of a new ERP
IT system resulted in lost sales in the period. Additional labour costs were incurred to
ensure our supply chain remained operational and brought up to full efficiency over the
festive season.
- Adjustments relating to the change in accounting estimate between retail method of
accounting and moving average cost impacted Gross Margin.
- Cost increases in rentals, electricity, security, transport and depreciation could not be
curtailed in line with the lower than expected top line growth.

The Group remains positive about its operational strength, customer support for its brands and
continues to make progress on its longer term strategic priorities. The transformational
changes we made during the year-long migration to a new IT system were challenging, but
the deployment has now been completed. January 2019 has seen the improved trading trend
continue and we are confident of an improved second half as the impact of various once-offs
continues to ease.

The above financial information, including estimated financial information, is the responsibility
of the directors of Shoprite Holdings and has not been reviewed or reported on by the Group’s
auditors. The hyperinflationary adjustment has been prepared for illustrative purposes only.
The consolidated financial results for the review period will be published on or about 26
February 2019.

Pieter Engelbrecht Anton de Bruyn
Chief executive officer Chief financial officer

Tel 021 980 4000

Date issued: 29 January 2019

Sponsor: Nedbank Corporate and Investment Banki

[Polly]

Pepkor

 

Trading Update For The Three Months Ended 31 December 2018

 

Pepkor Holdings Limited

(Previously Steinhoff Africa Retail Limited)

(Incorporated in the Republic of South Africa)

(Registration number: 2017/221869/06)

Share Code: PPH

ISIN: ZAE000247995

(“PEPKOR” or the “Company”)

 

TRADING UPDATE FOR THE THREE MONTHS ENDED 31 DECEMBER 2018

 

In a challenging trading environment the Pepkor group increased revenue by 6.1% to

R19.5 billion for the three months ended 31 December 2018.

 

Clothing & general merchandise

 

The clothing and general merchandise segment reported sales growth of 6.1% and like-for-like

growth of 3.4%. Retail space increased by 4.0% compared to the comparative quarter.

 

The Pep and Ackermans brands in aggregate reported sales growth of 6.8% and like-for-like

sales growth of 2.7%. Core clothing, footwear and homeware (CFH) product categories

achieved 8.6% sales growth and 4.6% like-for-like growth which is very encouraging in the

current operating environment. Pep and Ackermans in aggregate reported inflation of 1.6% in

CFH retail selling prices.

 

Notwithstanding a decline in sales of 4.8% in rand terms as a result of currency devaluation

and poor performance in Zimbabwe, Pep Africa reported a markedly improved performance

in constant currency with sales growth of 18.7% and like-for-like growth of 13.3%. This was

supported by improved performance in Angola, Zambia and Nigeria.

 

The Speciality division reported sales growth of 7.3% with like-for-like growth of 3.0% in

aggregate. Satisfactory performance was achieved in the clothing product categories with

continued softer performance in footwear.

 

Furniture, appliances & electronics

 

The furniture, appliances and electronics brands reported sales growth of 0.6% and a decline

in like-for-like sales of 2.7% as the spending patterns of financially constrained consumers favour

essentials as opposed to durable product categories.

 

Building materials

 

Sales growth of 2.3% was achieved in the building materials segment with like-for-like growth

of 3.5% while retail space reduced by 1.3%. Performance was supported from a wholesale

perspective however, discounting in this highly competitive and contracting market continues

to put margins under pressure.

 

Fintech

 

The FLASH business continues to achieve significant growth, while a satisfactory performance

was reported by the Capfin call centre and debt collection operations. The segment reported

31.3% revenue growth for the quarter.

Outlook

 

Overall, Pepkor’s defensive market position and strategy of providing customers with value at

affordable prices, continue to resonate with a financially constrained consumer. It is expected

that these Pepkor fundamentals will continue to support future performance in a very

challenging retail environment.

 

Impact of Pepkor group’s pro forma constant currency disclosure

 

The Pepkor group discloses unaudited constant currency information to indicate Pep Africa’s

performance in terms of sales growth, excluding the effect of foreign currency fluctuations. To

present this information, current period turnover for Pep Africa reported in currencies other

than ZAR are converted from local currency actuals into ZAR at the prior year's actual average

exchange rates. The table below sets out the percentage change in sales, based on the

actual results for the period, in reported currency and constant currency for the basket of

currencies in which Pep Africa operates.

 

 % change in sales on prior period                                    Reported       Constant

                                                                      currency       currency

 

 Pep Africa                                                               (4.8%)         18.7%

 

The information included above is the responsibility of the directors and does not constitute an

earnings forecast and has not been reviewed and reported on by the Company’s external

auditors. The constant currency information has been prepared for illustrative purposes only.

 

Parow

 

28 January 2019

 

Sponsor

 

 

[Polly]

 yesterday PEPKOR comes out with solid results and the news media virtually said nothing. Where is Warren now? He should be out there saying that new management making things work. It is not correct to speculate and run down a company but forget about the good news. So for people listening to Warren will thing SNH is doomed going bankrupt next week yet its a business with strong cash flows both PEPKOR and PEPCO Europe. How come you don't say much about that!!!!

 

False information so ill correct you...

 

Wasnt solid results but a quarterly update which only shows turnover... Nothing to shout about thats why ignored by Market .

 

Yes a trading update for 6 months showing turnover and ebit and after taxes could then by scrutinized to see if solid or not.

 

Better still an audited financial statements will be more relied upon as all the backward looking claims and contingent liabilities will be taken care off in such accounts...

 

PS i dont care about Warren ( i didnt even look at the video)...Im giving you my views. 

[Lionelza1]

Only time this kak thing will move is during Feb, Q1 trading update. Then slow poison again. Will wait till then.

The end

haha i feel the same.....and then if they do the famous delay we shud see minimum 5% drop instantly

[leo]

Only time this kak thing will move is during Feb, Q1 trading update. Then slow poison again. Will wait till then.

The end

[Milo]

Hi in which time period day chart? Looks like will bounce from the 1.81

 

 

Yes my guess is that it will start going up now from 1.80 and when right shoulder is formed at about 2.10 to 2.15 then the inverted head and shoulder is completed and share bullish.

[DayTraderDad]

Left shoulder started about 23 October 2018 and completed a month later at 19 November 2018. The head pattern completed 2 months later at about 16 January 2019 and right shoulder started forming since 16 January 2019. Maybe right shoulder will be completed at about 20 February 2019. And then upside coming.

Thanks Milo.

[Milo]

Hi in which time period day chart? Looks like will bounce from the 1.81

 

Left shoulder started about 23 October 2018 and completed a month later at 19 November 2018. The head pattern completed 2 months later at about 16 January 2019 and right shoulder started forming since 16 January 2019. Maybe right shoulder will be completed at about 20 February 2019. And then upside coming.

[DayTraderDad]

Looks like there is a inverted head and shoulder pattern busy forming on the Steinhoff chart hoping it plays out and goes back to R 2.80 soon

Hi in which time period day chart? Looks like will bounce from the 1.81

[Milo]

Looks like there is a inverted head and shoulder pattern busy forming on the Steinhoff chart hoping it plays out and goes back to R 2.80 soon

 

[DayTraderDad]

do you stlll want to have this discussion in a civil way without attacking the messenger?

Can tell you a lot about Pepkor. 

Polly I have no intention attacking anyone the reason I enjoy chatrooms if to exchange truthful, factual correct, unbiased information. Yes would be great to ear about Pepkor just hope you not related to the old TekieTown management. Hahaha

[Polly]

Polly I understand much more than you think. My introduction to shares was in Joubert Park Joburg listerning to the Jews talking about the shares then going off to the ticky box to call their brokers while watching the game of Chess. This was in 1976 so you see I am not a newby in shares. The issue I have is you bring a quote for me to be humble because I am going against the steam but I have seen lots of people like you latch onto something and then cannot have a open mind like a dog biting on a bone. Everybody knows there is a risk in investing and that you can loose all your money that old news. I enjoy comments in both sides of the trade but should be objective with backup. Example there is miles of media articles about Steinhoff and Jooste but yesterday PEPKOR comes out with solid results and the news media virtually said nothing. Where is Warren now? He should be out there saying that new management making things work. It is not correct to speculate and run down a company but forget about the good news. So for people listening to Warren will thing SNH is doomed going bankrupt next week yet its a business with strong cash flows both PEPKOR and PEPCO Europe. How come you don't say much about that!!!!

do you stlll want to have this discussion in a civil way without attacking the messenger?

Can tell you a lot about Pepkor. 

[DayTraderDad]

never understood the point again...sad!!!

Polly I understand much more than you think. My introduction to shares was in Joubert Park Joburg listerning to the Jews talking about the shares then going off to the ticky box to call their brokers while watching the game of Chess. This was in 1976 so you see I am not a newby in shares. The issue I have is you bring a quote for me to be humble because I am going against the steam but I have seen lots of people like you latch onto something and then cannot have a open mind like a dog biting on a bone. Everybody knows there is a risk in investing and that you can loose all your money that old news. I enjoy comments in both sides of the trade but should be objective with backup. Example there is miles of media articles about Steinhoff and Jooste but yesterday PEPKOR comes out with solid results and the news media virtually said nothing. Where is Warren now? He should be out there saying that new management making things work. It is not correct to speculate and run down a company but forget about the good news. So for people listening to Warren will thing SNH is doomed going bankrupt next week yet its a business with strong cash flows both PEPKOR and PEPCO Europe. How come you don't say much about that!!!!

[Polly]

 

DAD this ones for you..

 

"You can’t make money agreeing with the consensus view, which is already embedded in the price. Yet whenever you’re betting against the consensus, there’s a significant and greater probability  you’re going to be wrong, so you have to be humble."

 

~ Ray Dalio

 

never understood the point again...sad!!!

[DayTraderDad]

go see the Ellies thread which was being pumped big....Only one poster said careful , u can get burnt.....go see now where price is...and i had no interest in Ellies..

 

 

You investing here emotionally without sound grounds....thats it....i wont post here anymore..

 

 

Moral of story:  Others be carefull with the pumpers who have a significant interest in there postings ...Could mislead.....

 

 i hate pumpers and dumpers who do so for their own interests but not interest of forum

Good leave SNH alone!

[Polly]

 

Polly I have given up talking to you because if you don't invest in SNH what the hell are you always trying to find the negative in SNH? Its just like s small dog barking at people passing by. You trying to play the mother Theresa but your negativity is not helping  anyone to try make their own mind, surely there must be something good about SNH? I can also quote Warren Buffet about when everybody running you fill your boot. Anyway over and out!!

 

 

go see the Ellies thread which was being pumped big....Only one poster said careful , u can get burnt.....go see now where price is...and i had no interest in Ellies..

 

 

You investing here emotionally without sound grounds....thats it....i wont post here anymore..

 

 

Moral of story:  Others be carefull with the pumpers who have a significant interest in there postings ...Could mislead.....

 

 i hate pumpers and dumpers who do so for their own interests but not interest of forum

[DayTraderDad]

 

DAD this ones for you..

 

"You can’t make money agreeing with the consensus view, which is already embedded in the price. Yet whenever you’re betting against the consensus, there’s a significant and greater probability  you’re going to be wrong, so you have to be humble."

 

~ Ray Dalio

 

Polly I have given up talking to you because if you don't invest in SNH what the hell are you always trying to find the negative in SNH? Its just like s small dog barking at people passing by. You trying to play the mother Theresa but your negativity is not helping  anyone to try make their own mind, surely there must be something good about SNH? I can also quote Warren Buffet about when everybody running you fill your boot. Anyway over and out!!

 

Edited by DayTraderDad, 29 January 2019 - 11:13 AM.

[Polly]

DAD this ones for you..

 

"You can’t make money agreeing with the consensus view, which is already embedded in the price. Yet whenever you’re betting against the consensus, there’s a significant and greater probability  you’re going to be wrong, so you have to be humble."

 

~ Ray Dalio

[Lionelza1]

did you mean its almost as if Steinhoff is about to go down???   

hahaha eish that would not be a lekka day!....but i know it is possible