Strong growth at Truworths’ Office UK has assisted in Truworths International growth during a difficult trading period as pressure on South African consumers continued to weigh down overall performance.
While Truworths Group retail sales were unchanged at R12.5-billion for the 26 weeks to December 28, the UK operation delivered solid growth and outperformed the rest of the group.
Office UK retail sales increased by 7.1% to R4.5-bilion, online sales also grew by 7.5% and accounted for nearly half of the segment’s total retail sales.
Truworths Africa under pressure
However, Truworths Africa remained under pressure as retail sales in the segment declined by 3.6% due to heightened international competition, and South African consumers continued to face financial strain.
Account sales dropped by 2.7% and cash sales dropped by 5.8%, while online sales showed 23.3% growth.
The group said South Africa’s macroeconomic environment is showing early signs of improvement, supported by a stronger rand, stabilising inflation expectations, and lower fuel prices.
Despite this, Truworths expects operating conditions to remain challenging and said it will maintain a cautious approach to credit expansion.
Across the group, cash sales increased by 2.3%, while account sales decreased by 2.7%. Account sales represented 45% of total group retail sales, down from 47% in the prior period.
Expectations for trading space to grow
Looking ahead, Truworths expects trading space in Africa to grow by about 1% in the 2026 financial year.
In the UK, Office UK’s trading space is expected to increase by between 10% and 12% as investment in new and refurbished stores continues.
“The store development and remodelling programme in Office UK will continue during the second half of the 2026 financial period.
“Trading space in this segment is expected to increase by between 10% and 12% on a weighted-average basis for the 2026 financial period,” the group said.
Truworths’ interim results are scheduled for release around February 26.
