Massmart Holdings Limited - Trading update for the
MSM
MSM
Massmart Holdings Limited - Trading update for the 52 weeks to 26 June 2006
Massmart Holdings Limited
(Incorporated in the Republic of South Africa)
(Registration Number: 1940/014066/05)
Share code: MSM
ISIN: ZAE000029534
("Massmart" or "the Company")
Trading update for the 52 weeks to 26 June 2006
Sales growth accelerated consistently throughout the second half of the
financial year in response to heightened merchandising and marketing aggression,
to produce full year sales of R30.1bn, a growth of 15.2% over the previous year.
Sales before acquisitions grew 8.8% and sales from comparable stores (open for
the entire comparable period) grew 5.5%.
This growth was particularly pleasing given both the low 1.6% estimated rate of
sales inflation (comprising inflation of 4.3% in food and liquor and deflation
of 1.0% in general merchandise), and the Group"s strategy to remain a
predominantly cash business (the contribution of consumer credit sales was
constant at only 2% of total sales)
Massmart"s results for the year ending June 2006 will be published on 24 August
2006 and will reflect continued strong cash flows from operations, increased
profitability, and a 20% to 30% growth in headline earnings per share (HEPS)
based on the HEPS to June 2005 restated for the adoption of International
Financial Reporting Standards. Attributable earnings per share will be 40% to
50% higher than the equivalent restated figure for June 2005.
Recent macro economic developments have not altered the Board"s positive view on
Massmart"s prospects for the year to June 2007.
The above information has not been reviewed or reported on by the Company"s
auditors.
Johannesburg
11 July 2006
Sponsor:
Deutsche Securities (SA) (Pty) Ltd
Date: 11/07/2006 10:36:25 AM Produced by the JSE SENS Department
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