Checkers Sixty60 is rocking

Shoprite’s Checkers Sixty60 offering increased its sales by over 60% in the last six months of 2023.

In an operating update released this morning, Shoprite informed shareholders that it increased its total sales by 13.9% to approximately R121.1 billion in the six months through December 2023.

The company’s core business, Supermarkets RSA, contributed 80.5% to total sales, achieving sales growth of 14.6%.

Shoprite said that sustained high level of execution and continued customer momentum, combined with record Black Friday and festive season trade, extended the period of uninterrupted market share gains achieved by its core South African supermarket brands to 58 months.

“Our ongoing commitment and investment into price leadership in support of our customers resulted in our Shoprite and Checkers Xtra Savings rewards programme customers saving R8.4 billion over the period,” the company said.

Shoprite recorded internal selling price inflation of 7.7%.

Checkers and Checkers Hyper reported sales growth of 13.7%, with Checkers Sixty60 online sales increasing by 63.1%.

Shoprite’s other operating segments – comprising the OK Franchise, Transpharm, Medirite Pharmacies, Red Star Wholesale Catering Services and Computicket – reported sales growth of 23.1%. 

This segment makes up 7.4% of Group sales.

Shoprite said this period’s growth was positively impacted by the inclusion of the 94 stores acquired from Massmart Holdings, which were integrated into its operations as follows: 

• Shoprite – 51 stores
• Usave – 1 store
• Shoprite LiquorShop – 42 stores

Adjusting for this acquisition, the Supermarkets RSA segment sales increased by 11.2%.

The Supermarkets RSA segment, inclusive of the stores acquired from Massmart, added a net 285 stores during the past 12 months to a total of 2,237 stores

This strong performance comes despite load-shedding-related power outages resulting in a R500 million diesel expense to operate generators across Shoprite’s South African supermarket business.

Shoprite is expected to release its 2024 interim results for the period ended 31 December 2023 on Tuesday, 5 March 2024.