Shoprite Holdings increased trading profit by 8.4% to R16.2bn in the year to 28 June 2026. The retailer grew sales by selling more goods to more customers, while keeping its price increases well below food inflation.
Sales of merchandise rose 7.2% to R270.8bn, and total revenue was R274.8bn. The trading margin edged up to 6.0% from 5.9%, reaching the group’s medium-term target. Diluted headline earnings per share from continuing operations rose 12.2% to 1,527.4c, and the full-year dividend increased 11.8% to 873c.
The group’s internal selling price inflation at its South African supermarkets was 0.8%, down from 2.3% a year earlier. Statistics South Africa measured food and non-alcoholic beverage inflation at 3.9% over the same period. Prices fell at the Shoprite and Usave chains, by 0.1% and 0.6% respectively. Customer visits rose 5.3% and the average basket grew 1.8%.
| Indicator | FY2026 | FY2025 |
|---|---|---|
| Sale of merchandise | R270.8bn | R252.7bn |
| Trading profit | R16.2bn | R15.0bn* |
| Trading margin | 6.0% | 5.9% |
| Diluted HEPS (continuing) | 1,527.4c | 1,361.0c |
| Dividend per share | 873c | 781c |
| Sixty60 sales | R25.5bn | R18.9bn |
| Stores (continuing) | 3,710 | 3,478 |
*Derived from the reported 8.4% growth.
Supermarkets RSA, which accounts for most of the group, increased sales 7.1% to R228.7bn and trading profit 7.9% to R15.0bn, at a 6.6% margin. Checkers and Checkers Hyper led growth, with sales up 10% to R105.2bn. Shoprite and Usave, which serve lower-income shoppers, grew 4.3% to R121.6bn.
Online delivery remains the fastest-growing part of the business. Sales on the Sixty60 platform rose 34.5% to R25.5bn and are now offered from 976 stores. Sixty60 accounts for about 11% of South African supermarket sales.
Outside South Africa, supermarket sales grew 11% in rand terms to R22.8bn, and trading profit rose 13.4% to R684m. The margin there remains low, at 3%. Other operating segments recorded a 5.4% fall in trading profit to R617m, which analysts attributed mainly to the end of a large franchise agreement.
Shoprite opened 348 stores during the year, for a net increase of 232, and created 5,491 direct jobs. Capital expenditure fell to R6.8bn from R8.0bn, and the group ended the year with R13.0bn in net cash. Adjusted return on invested capital was 19.8%, against a weighted average cost of capital of 11.5%.
Costs remain a pressure point. Electricity and water costs rose more than 19% after a 12.7% increase in electricity tariffs approved by the National Energy Regulator of South Africa. The planned sale of OK Furniture to Pepkor is still awaiting a decision from the Competition Commission, close to two years after the deal was announced.
After year end, the group bought a majority stake in R&A Cellular and agreed to acquire coffee chain Vida e Caffè, a deal that still needs regulatory approval. Sales grew 7.7% in July 2026, with internal inflation at 0.6%. Shoprite will release a first-quarter operational update before its annual general meeting on 6 November 2026.