South Africa’s TFG reports 19.6 percent rise in turnover

For the year to March 31, 2019, The Foschini Group (TFG) reported retail group turnover growth of 19.6 percent compared to March 2018 with turnover growth of 8.9 percent for TFG Africa, 31.3 percent for TFG London and 58.3 percent for TFG Australia. Including comparable numbers for Hobbs (TFG London) and RAG (TFG Australia) acquired during the previous financial year, the company said, turnover grew by 3.5 percent and 14.5 percent respectively for TFG London and TFG Australia, while comparable store turnover growth of 5.6 percent was achieved for TFG Africa and 7.8 percent for TFG Australia.

“Against a backdrop of tough trading conditions and in an environment where the retail sector is facing significant disruption, all three business segments produced strong turnover growth in relation to their respective markets,” said group CEO Anthony Thunström in a statement.

The group’s online turnover, now contributing 8.8 percent to the total turnover, grew by 57.2 percent with 23 of the group’s 29 brands now available online. Group gross margin expanded to 53.6 percent from 52.5 percent at March 2018. The company added that headline earnings for the year grew by 12 percent to 2.7 billion South African rand. Excluding the acquisition costs incurred in the prior year relating to the Hobbs and RAG acquisitions, headline earnings grew by 8.5 percent. TFG declared a final dividend of 450 cents per share, an increase of 7.1 percent. At March 2019, the group’s footprint consisted of 4,085 outlets across 32 countries.

Picture:Facebook/TFG-The Foschini Group