PICK n Pay Stores expects to report a full-year loss as South Africa’s third-biggest grocer takes a R2.8 billion ($155 million) impairment on unprofitable stores.
The loss per share will range between R6.86 and R6.37 for the 52 weeks to February 25 compared with earnings of R2.43 a year earlier, the Cape Town-based company said in a statement Wednesday.
About R1.8 billion of the impairment is for loss-making company-owned stores that will be closed or converted to either franchises or Boxer outlets, while the rest relates to a reduction in the value of assets of underperforming stores that will remain open. Moneyweb.co.za