Game, Makro owner Massmart plunges to over R1bn loss

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Game, Makro owner Massmart plunges to over R1bn loss | Fin24

, which owns Game, Makro and DionWired, plunged into a R1.1 billion headline loss in the 2019 financial year. This followed the group’s expenses growing three times faster than its sales as it increased staff count and opened new stores in a depressed retail environment.

The retail group published the news on the JSE stock exchange news service on Thursday morning. It said its sales grew by 3% in 2019, but on a comparable basis, they were up only 1.5%. Internal sales inflation stood at 2.5%. Sales from South African stores increased by 2.7%, but comparable stores sales increased by 1.3%.

Massmart said both Game and DionWired suffered because of lower consumer spending on durable goods in 2019. Combined, their comparable stores sales contracted by 2.1% and they also experienced a product deflation – price declines – of 0.2%. Even though Game’s sales in South Africa grew by 1.9% on the back of increased foot traffic, the brand’s sales in the rest of Africa contracted. Sales at DionWired declined by a whopping 19.8%.

 

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Fin24 Absolutely ridiculous,Makro is busier than ever despite top gross profit margins;Should be profitable. Your shops are being ROBBED,and youve too many staff who earn more & more wages without producing more,but make your AA-stats look good for government favors which mean nothing.

Fin24 You can thank the ANCParliament for making such dumb decisions and pushing counter confidence choices like EWC. The looting and eventual collapse of ESKOM with massive bailouts of SAA, EDGARS, DENEL etc have all contributed to a disaster in our economy. COSATU is going to end us

Fin24 Another company closing several stores.....Starbucks didn't make it and are closing down as are Burger King and Domino's ..scary to see so many stores closing even in the big malls with lots of foot traffic...nevermind the small businesses that are suffering

Fin24 Another company going under. More people to lose jobs

Fin24 Moer!

Fin24 So this is that 0.9 Economic Growth

Fin24 Nice !

Fin24

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