Steinhoff reports on final quarter trading

The owner of the Harveys, Bensons for Beds, Pep & Co and Poundland retail chains in the UK - South Africa's Steinhoff International Holdings NV - has reported on quarterly trading for the three months ended 30th September 2016.

Read the full results here. 

Overview 

Total group revenue for the quarter increased by 12.1% to €3 369 million. Revenue generated by the retail operations increased by 15.6% to €3 164 million. As expected, external supply chain revenue decreased by 23.2% to €205 million compared to the previous quarter. This decrease in revenue is as a result of capacity being re-directed to owned retailers as part of the group’s procurement strategy, and has a positive effect on margin.

The sales momentum in the retail operations remains satisfactory. Adjusted for the impact of currency fluctuations, retail sales in constant currency increased by 20.3%. The newly acquired kika-Leiner and Iliad group businesses contributed €278 million to constant currency revenue during the quarter,and needs to be eliminated when measuring the growth of the core business against the comparative period.

Steinhoff said of the UK's performance: “Despite the prevailing uncertainty brought about by the Brexit vote and the decline of the pound, the bedding and furniture retail business performed exceptionally well." Adding, "Revenue growth, on both like-for-like basis and in real terms, continued its growth trajectory in line with that reported in June.

 STEINHOFF Group highlights

Image : James W Copeland / Shutterstock.com

Source : Steinhoff
www.steinhoffinternational.com

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