| Thu 27 Jan 2011, 7:05 | | JDG - JD Group Limited - Sales and debtors update for the four months ended |
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JDG
JDG
JDG - JD Group Limited - Sales and debtors update for the four months ended
15 January 2011
JD Group Limited
(Incorporated in the Republic of South Africa)
(Registration number 1981/009108/06)
ISIN: ZAE000030771
JSE code: JDG
("JD Group" or "the Group")
SALES AND DEBTORS UPDATE FOR THE FOUR MONTHS ENDED 15 JANUARY 2011
The Group is pleased to report that tangible benefits are beginning to emerge
from its strategic decision to decouple the Furniture Retail and Financial
Services operating divisions.
Merchandise sales at the Furniture Retail division increased by 20,4% over the
previous corresponding period (68% of these sales were done on credit against
66% in 2010). What is particularly encouraging is that merchandise sales
increased by 25,2% over the festive period.
Total debtors costs at Financial Services decreased by 16% over the
corresponding period. This result is more than satisfactory considering the
loan book grew by a respectable 12%. The improved collection rates together
with a 17% reduction in bad debts written off over the period, are ahead of our
expectations.
The Cash division (incorporating Incredible Connection and Hi-Fi Corporation)
showed a 6,1% increase in merchandise sales with a very gratifying increase in
unit sales. Product deflation of 10% did, however, negatively impact top-line
sales in the Cash division.
ABRA, the Group`s Polish operation, reflected a 4% decrease in sale of
merchandise in Zloty terms. The Rand equivalent has been further affected by an
11% decline in the average exchange rate for the period, resulting in a 15%
decrease in ABRA`s sales for the four months in Rand terms. The lower than
expected sales were largely due to the impact of the severe weather conditions
on deliveries.
At a consolidated level, the Group increased its sale of merchandise by 11,5%
for the four months ended 15 January 2011.
The Group expects to release its results for the six month period ending 28
February 2011 on or about Monday, 16 May 2011.
The information provided above has not been reviewed or reported on by the
Group`s independent auditors.
26 January 2011
Johannesburg
SPONSOR
PSG Capital (Proprietary) Limited
Date: 27/01/2011 07:05:03 Produced by the JSE SENS Department.
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