CLICKS SALES UP 13.6% IN STRONG CHRISTMAS TRADING
Cape Town – Health and beauty retailer Clicks continued its strong growth momentum in the 20 weeks to mid January 2017, increasing sales by 13.6%.
Reporting on the Clicks Group's trading update, chief executive David Kneale said the Clicks chain performed well in the current constrained consumer environment, showing volume growth of 4.2%, well ahead of most retailers.
Clicks increased same store sales by 9.6% with selling price inflation of 5.4%.
Kneale said customer behaviour continues to reflect a shift to shopping later in the festive season and Clicks experienced record trading days in the week leading up to Christmas.
"It is most encouraging that we continued to experience buoyant trading in the weeks after Christmas, driven mainly by value promotions across all of our product categories," he said.
Total retail sales for the Clicks Group increased by 12.2% and by 8.5% in comparable stores, with selling price inflation averaging 5.3%.
Total group turnover for the 20-week period grew by 8.6% to R10.0 billion. UPD, the group’s pharmaceutical wholesale and distribution business, increased turnover by 6.4%, ahead of selling price inflation of 4.3% for the period.
Kneale said management is confident of Clicks maintaining its competitive market position through its value offer to customers and the continued expansion of the Clicks store and pharmacy footprint. "This will be supported by the relative resilience of the health and beauty markets in which we trade," he added.