In a week that saw Shoprite deliver 12 percent earnings growth, competitor Woolworths was left a little red-faced.
The retailer’s bottom line was boosted by the R1.76bn profit from the sale of David Jones’s Sydney HQ, but if one strips this out, headline earnings for the year ended June fell 7.6 percent.
Woolworths is making a fist of its decision to enter the Australian market, a destination that historically has not been kind to SA retailers. Pick n Pay left with its tail between its legs after a ten year long battle with Franklins.
The market reacted negatively to the numbers, with the Woolworths share price losing 5 percent in early morning trade.