Johannesburg - Upmarket food and clothing retailer Woolworths expects its bottom line to increase by between 15 to 25 percent for the full year.
In a statement issued on Thursday, for the 52 weeks to June, the listed retailer said group sales - excluding David Jones which it bought in August 2014 for $2 billion - grew 12 percent. When the Australian outlet is added in, sales gained 16. 4 percent.
“Group apparel sales in the second half were impacted by the late start to winter and the unseasonably warm weather experienced across the southern hemisphere,” it says.
Its clothing and general merchandise sales increased 8.2 percent, with a price movement of 6.2 percent. Stripping out new sores - Woolworths added net space of 4.9 percent - sales gained 4.4 percent.
Food sales gained 11.9 percent, with a price movement of 6.7 percent. Sales in comparable stores grew by 5.7 percent and net retail space grew by 9.3 percent.
Sales by Australia-based David Jones grew 8.4 percent in Australian dollar terms, partially boosted by a 3.5 percent gain in space.
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The Woolworths Financial Services debtors’ book reflected year-on-year growth of 2.5 percent at the end of June 2016, with an impairment rate for the twelve months ended 30 June 2016 at 5.7 percent compared to 5.4 percent a year ago.
Woolworths results should be published on August 25.
IOL
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