TFG sees H1 revenue falling 20%, shares down

South Africa’s TFG expects its half-year revenue to fall by 20% as gross sales declined on account of retailer closures throughout Covid-19 lockdown restrictions, the retailer mentioned on Tuesday as its shares have been down greater than 5%.

Beforehand generally known as The Foschini Group, TFG mentioned primary headline earnings per share – the principle revenue measure in South Africa – would fall by 105.three cents ($zero.0639) within the six months to September 30, from 526.7 cents a yr earlier.

By 1408 GMT, shares fell to R86.61 rand, down 5.03%.

The style retailer mentioned buying and selling situations throughout South Africa, the UK and Australia continued to be difficult, with shopper spending below important strain, exacerbated by additional job losses and social distancing guidelines.

In Australia, commerce has been impacted by the re-introduction of lockdown measures in sure states. The UK shops began reopening from mid-June, with a really sluggish ramp up as social distancing guidelines and European restrictions stay largely in drive.

Because of this, gross sales for the 22 weeks ended August 29 declined by 29.7%. On-line gross sales grew 29.7% as prospects most popular buying on this method, however that progress was not sufficient to raise general gross sales given its small contribution.