Johannesburg, 22 February 2022 – Super Group reported an excellent set of results for the six months ended 31 December 2021 despite ongoing macroeconomic challenges and tough trading conditions in several key markets and industry sectors. Group revenue increased by 8.4% to R21.64 billion and operating profit increased by 29.7% to R1.59 billion. Net asset value per share increased by 13.1% to R36.57.
Earnings per share increased by 18.8% to 190.2 cents and headline earnings per share increased 19.6% to 190.9 cents. Profit before tax increased by 22.9% to R1.22 billion.
“Cash generated from operations increased by 14.4% for the period to R2.91 billion,” says Group CEO, Peter Mountford, “with the operating profit margin increasing from 6.1% in the prior comparable period to 7.3%.”
“This performance reflects the four month impact of the LeasePlan acquisition and strong sales performances in our South African supply chain and fleet businesses,” he explains. “The consumer-facing businesses were significantly impacted by the civil unrest in July 2021 but swift action to minimise the disruption to clients and exceptional efforts to regain lost revenue saw them performing ahead of expectations for the period,” adds Mountford.
“The emergence of the Omicron variant was a stark reminder that the pandemic is not yet over and that challenges remain for the global economy,” says Mountford. “Super Group’s operations in South Africa, Australasia, the United Kingdom and Europe continue to be impacted by COVID-19 related economic upheaval and the business remains focused on cost containment and improved operational efficiencies.”
“Teams across the world have worked tirelessly alongside our clients to manage and mitigate the impact of disruptive supply and logistics issues,” he continues. “These include the ongoing semi-conductor crisis, which impacted the European supply chain business and dealership operations in South Africa and the UK. In the face of these challenges, the dealerships businesses performed well – with stronger vehicle sales margins, higher average retail prices and good aftermarket parts and service performances bolstering revenue.”
“The global economy entered 2022 with significant product supply constraints and international logistics challenges and our trading environment will remain tough as a result,” predicts Mountford.
“As technological innovators, we remain committed to delivering sustainable returns through acquisition opportunities and the development of new revenue streams, targeting additional markets and diversifying our service offering,” he concludes.