Shoprite Holdings Limited (JSE:SHP) News - Unaudited Group results for the 26 weeks ended 2 January 2022 SHOPRITE HOLDINGS LIMITED (Reg. No. 1936/007721/06) (ISIN: ZAE000012084) (JSE Share code: SHP) (NSX Share code: SRH) (LuSE Share code: SHOPRITE) ("the Group") UNAUDITED GROUP RESULTS FOR THE 26 WEEKS ENDED 2 JANUARY 2022 Pieter Engelbrecht, Chief Executive Officer The extraordinary growth in sales and profits reported by the Group for the first half of our 2022 year is testament to the capable people of Shoprite, united in their commitment to the Group's millions of customers throughout South Africa and Africa. The execution strength demonstrated throughout our supermarket, furniture and franchise businesses during what can only be described as some of the most difficult times South Africa has seen for many years was unsurpassed. Similarly, our supermarket business outside South Africa has sustained its profitability. All credit to our teams who operate in these regions which, in their own right, can be extremely challenging. Our South African supermarket business, representing 79.5% of Group sales, increased sales by 11.3%. Despite having two of our large format Checkers Hypers still closed due to the July 2021 civil unrest, all of our supermarket brands grew sales ahead of the market. Shoprite and Usave, which together make up 52.5% of our Supermarkets RSA operating segment increased sales by 7.3%. Checkers and Checkers Hyper, which make up 40.0% of Supermarkets RSA sale of merchandise, increased sales by 11.4%. After being closed for much of last year due to lockdown regulations our Shoprite and Checkers LiquorShop business, which constitutes 7.4% of the segment's sales, increased by 49.8%. The continued momentum and customer support demonstrated by all our supermarket brands is particularly gratifying given our relentless focus on affordability. Our low-price promise continues to guide our daily decision making, evidenced by our 2.6% selling price inflation for the Supermarkets RSA segment for the six months. In addition to this, our 23.1 million customers who have joined the Shoprite and Checkers Xtra Savings Rewards Programme have saved R4.5 billion during this six-month period alone. We've continued to strengthen our core supermarket business by opening new stores, updating existing stores, introducing new products and bringing new trading formats to the market. We've also evolved our fintech business and ShopriteX, the Group's tech and innovation hub, which has continued to raise the bar with numerous initiatives. Delivering a 25.5% headline earnings per share growth from continuing operations in a difficult environment is a result of world-class execution of a clear plan, underscored by our daily obsession with affordability for our customers. It is a goal that keeps us grounded, aligned and motivated as we move forward to better the lives of customers and we look forward to building on this in the years to come. Restated* Change 2 Jan 27 Dec Key information - continuing operations % 2022 2020 Sale of merchandise (Rm) 10.0 91 125 82 820 Trading profit (Rm) 14.5 5 422 4 737 Operating profit (Rm) 15.4 5 113 4 432 Profit before income tax (Rm) 28.4 3 901 3 039 Income tax expense (Rm) 34.1 1 203 897 Profit for the period (Rm) 26.0 2 698 2 142 Attributable to owners of the parent (Rm) 2 682 2 131 Attributable to non-controlling interest (Rm) 16 11 Basic headline earnings per share (cents) 25.5 522.6 416.5 Basic earnings per share (cents) 27.2 491.2 386.1 Dividend per share (cents) 22.0 233.0 191.0 Profit for the period including discontinued operations (Rm) 22.3 2 730 2 232 Attributable to owners of the parent (Rm) 2 714 2 221 Attributable to non-controlling interest (Rm) 16 11 Basic headline earnings per share including discontinued operations (cents) 23.1 528.4 429.3 Basic earnings per share including discontinued operations (cents) 23.5 497.0 402.3 * Restated for the classification of the Group's Kenyan, Ugandan and Madagascan operations as discontinued operations in accordance with IFRS 5: Non-current Assets Held for Sale and Discontinued Operations. Declaration of ordinary dividend The Board has declared an interim dividend of 233 cents (2021: 191 cents) per ordinary share, payable to shareholders on Monday, 11 April 2022. The dividend has been declared out of income reserves. The last day to trade cum dividend will be Tuesday, 5 April 2022. As from Wednesday, 6 April 2022, all trading of Shoprite Holdings Ltd shares will take place ex dividend. The record date is Friday, 8 April 2022. Share certificates may not be dematerialised or rematerialised between Wednesday, 6 April 2022, and Friday, 8 April 2022, both days inclusive. In terms of the Dividends Tax, the following additional information is disclosed: 1. The local dividend tax rate is 20%. 2. The net local dividend amount is 233 cents per share for shareholders exempt from paying Dividends Tax and 186.4 cents per share for shareholders liable to pay Dividends Tax. 3. The issued ordinary share capital of Shoprite Holdings Ltd as at the date of this declaration is 591 338 502 ordinary shares. 4. Shoprite Holdings Ltd's tax reference number is 9775/112/71/8. About this announcement This short-form announcement is the responsibility of the Directors of Shoprite Holdings Ltd. It is only a summary of the information in the condensed consolidated interim financial statements and does not contain full or complete details. Any investment decisions by investors and/or shareholders should be based on consideration of the condensed consolidated interim financial statements published on the Stock Exchange News Service (SENS) and www.shopriteholdings.co.za as a whole. The condensed consolidated interim financial statements have been released on the JSE (https://senspdf.jse.co.za/documents/2022/jse/isse/SHP/ie2021.pdf) and are also available for viewing at https://www.shopriteholdings.co.za/content/dam/SENS/INT2021-Mar2022.pdf. Copies of the condensed consolidated interim financial statements may be requested from the Company Secretary (cosec@shoprite.co.za, tel +27 (0)21 980 4284) at PO Box 215, Brackenfell, 7561, South Africa. By order of the Board WE Lucas-Bull PC Engelbrecht Chairman Chief Executive Officer Cape Town 8 March 2022 Sponsor: Nedbank Corporate and Investment Banking, a division of Nedbank Limited Date: 08-03-2022 08:00:00 Produced by the JSE SENS Department. The SENS service is an information dissemination service administered by the JSE Limited ('JSE'). The JSE does not, whether expressly, tacitly or implicitly, represent, warrant or in any way guarantee the truth, accuracy or completeness of the information published on SENS. 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