Pick n Pay has reported a significant improvement in its financial performance for the year ended 2 March 2025, despite still operating at a loss. The retailer announced a total attributable loss to shareholders of R736 million for the 2025 financial year, marking a substantial recovery compared to the R3.3 billion loss in the previous year. This turnaround is attributed to the early stages of a multi-year recovery plan, which included a successful R4 billion rights offer and the R8.5 billion raised through the separate listing of its Boxer subsidiary[4].
The group’s turnover increased by 5.6% to R118.6 billion, and it reported a trading profit of R1.76 billion—up over 330% year-on-year. The Pick n Pay segment’s trading loss narrowed to R549 million from R1.5 billion previously, and the company-owned supermarkets returned to like-for-like sales growth of 3.3% after a decline of 1.2% the previous year. The group also managed to reduce interest payments as the recapitalisation improved its debt position[2][3][4].
Despite these gains, the group warns that it expects to continue running at a loss for some time, outlining that the Pick n Pay segment remains loss-making on a trading profit after lease interest basis. However, key metrics have notably improved: basic loss per share (EPS) and headline loss per share (HEPS) improved by between 70%–90% and 55%–75%, respectively. Impairments also dropped dramatically from R2.4 billion in 2024 to about R500 million in 2025[6][8].
Pick n Pay also reached several operational milestones recently. It launched a new, next-generation app that integrates its on-demand delivery service asap!, the Smart Shopper loyalty programme, and various value-added services. The company signed a four-year sponsorship deal with SA Rugby, securing prominent brand placement on the Springbok jersey. Additionally, Pick n Pay was named the top retailer in the ‘Retail Powerhouse Award’ category at the 2025 ABSA Payments Summit and Awards, recognising its innovation in payment solutions[1].
Another development saw Pick n Pay ordered by the Supreme Court to repay R21 million to a liquidated franchise, clarifying legal boundaries regarding creditor rights[5]. The retailer also continues to warn of industry risks, recently highlighting the threat posed by South Africa’s growing informal or “hidden” economy[7].
References
- [1] Media releases – Pick n Pay Investor Relations
- [2] Audited annual financial results for the 53 weeks ended 02 March 2025
- [3] Pick n Pay delivers on first year of multi-year recovery plan
- [4] Another huge loss for Pick n Pay – BusinessTech
- [5] Supreme Court orders Pick n Pay to repay R21 million from liquidated franchise – IOL
- [6] Pick n Pay on the mend but not out of the woods – Daily Investor
- [7] Major threat to Pick n Pay and other retailers in South Africa
- [8] Trading statement for the 53 weeks ended 2 March 2025 – Listcorp