Pick n Pay reports substantial losses, declares no dividend

The disappointing financial results for Pick n Pay were largely due to a particularly challenging period of high load shedding costs and increased competition.Pick n Pay declared a no dividend due to disappointing financial results for the 26 weeks to 27 August 2023. The group spent just under R400-million on diesel, which added to the growth of its expenses and limited its ability to respond to the strong promotional activity of its competitors.

“This is an exceptional company with a much-loved brand and a rich heritage. We have a lot of work to do and I have received strong support from our people. They want to see Pick n Pay succeed, and my task will be to see that we work hard on the basics and improve significantly both on customer service and on execution in our supermarkets.”

Trading expenses increased 13.7% and included R190 million for energy costs and R259 million for employee restructuring costs. Apart from these two items, underlying trading expense growth was 9.1%.

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