Boxer Retail (BOX) H2 2026 earnings summary

Executive summary

• Achieved strong financial and operational results in a deflationary environment, with significant like-for-like volume growth and new store contributions driving turnover momentum and market share gains.

• Expanded store base to 576, opening 54 new stores (51 net), and reached 2.7 million loyalty program members.

• Workforce grew by 3,400, now exceeding 35,000 employees, with recognized in-house training programs.

• Introduced new income streams, including the B-Inside Supplier Portal and Boxer Retail Media.

• Commissioned seventh distribution center at oThongathi, KZN, with 50% ownership, operating efficiently.

Financial highlights

• Turnover increased by 12.3% to ZAR 46.7 billion; like-for-like turnover up 4.5% year-over-year.

• Trading profit grew 17.3% (comparable 52-week basis); trading margin rose to 5.7%.

• EBITDA up 12.8% to ZAR 4.031 billion; headline earnings up 13.2% to ZAR 1.593 billion.

• Gross profit margin improved by 30 bps to 21.6%; net cash position of ZAR 709 million at year-end.

• ROIC reached 26%, sector leading, with free cash flow of ZAR 1.1 billion.

Outlook and guidance

• Plans to open 60 new stores in FY 2027, with 82% of leases signed and 64% of developments underway.

• CapEx for FY 2027 planned at ZAR 1.1 billion, focused on expansion.

• Expecting a return to an inflationary environment as supplier price increases come through.

• Margin outlook is flat, with management focused on protecting profitability amid market volatility and increased diesel spend.

• Earnings base now fully normalised for IPO impacts.