{"id":827413,"date":"2025-06-10T08:30:00","date_gmt":"2025-06-10T06:30:00","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=827413"},"modified":"2025-06-10T07:52:29","modified_gmt":"2025-06-10T05:52:29","slug":"pick-n-pay-ceo-scores-r25-million-payday","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/business\/827413\/pick-n-pay-ceo-scores-r25-million-payday\/","title":{"rendered":"Pick n Pay CEO scores R25 million payday"},"content":{"rendered":"\n

Pick n Pay CEO Sean Summers received R24.9 million in the latest financial year, as the group is starting to see significant improvements in its financial results.<\/p>\n\n\n\n

Summers, who returned to Pick n Pay in late 2023, saw his total remuneration reach R24.9 million for the year ended 2 March 2025.<\/p>\n\n\n\n

The payout is exclusively made up of a R24.9 million base salary, with the CEO in his early 70s and not receiving any retirement and medical contributions nor short-term performance bonuses.<\/p>\n\n\n\n

However, he did receive R40.2 million in long-term awards, which should pay out in the coming years.<\/p>\n\n\n\n

Summers is a Pick n Pay stalwart, having worked for the company from 1974 to 2007 before re-joining the company in 2023.<\/p>\n\n\n\n

He was named the managing director in 1996 and took over as CEO from founder Raymond Ackerman in 1999.<\/p>\n\n\n\n

Given his reputation in the group, he was called back to save a sinking ship, with Pick n Pay suffering from its botched Ekuseni strategy.<\/p>\n\n\n\n

Although Summers’ remuneration is well short of Shoprite CEO Peiter Engelbrecht’s recent R84 million in single-figure remuneration, he was offered a large performance-related package last year.<\/p>\n\n\n\n

In May 2024, Pick n Pay’s remuneration committee awarded Summers 4,000,000 performance-based shares.<\/p>\n\n\n\n

These shares were issued at a nil cost and may vest, subject to performance conditions met, over 32 months.<\/p>\n\n\n\n

2 million of these shares vest later this year and are based on the implementation of effective leadership and operational structures.<\/p>\n\n\n\n

Another one million are based on the CEO succession plan, while another million are based on financial-performance targets.<\/p>\n\n\n\n

Based on a share price of R27 in 2024, these performance-based shares would have a value of R108 million.<\/p>\n\n\n\n

Summers\u2019 contract was recently extended by an extra year to 2028, ensuring stability during a significant strategic transformation.<\/p>\n\n\n\n

Other executive and board member pay<\/h2>\n\n\n
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The group’s recent financial statements also showed that outgoing chairman Gareth Ackerman scored R14.3 million during the financial year.<\/p>\n\n\n\n

Ackerman, whose father founded the company, will be succeeded by former RMB CEO James Formby as chairman.<\/p>\n\n\n\n

As he was already a board member, Formby earned close to R1.9 million during the 2025 financial year.<\/p>\n\n\n\n

Fellow Ackermans who served on the board included Jonathon and Suzanee, who earned R621,000 and R770,000 in total remuneration, respectively.<\/p>\n\n\n\n

Regarding the executive directors, the group also included CFO Larna Olivier’s remuneration, which reached R9.1 million following a R2.9 million short-term performance bonus.<\/p>\n\n\n\n

Overall, the group’s 11 non-executive directors and two executive directors earned over R48 million in total remuneration throughout the year.<\/p>\n\n\n\n

This remuneration comes despite the overall group declaring a R736 million loss for the financial year, as the group’s core grocery business continues to struggle.<\/p>\n\n\n\n

However, the loss was a massive improvement from the R3.3 billion seen only a year prior. The group said that the improvement marks a turning point, as it executes the first leg of its financial recovery.<\/p>\n\n\n\n

During 2024, the group completed a two-twp recapitalision plan. This included a R4 billion rights offer and the IPO of Boxer, which raised R8.5 billion for Pick n Pay.<\/p>\n\n\n\n

With the recapitalisation strengthening its balance sheet, the group focuses on Pick n Pay’s further operational recovery, while Boxer continues its growth strategy.<\/p>\n\n\n\n

Several crucial milestones were achieved in FY25 for the Pick n Pay business, which included closing or converting 40 loss-making SA supermarkets. <\/p>\n\n\n\n

\u201cThe path back to break-even, profitability and ultimately long-term sustainable success is clear and will be executed in a considered and methodical manner,\u201d said the group.<\/p>\n\n\n\n

\u201cHowever, it will take longer than initially envisaged, as the chosen strategy is to build retail muscle memory for long-term success.\u201d<\/p>\n\n\n

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Pick n Pay’s executive remuneration<\/figcaption><\/figure><\/div>","protected":false},"excerpt":{"rendered":"

Pick n Pay CEO Sean Summers earned R25 million in the most recent financial year, as he tries to steer the ship back in the right direction. <\/p>\n","protected":false},"author":95,"featured_media":774249,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[9872],"tags":[6655,4067,19960],"class_list":["post-827413","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-boxer","tag-pick-n-pay","tag-sean-summers"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/827413","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=827413"}],"version-history":[{"count":3,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/827413\/revisions"}],"predecessor-version":[{"id":827438,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/827413\/revisions\/827438"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/774249"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=827413"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=827413"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=827413"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}