A pleasing set of results from Clicks for the year through August, with Group turnover up +9.2% to R45.4bn, retail turnover up +11.7%, like-store growth at +8.4%, and trading profit increasing +15.1%. Pharmacy grew +8.9%, with a net of only 9 new pharmacies added for the FY, while front shop health grew +10.7%, beauty and personal care +15.9%, driven by skincare, and general merchandise +10.1%. Clicks now has 720 pharmacies and 206 clinics in 930 stores, and five Clicks Baby stores. The ClubCard programme saw membership increase up 1.4 million to 11.8 million active members, who now contribute 81.7% of sales. UPD’s reported turnover (consisting of wholesale and distribution contracts) grew just +3.3% due to system implementation disruptions, although the profitability of that previously fast-growing unit has now recovered. And finally, JJ Njeke will succeed the venerable David Nurek as chairman, bringing to closure a multi-year board refresh.

Comment: Clicks is still perhaps the happiest home for suppliers with an interest in personal care and OTC healthcare. For a look at our excellent summary of its FY results, click here.

A good year for Shoprite CEO Pieter Engelbrecht, who received in remuneration a total of R83.3m in the last FY, almost R20m up on the last year – although this includes deferred incentives that will only vest in two years. This on a basic salary of R18.86m, an inflation-busting +6.6% increase. By contrast, Woolies CEO Roy Bagattini took a 50% drop for the year, pocketing R65.3m in 2024 including long- and short-term incentives. In terms of the new Companies Amendment Act, which was recently signed into law, companies will have to disclose the earnings gap between their highest- and lowest-paid workers. In the meantime, Shoprite, as any readers should tell you, has enjoyed an almost unbroken run of success these past 20 years. But the business is not resting on its laurels, nor is it entirely sanguine about the future. “Changes in regulatory frameworks or unpredictable socio-political conditions could adversely impact the Group’s ability to conduct business smoothly and maintain operational stability,” they say.

Comment: For further insights into how the leadership of SA’s major retailers have influenced the success or otherwise of their business, have a look at our latest White Paper.

South Africa’s informal sector is currently experiencing one of its periodic spasms of violence and ill-will, after the murder in Sharpeville of a local spaza owner, allegedly at the hands of rival foreign shopkeepers – although it must be stressed that this may well not be the case. Additionally, six children in Naledi, Soweto have died after consuming snacks allegedly bought from foreign-owned shops. Responding – or perhaps reacting – to the ensuing wave of looting and violence, Gauteng Finance MEC Lebogang Maile has pledged to support communities organising to “reclaim” spaza shop ownership in their neighbourhoods. And populist Minister of Sport, Arts, and Culture Gayton McKenzie has demanded that all foreign-owned spaza stores close right away. Not everyone is on board with the approach. “I would starve to death if the Pakistanis were to leave for good,” says one Soweto resident. “He gives me groceries not exceeding R350, and when I get my R350 social relief of distress grant, I pay him back. Shoprite will do no such thing.”

Comment: Foreigners are an easy target, particularly in economically stressed communities. Perhaps our industry has a role to play in cooling tensions.

Nice work from Carrefour Kenya, with its recent “Buy Kenya, Build Kenya” campaign promoting local brands and products as part of the larger the Kenya Export Promotion and Branding Agency (KEPROBA) ‘Made in Kenya’ initiative. Carrefour also works with five local manufacturers in the production of over 48 stock-keeping units (SKUs), including detergents and personal care products under the locally licensed French retailer’s private brand. Speaking of campaign, Tesco has caused quite a stir in the UK with its latest ‘quality’ campaign which replaces its Tesco logotype with items of fresh produce to highlight that essential department. All that remains of the original logo are the blue chevrons which underline it. Take a look here. “We wanted a campaign that heroes the quality of our products in a clever and beautiful way and we love how the campaign has turned out,” explains Tesco's own-brands marketing guy Murray Bisschop.

Comment: Carrefour has provided a roadmap for other retailers seeking to enter the tricky Kenyan market – local ownership, lots of humility, maximum respect for the host country. It also helps not to carry too much colonial or xenophobic baggage.

This week, Diageo celebrated World Menopause Day – a moment to raise awareness of menopause and perimenopause and learn about the impact it can have on the lives of those experiencing these milestones. As part of its commitment to breaking down taboos in the workplace, Diageo employees from across the globe have trained to be menopause champions, normalising conversations about it, and directing staff towards a range of supportive resources. For example, in March 2021, it launched its internal global Menopause Guidelines ‘Thriving Through Menopause’, to employees and line managers. Now live in over 55 countries across all regions, the guidelines are in place to support employees and line managers to have confident and meaningful conversations without embarrassment. They have also established Spirited Women Network groups that encourage conversations around the world.

Comment: Great leadership from a business that is truly investing its resources in this critical issue – while building a more inclusive and thus more efficient workplace.

First up, right-wing billionaire Elon Musk’s X platform – previously the entirely more profitable Twitter – has put the squeeze on Unilever to resume advertising on the site after the settlement. The Global Alliance for Responsible Media (GARM) and four of its members, Unilever, Mars, CVS Health, and Ørsted worked together to boycott the platform, which has hosted increasingly offensive material they allege may have violated some of their brand safety standards. X accused them of boycotting the site based on political ideology and violating US antitrust laws by taking their advertising business elsewhere. X can finance lawsuits for years, something for which Unilever clearly lacks the appetite – although the other businesses are still sticking it to the man. Next, a flurry of anticipated results. First up: Quantum, our country’s largest egg producer, has let it be known that it expects HEPS (an opaque but reliable measure of profitability) to rise 70c for the year through September, from a loss of 17.4c last year. This on rising egg prices and the end of load shedding. Next, the Premier Group expects its first-half earnings to rise as much as +35% with its focus on margin management and cost-saving initiatives. And finally, Johnson & Johnson has raised its 2024 profit and sales forecasts after reporting strong sales of oncology drugs.

Comment: The protection of business by government in the US is highly selective, and generally favours those with the deepest pockets.

Having failed to break our spirits with rolling blackouts, Eskom is now having a go with tariffs, applying for an increase of +36.15% next year, +11.81% the following year and a trifling +9.1% the one after that. If approved, the increases will see the national utility achieve revenues of R585.6bn in 2027/28, which is, apparently, what they call a good start. According to no less a luminary, in fact, than Eskom CFO Calib Cassim it amounts to nothing more unpleasant than “short-term pain for long-term gain”. Economists, now, beg to differ, pointing to the inflationary pressures the increases will place on our already exhausted businesses and consumers. “It is clear the potential economic damage the Eskom tariff application could do in its current format needs top-level intervention to get what might be called ‘sufficient consensus’ as to a sensible outcome,” says a visibly alarmed Raymond Parsons of North West University Potchefstroom Business School. Eskom believes the tariffs will be “more than offset by increases in GDP growth, employment, investment levels and household consumption spending”.

Comment: Businesses will have a brief window to prepare themselves for the increase and should seek ways to pass any energy savings onto their increasingly embattled customers.