{"id":818197,"date":"2025-03-26T16:16:52","date_gmt":"2025-03-26T14:16:52","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=818197"},"modified":"2025-03-26T16:16:58","modified_gmt":"2025-03-26T14:16:58","slug":"how-much-you-would-have-if-you-invested-r10000-into-mr-price-pepkor-truworths-and-tfg-one-year-ago","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/business\/818197\/how-much-you-would-have-if-you-invested-r10000-into-mr-price-pepkor-truworths-and-tfg-one-year-ago\/","title":{"rendered":"How much you would have if you invested R10,000 into Mr Price, Pepkor, Truworths and TFG one year ago"},"content":{"rendered":"\n

South Africa’s largest clothing retailers have seen different levels of performance over the last year, with Pepkor, Mr Price and the Foschini Group (TFG) going strong, while Truworths struggles.<\/p>\n\n\n\n

South Africa’s retail landscape has improved dramatically in recent times, with many consumers buoyed by lower inflation, declining interest rates and political stability following the 2024 National election. <\/p>\n\n\n\n

The latest retail survey from the Bureau for Economic Research (BER) showed business sentiment in the sector remains broadly positive. <\/p>\n\n\n\n

The report showed that overall retailer confidence edged down slightly from 54% to 50% in Q1 2025, highlighting strong momentum.<\/p>\n\n\n\n

However, sentiment remains higher than the 10-year average.<\/p>\n\n\n\n

The improved sentiment also follows positive retail sales data from Stats SA, which showed a 5.4% year-on-year increase in Q4 2024.<\/p>\n\n\n\n

Growth was broad-based, with semi-durable and non-durable goods rising by 7.7% and 6.5% by the end of the year, respectively.<\/p>\n\n\n\n

The BER said that additional spending power resulted from lower inflation, improved consumer confidence, and the impact of the two-pot retirement withdrawals.<\/p>\n\n\n\n

With the positive environment for retailers, BusinessTech decided to compare the performance of South Africa’s largest fashion retailers on the JSE.<\/p>\n\n\n\n

Our comparison will only look at JSE-listed companies where clothing is their primary business activity and makes up most of their revenue.<\/p>\n\n\n\n

Woolworths, Pick n Pay, and now Shoprite all offer clothing stores. However, these retailers still make up the majority of their revenue from food sales.<\/p>\n\n\n\n

Pepkor<\/h2>\n\n\n
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Pepkor is South Africa’s largest clothing retailer and owns Pep, Ackermans, Shoe City, Tekkie Town, and Refinery.<\/p>\n\n\n\n

Listed in 2017, the company’s share price has risen by 41.52% over the last year. This means that R10,000 invested a year ago would now be worth R14,152.<\/p>\n\n\n\n

Pepkor recently announced that it would massively extend its store footprint by purchasing several brands from Retailability. These include Legit, Swagga, Style, and Boardmans.<\/p>\n\n\n\n

The businesses to be acquired operate over 450 stores across South Africa, Botswana, Lesotho, Namibia and Eswatini.<\/p>\n\n\n\n

The group hopes the acquisitions will allow it to expand its market share in adult wear, which it believes is underrepresented, unlike the babies\u2019, kids\u2019 and school wear markets.<\/p>\n\n\n\n

However, Edgars, Edgars Beauty, Red Square, Kelso and Keedo businesses are not included in the transaction and will continue to be operated by Retailability.<\/p>\n\n\n\n

Mr Price<\/h2>\n\n\n
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Mr Price has also seen strong growth in its share price over the last year, rising by 31.80%. This means that R10,000 a year ago would now be worth R13,180. <\/p>\n\n\n\n

The group’s recent performance has been strong, opening its 3,000th store during the third quarter of its 2024\/24 financial year.<\/p>\n\n\n\n

Retail sales increased 10.6% to R14.6 billion during the period, and South African retail sales increased 10.8% to R13.7 billion.<\/p>\n\n\n\n

The group’s credit sales also increased by 5.7% despite its cautiously implemented account approval framework.<\/p>\n\n\n\n

Data from the National Credit Regulator Shows that consumer credit applications reached an all-time high in Q3 2024. <\/p>\n\n\n\n

In its interim results for the six months ending September 2024, Mr Price said demand for credit from consumers remained high as new account applications increased 32.6%, while the approval rate stood at 19%.<\/p>\n\n\n\n

The Foschini Group<\/h2>\n\n\n
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TFG is the third-best-performing JSE-listed clothing retailer in terms of share price, with its share price jumping by 27.50% over the last year.<\/p>\n\n\n\n

This means that R10,000 invested a year ago would now be worth R12,750. The latest trading update showed that group sales grew by 8.4% between September and December 2024.<\/p>\n\n\n\n

This was far ahead of the 2.0% seen in the first half of the 2024\/25 financial year. Gross profit also increased by 5.9% compared to the prior nine-month period. <\/p>\n\n\n\n

TFG Africa\u2019s online sales grew by 41.4% over the nine months and contributed 5.6% to overall sales. The Bash platform drove this growth.<\/p>\n\n\n\n

Near the end of last year, the group also announced that it had acquired White Stuff, a UK-based fashion and lifestyle retailer.<\/p>\n\n\n\n

The White Stuff brand joins TFG’s other UK-based fashion brands, such as Hobbs, Whistles, and Phase Eight.<\/p>\n\n\n\n

Truworths<\/strong><\/h2>\n\n\n
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While the other retailers have seen strong share price growth over the last year, Truworths’ performance has been poor.<\/p>\n\n\n\n

The group’s share price has only grown by 0.32% over the last year. This means that R10,000 invested a year ago would now only be worth R10,032. <\/p>\n\n\n\n

The company’s latest interim results for the 26 weeks ended 29 December 2024 were incredibly lacklustre, with revenue only growing by 1.4% to R12.93 billion. <\/p>\n\n\n\n

Group retail sales increased by 2.4%, but its cost of sales increased by 6.56%. The retailer’s profit dropped by 7.3% to R1.83 billion. <\/p>\n\n\n\n

These meagre results are mainly due to the underperformance of Truworths\u2019 Africa division, which decreased by 1.1% over the period.<\/p>\n\n\n\n

However, the group’s UK market is performing relatively well, with retail sales in the Office UK segment increasing by 11.3% in Sterling terms to \u00a3180 million.<\/p>\n\n\n\n

Company<\/strong><\/td>% Change<\/strong><\/td>How much R10,000 would be worth today<\/strong><\/td><\/tr>
Pepkor<\/td>41.52%<\/td>R14,152<\/td><\/tr>
Mr Price<\/td> 31.80%.<\/td>R13,180<\/td><\/tr>
TFG<\/td>27.50%<\/td>R12,750<\/td><\/tr>
Truworths<\/td>0.32%<\/td>R10,032<\/td><\/tr><\/tbody><\/table><\/div><\/figure>\n\n\n\n

<\/p>\n\n\n\n

<\/p>\n","protected":false},"excerpt":{"rendered":"

South Africa’s retail environment is improving, and most of the nation’s largest clothing stores have seen a large rise in their share price. <\/p>\n","protected":false},"author":95,"featured_media":808021,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9872],"tags":[3672,2910,4076,9214,22126],"class_list":["post-818197","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-foschini","tag-mr-price","tag-pepkor","tag-tfg","tag-truwroths"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/818197","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/95"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=818197"}],"version-history":[{"count":10,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/818197\/revisions"}],"predecessor-version":[{"id":818338,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/818197\/revisions\/818338"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/808021"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=818197"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=818197"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=818197"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}