TFG posts 21.3% fall in half-year profit

Source: Reuters/Siphiwe Sibeko

TFG said headline earnings per share fell to 292.6 cents in the six months ended 30 September compared to the prior year. Operating profit declined 9.9% to R2.3bn ($132.85m), reflecting persistent economic pressures and higher promotional intensity across winter months, it said.

"The period was marked by weak and uneven consumer demand in South Africa, particularly in June and September, which impacted margins and profitability," the retailer said.

Group gross margin contracted by 20 basis points to 49.3%.

Revenue at group level increased by 12.2% to R31.4bn, supported by the inclusion of White Stuff in the UK and growth in TFG Africa. Online sales rose 55.3%, now contributing 14.7% of total group sales.

The retailer declared an interim dividend of 130 cents per share.