Clicks opening hundreds more stores in South Africa
The Clicks Group has seen a double-digit rise in earnings, with the group set to open hundreds of new stores over the medium-term.
In its financial results for the year ended 31 August 2025, the group said that it demonstrated the resilience of its core products in a challenging environment.
The group increased diluted headline earnings per share by 14.1% to 1,362 cents, while its return on equity (ROE) reached 49.2%. Group turnover rose by 5.3% to R47.8 billion.
It said that it saw a 10.7% increase in private label and exclusive brands which accounted for R9.7 billion of the chain’s turnover.
The company increased its store base to over 990 after opening a net 55 stores.
The group’s pharmacy network was also expanded to 780, with a net 60 pharmacies opening during the year.
The group’s capital expenditure over the period reached R985 million, and it was mainly invested in new stores, pharmacies, refurbishments, supply chains, and IT.
It added that it plans to open 40 to 50 more stores and 40 to 50 pharmacies in the 2026 financial year.
Capital expenditure of R1.3 billion is also planned for the 2026 financial year, which includes R662 million for the new stores and pharmacies and refurbishing 70 to 80 stores.
The group said that is committed to achieving its medium-term target of 1,200 stores and opening 10 – 15 UniCare specialised pharmacies.
Clicks ClubCard, which reached its 30th anniversary, also grew its active membership to 12.6 million and contributed 82.6% of sales in Clicks.
Loyalty members received over R850 million in cashback, bringing total rewards paid to customers over the past 30 years to R7.5 billion.
The group declared a total dividend for the year of 886 cents per share, which was a 14.2% increase, and a payout ratio of 65%.
On top of the dividends, the group also gave shareholders R751 million via share buybacks.
| Consolidated statement of comprehensive income | Year to 31 August 2025 (R’000) | Year to 31 August 2024 (R’000) | % change |
|---|---|---|---|
| Turnover | 47 828 079 | 45 437 640 | 5.3% |
| Gross profit | 11 399 653 | 10 632 419 | 7.2% |
| Total income | 14 860 861 | 13 714 721 | 8.4% |
| Headline earnings | 3 234 282 | 2 844 598 | 13.7% |
| Net financing cost | (242 970) | (265 172) | (8.4%) |
| Headline earnings per share (cents) | 1 361.7 | 1 193.5 | 14.1% |
| Total Dividend per share (Cents) | 886 | 776 | 14.2% |
Outlook
Looking ahead, Clicks said South Africa’s macroeconomic indicators encourage retail spending over the medium term.
While discretionary spending may remain under pressure, the group said well-positioned in this environment due to its competitive advantage in health and beauty sectors.
Management is also looking to leverage its recent investments in Sorbet, UniCAre and the LEAP pharmacy system.
“Private label remains the primary driver of the group’s differentiation strategy,” it said.
“The group aims to sustain the strong recent growth momentum in private label and exclusive brands, targeting a 35% contribution to front shop sales in the medium term.”
With the addtion of 60 new pharmacies, Clicks is by far the largest retail pharmacy group in South Africa.
| Pharmacy | Stores |
|---|---|
| Clicks Pharmacy | 780 |
| Alpha Pharmacy | 350+ |
| Link Pharmacy | 300+ |
| Dis-Chem Pharmacy | 285 |
| Medirite Pharmacy | 144 |
| Pharmacy @ SPAR | 125 |
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