JD Group Shoots the Lights Out

  

JD Group “shot the lights out” in the ten months to June 2012 and looks forward to a “great” 2013, Chairman and Founder David Sussman told analysts at the presentation in Johannesburg on 27 August 2012. Sussman seemed unbothered by the factors that have qualified other recent results presentations such as rising unemployment, consumers borrowed to the limit and many unable to pay. His presentation was titled “It’s all coming together”. CEO Grattan Kirk said JD Group had been through a storm for the past three years. He pointed out that in 2006 before the National Credit Act (NCA) came into force, headline earnings were 823c a share, well ahead of the 409.9c just reported in the ten months. With all divisions now in good order, it was not unrealistic to expect further growth. Other positives are that the group is in a good position to extend more finance prudently and that the R250 million spent on SAP and R750 million on distribution centres should yield a return. “The heavy spending is now behind the group”.

• Comparable numbers have been provided and these reflect good growth. Revenue up 11,2% to R25,285 billion, operating profit 8,9% to R1,86 billion and headline earnings per share (heps) up 22% 

Source:

Moneyweb, dated 27 August 2012

The 3 big furniture retailers are under the spotlight where Lewis has shown a 7% growth year on year, JD Group 11,2% and we look forward to the Ellerines Group results.