S.Africa's Massmart meets forecasts with 10 pct FY sales growth

JOHANNESBURG Wed Jan 15, 2014 4:15am EST

JOHANNESBURG Jan 15 (Reuters) - South African retailer Massmart Holdings Ltd largely met consensus with a near 10 percent rise in full-year sales on Wednesday, sending its shares up as much as 4 percent.

Massmart, majority owned by Wal-Mart Stores Inc, said sales rose 9.7 percent to 72.2 billion rand in the 53 weeks to Dec. 29, broadly in line with a 9.4 percent growth estimate by 10 analysts polled by Reuters.

Shares in the company surged as much as 4 percent shortly after the news. By 0911 GMT, the stock was up 2.6 percent at 128.26 rand, outpacing a flat JSE All-share index.

South African retailers were among the worst performing stocks last year amid fears high household debt, tentative economic growth and job losses would hit consumer spending.

Industry-wide retail sales grew 1.3 percent year-on-year in October, official data showed on Wednesday, slightly above a 1.2 percent growth economists polled by Reuters had expected.

FILED UNDER:
Comments (0)
This discussion is now closed. We welcome comments on our articles for a limited period after their publication.