Boxer has posted turnover growth for the first half of its 2026 financial year but earnings fell as the retailer’s enlarged share base following last year’s IPO weighed on its results.
Turnover rose 13.9% during the 26 weeks ended August, with like-for-like sales up 5.3%, as trading momentum strengthened in the last two months of the half-year, it said on Monday. Internal food inflation was -0.7%.
Headline earnings per share (HEPS) are expected to decline by 28% to 34% to between 108.57c and 118.85c.
Boxer said the decline would not be the result of weaker operational performance, but would be due to the 51% increase in the weighted average share count following the listing.
The retailer said headline earnings were expected to come in 9% higher at between R492m and R539m.
“The improvement in headline earnings is driven by a strong trading result, which was able to partially offset the previously guided incremental costs associated with being a listed entity. The decline in the per share earnings metrics was due to an increase in the weighted average share count arising from the IPO,” it said.
Boxer was spun out of Pick n Pay in a separate listing on November 28 last year to raise capital to reduce debt, support Pick n Pay’s turnaround, and give the fast-growing discount chain greater independence to pursue its own growth strategy.
The IPO raised R8.5bn through the sale of a 34.4% stake at R54 per share, valuing Boxer at R24.7bn at the time. Since then, Boxer’s valuation has surged 0.63% according to Iress data taking its market capitalisation to R29.2bn, slightly higher than Pick n Pay which is now valued at R18.1bn.
Boxer will publish its interim results on October 13.
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