DURBAN – Cashbuild continued to feel the effects of the subdued consumer spending in South Africa in the first three months of the year, with its first quarter revenue rising by 2 percent boosted by new stores opening.
The largest retailer of building materials and associated products said it had opened 14 new stores from July last year, which contributed to the 2 percent increase compared to the same quarter last year, while the 303 existing stores remained at similar levels as of last year.
“Transactions for the Cashbuild Group increased by 1 percent, with new stores increasing by 3 percent and existing stores decreasing by 2 percent,” the group said in a voluntary trading update released to the market yesterday.
Its selling inflation was 3 percent during the quarter when compared to the quarter ending September last year and gross profit margin percentage for the group remained at similar levels to those of the same quarter last year.
However, Cashbuild managed to increase its store network in the quarter by adding three new stores of which two of those were added in Cashbuild and one P&L Hardware to its portfolio.