Markets/Africa and Middle East/News

Africa & Middle East news & analysis

15 July 2020
We round up developments from Kenya and Nigeria. Kenya: Carrefour expands its retail reach Carrefour, operated by Majid Al Futtaim in Kenya, has opened its eighth store in Nairobi’s Mega Shopping Mall. The store offers over 39,000 food and non-food items, with the retailer stating 99% of stock will be sourced locally. The store will also offer home delivery services aiding consumers struggl...
17 June 2020
South Africa-based, Walmart-owned Massmart has released a trading update for the 23-week period ending 7 June. In it the retailer underlined the challenging market conditions it has operated in and which continue to affect its performance. Total sales fall by 10.3% Massmart reported total sales of ZAR34.8 bn (US$2.0 bn). During the 23-week period total sales fell by 10.3%, while comparable ...
21 May 2020
South Africa-based, Walmart-owned Massmart has provided an update on its trading and discussed its current initiatives as it looks to conserve cash given the prolonged lockdown caused by the coronavirus (COVID-19) pandemic. Sales fall 11.9% due to lockdown in South Africa Massmart reported that total sales for the 19 weeks ended 10 May fell 11.9% versus the same period in 2019. It said tota...
19 May 2020
SPAR South Africa has released a trading update and trading statement providing mixed news from the company. While it reported strong revenue growth, the company said its basic earnings per share and headline earnings per share were set to fall. Positive revenue growth seen across all geographies… SPAR South Africa said it had enjoyed revenue growth of 10.1% in the six-month period to the e...
15 May 2020
Jumia, the Africa-based pure play ecommerce retailer, generated gross merchandise value (GMV) sales of €189.6m in its first quarter, 11.3% down on the same period in 2019. The fall in GMV came despite a 51% rise in the number of annual active consumers and a 27.7% increase in the number of orders made on its sites. Focus on profitability hindered GMV growth… Jumia noted its decision to reba...
15 May 2020
As part of its full year results announcement , South Africa-based Pick n Pay said the pandemic was expected to affect the margins and profitability in its 2021 financial year. It said the lockdown in its home market had led to the stopping of sales of key items including liquor, tobacco and clothing. Pandemic adding to existing operational pressures Retailers had already highlighted the...
15 May 2020
Saudi Arabia’s Ministry of Finance has announced it is to increase the rate of value added tax (VAT) to 15% from 1 July 2020 as it looks to respond to the economic challenges caused by the coronavirus pandemic. VAT change comes relatively soon after introduction Saudi Arabia only introduced VAT in 2018 and so the tripling to 15% is expected to likely to affect consumer spending in the mediu...
14 May 2020
South Africa-based Pick n Pay said Group turnover rose 4.7% in its full year to 1 March 2020, despite the challenging operating environment. The retailer reported group sales of ZAR89.2 bn (US$4.8 bn) for the year. It highlighted the growth in its home market, where turnover grew 5.1% and comparable profit before tax rose 15.2%. Strength of performance for operations in South Africa… Pick n...
19 March 2020
Suppliers are reacting quickly to support health and medical services fight the coronavirus (COVID-19) pandemic, as well as helping provide shoppers with products that help them too. LVMH to produce hand sanitiser free of charge for hospitals Due to the shortage of hand sanitiser gel in France, LVMH CEO, Bernard Arnault, has asked the group’s health and beauty factories to start producing h...
24 February 2020
UAE-based Majid Al Futtaim (MAF), which operates the Carrefour banner in 16 countries as of February 2020, has reported full year results for its 2019 financial year. The company said revenue at its retail division rose by 1% to AED28.1 bn (US$7.6 bn), while EBITDA rose by 2% to AED1.4 bn (US$381.1m). Expansion underpinning growth… MAF said the results came ‘ despite a reduction in discreti...