Boxer Retail has unveiled a carefully planned leadership transition, naming Justin Galloway as CEO-designate as the discount retailer continues to punch above its weight by delivering earnings growth despite a challenging consumer environment.
The appointment comes as long-serving CEO Marek Masojada prepares to retire at the end of the current financial year after 33 years with the business.
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The succession plan was established at the time of Boxer’s November 2024 listing, with the board conducting a formal process that evaluated both internal and external candidates before selecting Galloway.
A chartered accountant, Galloway joined Boxer in 2012 and has served on the group executive since 2020.
Deep operational expertise
His experience spans finance, store operations and supply chain management, and he is credited with helping develop Boxer’s discount format as well as transforming the retailer’s distribution network to support expansion.
He currently leads the supply chain function and will formally take over as CEO on March 1, 2027 following a transition period alongside Masojada.
The leadership handover coincides with another solid set of financial results from Boxer, suggesting the incoming CEO will inherit a business that remains firmly on a growth trajectory.
For the 26 weeks ended August 30 2026, turnover increased 6.3% to R24.1-billion, while trading profit rose 8.1% to R1.01-billion.
Resilient earnings growth
Profit before tax and capital items advanced 10.6% to R774-million, outpacing sales growth despite continued pressure on consumers and ongoing selling-price deflation.
Headline earnings climbed 9.1% to R565-million and headline earnings per share increased 9.2% to 124.83 cents.
Earnings per share grew even faster, rising 13.1% to 125.28 cents.
The board also declared an interim dividend of 49.93 cents per share, representing a 40% payout ratio.
Store expansion supports momentum
Operationally, Boxer crossed a significant milestone during the period with the opening of its 600th store.
The retailer reported implied like-for-like volume growth of 3.8%, while other income surged 34.7%, supported by growth in its B-Inside data insights business and the launch of B-Media, its retail media platform.
Trading profit margin improved to 4.2% from 4.1% a year earlier.
The group’s balance sheet also strengthened materially.
Well positioned for further growth
Net cash, excluding lease liabilities, increased to R2.3 billion from R700 million at the start of the financial year, helping keep net finance charge growth to just 0.4% year on year.
Management says Boxer, which is majority owned by Pick n Pay, remains on track to open 60 new stores during the 2027 financial year, having already opened 32 stores by September 30, 2026.
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While the company expects improved trading momentum in the second half, it cautioned that visibility remains limited amid macroeconomic uncertainty, delayed food inflation and elevated fuel costs.
For investors, the timing of Galloway’s appointment is significant. The incoming CEO inherits a retailer delivering steady revenue growth, expanding margins, strong cash generation and an ambitious store rollout programme.
The board said his appointment reflects both the depth of Boxer’s leadership pipeline and confidence in his ability to steer the business through its next phase of expansion.
- Boxer Retail appointed Justin Galloway as CEO-designate, with Marek Masojada retiring at the end of the current financial year after 33 years.
- Justin Galloway, a chartered accountant, joined Boxer in 2012 and will formally become CEO on March 1, 2027, following a transition period.
- For the 26 weeks ended August 30, 2026, Boxer’s turnover increased 6.3% to R24.1 billion, trading profit rose 8.1% to R1.01 billion, and profit before tax and capital items grew 10.6% to R774 million.
- Boxer opened its 600th store during the period, reported like-for-like volume growth of 3.8%, and saw a 34.7% surge in other income, supported by its B-Inside and B-Media platforms.
- Net cash excluding lease liabilities increased to R2.3 billion from R700 million at the start of the financial year, with Boxer on track to open 60 new stores in the 2027 financial year.
