PICK N PAY STORES LIMITED - Trading update for the 45 weeks ended 5 January 2025

Pick n Pay Stores Limited
Incorporated in the Republic of South Africa
Registration number: 1968/008034/06
JSE and A2X share code: PIK
ISIN code: ZAE000005443
("Pick n Pay")


Trading update for the 45 weeks ended 5 January 2025


The trading performance of the Company and its subsidiaries ("the Group") for the 45-week period to
5 January 2025 ("the Period") reflected steady like-for-like sales improvement from the Pick n Pay
segment and another strong performance from Boxer Retail Limited ("Boxer").


Group sales for the Period increased 3.6% (3.3% like-for-like) and grew 3.5% (3.8% like-for-like) in the
latter 19 weeks of the Period.


'   Pick n Pay like-for-like sales for the Period grew 1.6% with Pick n Pay SA like-for-like sales
    increasing 1.9%. Pick n Pay SA like-for-like sales momentum in the latter 19 weeks of the Period
    improved to 3.0%. Implementation of the Store Estate Reset plan resulted in total sales lagging
    like-for-like sales momentum, which was a natural consequence of the planned store closures and
    conversions. Pick n Pay SA closed net 32 supermarkets during the Period (24 company-owned
    stores and 8 franchise stores), including the conversion of 5 company-owned supermarkets to
    franchise.

'   Boxer sales grew 11.4% (6.7% like-for-like) for the Period. Further detail on the Boxer performance
    can be found in the trading update released on SENS separately by Boxer today.


Clothing sales growth in standalone stores (reported within the Pick n Pay segment) was 10.0% (1.7%
like-for-like). Clothing sales momentum improved in the latter 19 weeks of the Period to 10.3% (3.6%
like-for-like), vs. 9.8% (0.2% like-for-like) previously reported for H1 FY25.


Online sales growth for the Period was 42.5%, driven by continued growth of Pick n Pay asap! and Pick
n Pay Groceries on the Mr D app.


Pick n Pay SA internal selling price inflation for the Period was 2.4%, vs. 3.4% for H1 FY25 as Pick n Pay
continued to improve the value offered to our customers throughout the Period. Pick n Pay SA internal
selling price inflation is significantly down from the 8.2% reported for the FY24 financial year.


                                Previously published         19 weeks ended           45 weeks ended
                               26 weeks to 25 August            5 Jan 2025               5 Jan 2025
                                    2024 (H1FY25)                % growth                 % growth
                                      % growth

                              Sales       Like-for-like    Sales     like-for-      Sales      like-for-
                                          sales                      like sales                like sales
 Pick n Pay (SA & RoA*)       -0.3%       0.5%             -0.4%      2.9%          -0.4%      1.6%
   Pick n Pay SA               0.1%       1.1%             -0.5%      3.0%          -0.1%      1.9%
 Boxer (SA & RoA*)            12.0%       7.7%             10.8%      5.5%          11.4%      6.7%
 Group turnover                3.7%       2.9%             3.5%       3.8%          3.6%       3.3%
*Rest of Africa (operations outside South Africa)

Pick n Pay SA Supermarkets momentum


The key turnaround indicator the Group is targeting within the Pick n Pay SA segment is like-for-like
sales growth in PnP SA Supermarkets (excluding standalone clothing stores). The Group is seeing
steady consecutive improvement in this metric, from -0.4% in H2 FY24 to +1.3% in H1 FY25 and +2.8%
for the 19 weeks ended 5 January 2025.

                                                     26 weeks         26 weeks        19 weeks ended
 Like-for-Like sales growth

                                                      H2 FY24          H1 FY25            5 Jan 2025
 PnP SA Supermarkets                                    -0.4%             1.3%                  2.8%
  PnP SA Company-owned Supermarkets                     -0.5%             3.1%                  4.1%
  PnP SA Franchise Supermarkets                         -0.3%            -1.4%                  0.7%
Note: 1) PnP SA Supermarkets includes Hypermarkets and excludes standalone clothing stores. 2) Franchise sales refers to wholesale sales
from PnP to franchisees.


As a result of improved retail disciplines, Pick n Pay Company-owned Supermarkets (which account
for the majority of reported Pick n Pay segment sales) improved like-for-like sales from -0.5% in H2
FY24 to 3.1% in H1 FY25 and 4.1% for the 19 weeks ended 5 January 2025. The Group is encouraged
by the much improved like-for-like volume trend over the past 12 months, as like-for-like sales growth
has steadily risen against falling inflation.


The Group is pleased with Boxer's continued strong performance, and is driving to sustain and build
on Pick n Pay Supermarkets' improved like-for-like sales momentum by further enhancing retail
disciplines and working with franchisees to drive franchise sales.


The financial information on which this trading update is based is the responsibility of the Board of
directors of the Group and has not been reviewed by or reported on by the Group's external auditors.


By order of the Board
Cape Town
4 February 2025


Sponsor: RAND MERCHANT BANK (a division of FirstRand Bank Limited)

Date: 04-02-2025 08:58:00

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