Mr Price has seen a rapid expansion in its store network since the start of the network, with the company benefiting from three major acquisitions over the period. <\/p>\n\n\n\n
Mr Price surpassed 3,000 stores during the year ended 29 March 2025, opening 184 stores across its 15 trading chains, expanding its total store footprint to 3,030 stores. <\/p>\n\n\n\n
The new stores highlight the rapid expansion of Mr Price stores since mid-2021, which were fuelled by strategic acquisitions and further investment in existing brands. <\/p>\n\n\n\n
The group\u2019s total number of stores has more than doubled from its 1,400 stores seen in 2021. <\/p>\n\n\n\n
This comes after the group purchased Yuppiechef, Power Fashion and Studio 88 in the period. The group also expanded into standalone Mr Price Kids and Mr Price Baby stores. <\/p>\n\n\n\n
The group said that its weighted average trading space increased 4.3% over the 2025 financial year, with new store returns continuing to be closely managed. <\/p>\n\n\n\n
These new stores far exceed the group\u2019s Return on Operating Assets (ROOA) thresholds, which exceed its weighted average cost of capital (WACC).\u00a0<\/p>\n\n\n\n
The group\u2019s total revenue for the period increased by 7.9% to R40.9 billion, gaining half a percentage point of market share. <\/p>\n\n\n\n
The group\u2019s gross margin expanded to 40.5%, while its operating profit reached a record level of R5.8 billion. <\/p>\n\n\n\n
Basic and headline earnings per share of 1,416.3 cents and 1,424.0 cents were up 11.0% and 10.7% respectively. <\/p>\n\n\n\n
The group\u2019s final dividend increased by 12.7% to 593.5 cents per share over the period.\u00a0<\/p>\n\n\n\n
The group noted that it recorded a strong second-half performance as it gained further profitable market share in line with its strategy. <\/p>\n\n\n\n
This came despite the weaker February for the retailer and the shift from school holidays and Easter from March to April. <\/p>\n\n\n\n
It said that the performance was due to improved sales momentum and lower markdowns following a more muted retail environment in the first half. <\/p>\n\n\n\n
\u201cThe first half of the financial year was challenging for the retail sector but improved in the second half,\u201d said group CEO Mark Blair.<\/p>\n\n\n\n
\u201cThe growth in sales momentum through the second half was supported by strong comparable store sales growth and GP margin gains across all trading segments.\u201d <\/p>\n\n\n\n
The group\u2019s customers preferred to transact with cash, as its cash sales constituted 89.3% of group retail sales and increased 7.9%. <\/p>\n\n\n\n
Interest rate cuts in H2 supported an improved credit environment, reflecting the group\u2019s approval rate rising to 20.3% and peaking at 23.8% in March 2025. <\/p>\n\n\n\n
\u201cCredit approvals will continue to be cautiously managed, while the group\u2019s lay-by offering gained further support,\u201d said the group. <\/p>\n\n\n\n
\u201cImprovement in the credit cycle in H2 provided an opportunity for the group\u2019s credit granting scorecard to be reassessed and increase its account approval rate.\u201d <\/p>\n\n\n\n
That said, the financial services segment\u2019s revenue increased by 5.7% to R918 million over the period. <\/p>\n\n\n\n
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