Pick n Pay says its turnaround strategy is beginning to yield results, with the retailer reporting improved performance for the six months to 31 August 2025, driven largely by continued strong growth at its discount chain Boxer.
Group sales rose 4.9% year-on-year, while losses were more than halved, signalling progress in the effort to stabilise and reposition the business. Boxer remained the standout performer, delivering a 13.9% increase in sales and reinforcing its status as one of South Africa’s fastest-growing grocery brands.
CEO Sean Summers said the business is showing “clear signs of recovery”.
“Boxer continues to perform very well, our supermarket sales are improving, and we are on track with our turnaround plan,” he said.
Sales at the core Pick n Pay supermarket division grew 4.8%, outpacing internal inflation of 2.1%. The retailer also reported a 34.4% surge in online revenue, supported by growth in its asap! delivery offering and its partnership with Mr D. Pick n Pay Clothing expanded sales by 12% and celebrated the milestone opening of its 400th stand-alone store.
As part of its restructuring efforts, the company has completed its “Store Estate Reset”, closing loss-making sites and refocusing investment on stronger, higher-performing outlets. Maintaining price competitiveness remains a priority, with inflation within the group held well below national food inflation of 4.6%.
Pick n Pay plans to invest R2.2 billion in capital expenditure this year, largely to accelerate Boxer’s expansion, grow its clothing footprint, and enhance key supermarkets.
Customer loyalty continues to improve, with 600,000 new members added to the Smart Shopper programme and loyalty-linked sales up 9%.
The retailer also confirmed a long-term partnership with global logistics group DP World to modernise and streamline its supply chain — an initiative expected to deliver operational benefits from 2027.
While Summers acknowledged that South African consumers remain under significant financial pressure, he remains optimistic about the company’s trajectory.
“Our focus now is on improving how we serve customers and running stores better. The hard work we’re doing today will help us return to profit in the future,” he said.
