Edcon Reports a loss

The well known Edcon reports a 2nd heavy loss in excess of R1 billion from continuing operations in the 26 weeks ended September 2012. This loss is albeit an improvement from the R1.5 billion loss a year ago.

Total revenue in the period increased to just over R12 billion‚ from R11,772 billion a year earlier. At the same time‚ the loss from continuing operations in the 13 weeks ended September amounted to R721 million‚ compared with a R1,277 billion loss in the same period a year ago.

Retail sales increased by R131 million‚ or the equivalent of 2,4%‚ from R5,4 billion in the second quarter 2012 to R5,5 billion in the second quarter 2013‚ with same store sales increasing by 0,8%.

For year to date 2013 retail sales increased by 2,1%‚ from R11,216 billion in year to date 2012 to R11,453 billion‚ with like-for-like sales increasing by 1,0%. Credit sales for the last 12 months to the end of the second quarter 2013 increased from 49,9% in the prior comparable period to 51,4% of total retail sales.

Lets hope Edcon gets it together, especially with some big international names arriving on our shores creating increased competition for the same share of wallet.

IAF International Student Awards 2012 announced

The International Apparel Federation (IAF), in cooperation with the Fashion Education Network (part of the FashionUnited group), has announced the IAF International Student Awards 2012. UK fashion design student Rebecca White (20) has been awarded the IAF International Student Awards 2012 in the category Fashion Design.

The Fashion Branding award is awarded to UK marketing student Sophie Cannings (21).
Both students were carefully selected among 4 nominated candidates in their chosen category. In total, students from 64 different fashion institutes around the world competed in these awards, which resulted in 84 complete assignments from students from 22 countries.

The judging panel was composed of the following industry insiders:

• Felicia Perez, Head Design, Supertrash
• Julia Hengstermann, HR, Diesel
• Angelique Westerhof, Director, Dutch Fashion Foundation
• Matthijs Crietee, Deputy Secretary General, IAF

Rebecca White will receive a paid internship placement in the design department of SuperTrash in Amsterdam. Sophie Cannings will receive a paid internship placement at Diesel in Dusseldorf. Both students will have their work published by FashionUnited in 12 countries accompanied by an interview.

Both IAF and FashionUnited aim to build bridges between education and the industry. IAF offers educational institutes and their students unique access to a global network of apparel companies. The IAF International Student Awards are an effective way to visibly attract top talent and connect them to top global apparel companies.

IAF is pleased with the relaunch of the IAF International Student Awards. In line with the vision of the IAF, plans are already being made to include a Product Development category in the 2013 edition.

Woolworths Sales Up

Woolworths Holdings (WHL) on 15 November 2012 said group sales for the first 20 weeks of the 2013 financial year increased by 15,9% over the comparable period in 2012. Sales in comparable stores grew by 9,9%.

The Woolworths Financial Services (WFS) debtors’ book reflected year-on-year (y/y) growth of 10,9% at the end of October 2012‚ with the impairment rate for the four months to October at 1,8%. The group’s interim results for the 26 week period to December 23 are scheduled to be announced on or about 14 February 2012.

Financial highlights:

• Clothing sales in South Africa grew by 13,7% with a price movement of 5,8%. Sales in comparable stores grew by 8,2%‚ the retailer said.
• Food sales grew by 11,2% with a price movement of 7,3%‚ and sales in comparable stores grew by 7,8%.
• “General merchandise grew by 11,5% and by 9,5% in comparable stores‚” the company said.
• Woolworths’s retail space‚ including stores in the rest of Africa‚ grew by 5,2%‚ net of closures and excluding franchise conversions.

Source:
Business Report, dated 15 November 2012

Mr Price profits up by 34%

Mr Price, profits up by 34% in first-half profit 2013.


 Mr Price is among the top performers this year as investors bet on continued consumer spending thanks to above-inflation wage increases, cheap borrowing and government grants. 79,1% of total sales is cash-based.

Sales increased 14% to R6 billion rand, helped partly by price increases and new stores, which added nearly 4% to its trading space. Same-store sales increased by 8,5%. The Home chains increased sales and other income by 16,3% to R1,8 billion, with comparable sales up by 10,9% and retail selling price inflation of 4,6%.

Operating profit rose by 36,5% to R178,1 million and the operating margin increased from 8,8% to 10,3% of retail sales.

Mr Price Home increased sales by 16,6% (comparable 11,5%) to R1,2 billion.

Sheet Street opened a net 11 new stores and increased sales by 15,4% (comparable 9,7%) to R540,9 million.

Source: Business Day

Truworths Sales up by 15.9%

                                                                                      Truworths Sales on the up

Truworths reported on Thursday that retail sales for the first 18 weeks of the 2013 financial period increased by 15.9% to R3.3bn‚ with credit sales growth of 15.1%.

Comparable (same store) retail sales increased by 10.7% and product inflation averaged 3%. Credit sales comprised 72% of retail sales during the period‚ compared to 73% in 2012.

The trade receivables book grew by 16.5% over the corresponding prior period-end to R4bn. "The receivables book continued to perform in accordance with management's expectations‚" the group said.

Truworths and other retailers have been under pressure with the arrival of foreign retailers to SA's shores.

Zara‚ owned by the world's biggest fashion retailer Inditex‚ opened its doors in SA late last year‚ while UK fashion brands Topshop and Topman are due to set up shop in SA this month.
While credit sales were significantly higher than the Foschini Group's‚ which was about 61%‚ this was not a big concern as Truworths had been good at managing their books.
Source: Bizcommunity.