The Daily Update: 10 May

July 17, 2023

FinMeUp

South Africa

Pick n Pay Stores Limited- Dealings in securities

Associates of Gareth Ackerman purchased Pick n Pay shares to the value of R627 917.30.

Transaction Capital Limited- Unaudited Interim Results For The Half Year Ended 31 March 2023

The decision to restructure SA Taxi in the current financial year will impact half-year results and weigh on the full-year outlook.
Group returns are expected to recover after the rebasing of SA Taxi, supported by earnings composition towards capital-light revenue streams from WeBuyCars and Nutun.
Core earnings per share from continuing operations attributable to the group decreased by 48% compared to the previous year.
Transaction Capital's balance sheet remains sufficiently capitalized and debt covenant levels remain intact after accounting for the SA Taxi restructure.
WeBuyCars and Nutun have robust balance sheets and high cash conversion rates, with capital and funding structures isolated from the effects of SA Taxi's restructuring.
No interim dividend has been declared to preserve liquidity.
Transaction Capital is committed to working tirelessly to reposition SA Taxi for growth and ultimately rebuild shareholder value, leveraging its new mobility platform, Mobalyz.

Nutun:

Revenue increased by 50% to R1.9 billion.
Core earnings from continuing operations attributable to the group increased by 15% to R189 million.
CX services revenue now makes up 56% of Nutun's revenue, up from 32% a year ago.

WeBuyCars:

Core earnings attributable to the group decreased by 22% to R234 million.
Vehicles purchased increased by 20% to 71,928, and vehicles sold increased by 21% to 71,020.
F&I product penetration on units sold increased to 21.2%.
Total e-commerce sales decreased by 16% to 14,515.
B2B online sales fell by 27%, but B2C online sales increased and now account for approximately 29% of total online sales.
Take-up of F&I products increased to 21.2% of all sales.
Key focus area in the current financial year is driving operational efficiencies and greater sales volumes to grow into the existing infrastructure.

SA Taxi:

Gross profit increased by 2% to R437 million.
Headline earnings from continuing operations increased by 5% to R200 million.
Gross loan book grew by 1% to R15.2 billion.
Recovery rates improved from 30% to 34%.
Successful implementation of new credit-scoring models resulted in a 10% reduction in credit losses.
Strategic focus in FY2023 is to increase the growth of the book in South Africa through the implementation of product enhancements and the expansion of the rental business.

Harmony Gold Mining Company Limited- Operational update for the nine months ended 31 March 2023

Harmony plans to commission phase 1 of 30 MW renewable solar power by the end of FY23.
There was an 11% increase in gold revenue to R33 982 million (US$1 946 million) compared to the previous year.
The group operating free cash flow increased by 49% to R3 237 million (US$186 million) from R2 174 million (US$144 million) last year.
The average gold price received increased by 13% to R992 899/kg (US$1 769/oz).
All-in sustaining costs (AISC) increased by 8% to R895 580/kg (US$1 595/oz) from R825 925/kg (US$1 703/oz).
Net debt to EBITDA improved to 0.5 times from 0.6 times in the previous quarter.
The company remains on track to meet its FY23 production, cost, and grade guidance.

The Foschini Group Limited- Trading update for Q4 FY2023 and the twelve months ended 31 March 2023

Despite load shedding in South Africa and macroeconomic challenges, the Group achieved pleasing retail turnover growth of 14.3% in Q4 FY2023, compared to Q4 FY2022.
The Group delivered retail turnover growth of 19.4% for the twelve months ended 31 March 2023.
TFG Africa recorded retail turnover growth of 15.6% in Q4 FY2023, compared to Q4 FY2022, despite being negatively impacted by the high levels of load shedding.
TFG continued to grow ahead of the market during Q4 FY2023 and the twelve months ended 31 March 2023, expanding market share by 0.3% for both these periods, for those categories reported.
Group online retail turnover grew 17.7% in Q4 FY2023, whilst online retail turnover contributed 10.8% to total Group retail turnover.
TFG invested in capital expenditure to improve logistics infrastructure, local manufacturing, ecommerce capabilities and its store network (new and revamped stores).
Load shedding had a significant impact on TFG Africa's retail turnover, estimated to have reduced it by over R1.5 billion in FY2023, with a concomitant impact on inventory provisioning which ultimately impacts on gross margins achieved.