Mr Price Group reports 3.6% retail sales rise in Q3 FY25
The performance was propelled by a strong December surge.
SOUTH AFRICA – Mr Price Group, a South African retail Group, has achieved a strong 3.6% rise in third-quarter retail sales, reaching R15.1 billion for the 13 weeks ending December 27, 2025.
This performance outpaced the broader South African retail market’s 1.6% growth, as reported by the Retailers’ Liaison Committee (RLC), enabling continued market share gains, particularly in the core South African market.
South African operations drove 3.9% sales growth to R14.1 billion, contrasting with a modest 0.6% uptick in non-South African corporate stores to R1 billion.
Total store sales matched the 3.6% group rise, online channels grew 3.5% (accelerating to 8.3% in December), cash sales (90.9% of total) advanced 3.7%, and credit sales edged up 2.9% under prudent management.
The store network expanded to 3,164 locations with a net addition of 64 outlets; retail price inflation stood at 5.2%, but unit sales fell 1.5% to 109 million.
Gross profit margin contracted 20 basis points amid base effects, yet full-year margins are projected to align with prior-year levels, supported by effective stock and cash management heading into Q4.
Other income rose 1.9% to R320 million, aided by lower repo rates reducing debtor costs.
Early January 2026 showed 4.2% sales growth over a high base, amid a muted consumer environment strained by debt, betting diversions, and two-pot retirement withdrawals.
Directors highlighted improving 2025 economic signals via stable inflation, rate cuts, commodity strength, and currency resilience, though global uncertainties linger.
The discretionary retail sector faced headwinds most of 2025, with Q3 momentum building from October’s 1.8% (vs. market 1.3%) to December’s 5.9% (vs. market 3%).
Apparel stores, representing 83.1% of group sales, posted 3.2% growth with 0.4% comparable store sales increase, while key divisions like Mr Price Apparel, Studio 88, and Power Fashion exceeded market benchmarks.
Homeware sales climbed 4.5% (14% of total), though market share dipped 100 basis points, offset by gross profit margin expansions across divisions including a standout 10.1% rise at Yuppiechef.
Telecoms sales surged 11% (2.9% of total), boosting profitability with margin gains.
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