Tradehold
Tradehold Limited
(Incorporated in the Republic of South Africa)
(Registration number 1970/009054/06)
Share code: TDH
ISIN code: ZAE000026902
("Tradehold")
Tradehold"s UK subsidiary Brown & Jackson plc is continuing its strong recovery
started in September last year when a new management team took over the then
struggling company. For the 22 weeks to 26 July Brown & Jackson"s sole business,
the retail chain Poundstretcher, grew total sales 7,6% and like-for-like sales
5,5% compared to the same period last year.
This was announced by Brown & Jackson chairman Dr Christo Wiese at the company"s
annual general meeting held in London yesterday (29 July). Tradehold owns a
controlling interest of 54% in Brown & Jackson.
Poundstretcher"s like-for-like sales growth for the previous reporting period,
the 33 weeks to end February, was 2,8%.
Wiese said margins were in line with expectations while management had succeeded
in further reducing stock levels. Despite the strong growth the company remained
debt free.
During the 22-week period the Poundstretcher store modernisation programme
continued apace. Some 50 stores had been modernised since September, with a
further 40 to be added in the next two months. All of the stores already
completed were achieving strong sales growth. Six new stores were also opened
while three outlets were closed and disposed of.
Wiese said Brown & Jackson was piloting a new brand. "During September and
October seven stores are to be re-branded as `...INSTORE". The trial stores
will offer customers a new and significantly better retail environment together
with a much improved range of products."
Management was also continuing its programme of upgrading the chain"s entire
merchandise offering. By the end of September 70% of all ranges would have been
upgraded.
Wiese said the aggressive pace of the store modernisation programme and range
changes might result in a slightly lower growth rate over the next few months
compared to the corresponding period last year.
In August last year Brown & Jackson"s share price dipped to under 30p on the
London Stock Exchange. Since the new management team under Mr Angus Monro took
over in September 2002 the share price has been rising consistently and
yesterday was trading at a high of 121p reflecting the renewed confidence of
analysts and investors in the share.
Date: 30/07/2003 02:53:50 PM Supplied by www.sharenet.co.za
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