Business: Mr Price Group Limited - Trading Update for Third Quarter
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During the third quarter (October, November and December) of the financial year ending 31 March 2009 Mr Price Group recorded sales growth of 20.3% (December 21.4%). Comparable sales, which includes sales of expanded and relocated stores in like-for-like locations, grew by 15.3% (December 17.5%).
Inflation for the period was 6.3% and cash sales constituted 84.3% of total sales. A net 21 stores were opened during the quarter bringing the total number of stores to 948. The sales of the franchise stores in Africa and the Middle East are excluded from these comparisons.
The Apparel Division (Mr Price, Mr Price Sport and Miladys), which represented 72% of sales, achieved sales growth for the quarter of 25.7% with comparable sales growth of 21.8%. Weighted average space increased by 6.3% and inflation of 5.3% was recorded for the quarter.
The Home Division (Mr Price Home and Sheet Street), which represented 28% of sales, continued to be affected by the reduced consumer spend on durable and semi-durable products which includes homewares. Sales growth of 8.2%, with comparable sales growth of 1.7%, was recorded. Weighted average space increased by 12.1% and inflation of 7.1% was recorded for the quarter.
The debtors' book remained well controlled from both a credit granting and a collections perspective, resulting in bad debt levels in line with that reported for the half year ended 30 September 2008.
The financial figures above have not been reviewed and reported on by the company's auditors.
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