Boxer Retail (BOX), South Africa’s leading discount retailer, reported strong results for the 52 weeks ending 2 March 2025, highlighting the group’s operational momentum and long-term growth trajectory. The financial year was marked by Boxer’s successful listing on the JSE, the largest IPO on the South African market in the past eight years, which raised R8.5 billion and reaffirmed investor confidence in the company’s scalable, low-cost, high-volume retail model. The retailer's management emphasised that the trading performance remained robust. CEO Marek Masojada reiterated Boxer’s commitment to close collaboration with Pick n Pay, which still holds a 65.6% stake in the company, and emphasised execution and expansion as core to Boxer’s strategy.
Key Financial Metrics
● Total turnover: Increased 13.2% year-on-year to R42.3 billion.
● Gross profit: Increased 14.3% to R9.1 billion.
● Headline earnings per share (HEPS): declined 11.8% to R4.14.
● Return on invested capital (ROIC): Steady at 25.5%.
● Boxer Stores: Added 48 new stores during the year, expanding its footprint to 525 outlets across SA.
● The Boxer Rewards Club: Launched in October 2024, reached 1.9 million members, unlocking further customer engagement and data opportunities.
Analysis & Outlook
The share price is currently trading near its IPO range at R64, with a key support level at R62. Despite a recent 3.75% dip post-results, likely a result of short-term profit-taking, fundamentals remain intact. Boxer reported R976 million capital expenditure, with 61% directed toward store expansion, including a significant new distribution centre in KwaZulu-Natal. For 2026, the group plans to open 60 new stores, 25 superstores, and 35 liquor outlets. Management has reaffirmed its commitment to a 40% dividend payout ratio, targeting a declaration in Q1 of 2026.
Disclaimer:
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