EDCON THIRD QUARTER 2015 RESULTS
“Edcon has again improved its profitability growth at both a gross profit and EBITDA level. Edcon’s stronger cash sales continue to confirm that our chain store propositions are resonating positively with customers. Our profitability has been driven by both gross margin improvements as well as cost management efforts. With the planned catch up capex implemented by the end of fiscal year 2015, total capex spend is expected to normalise in fiscal year 2016.” said Chief Executive, Jürgen Schreiber
Salient features:
Pertaining to the third quarter 2015 compared to third quarter 2014:
Pro forma adjusted EBITDA up 4.2% to R1.3 billion Gross margin improved by 170 bps
Cash sales up 11.7%
Retail sales up 0.5% to R8.8 billion
Retail sales from operations outside South Africa up 7.6% Increase in average space of 6.1%
Ongoing working capital improvements