JSE-listed Clicks Group has released its Clicks interim results for the six months ending February 2025. They report impressive resilience and strategic accomplishments in the health and beauty retail sector. The group noted a 13.2% rise in headline earnings per share (HEPS).
Clicks credits its robust earnings performance to several crucial factors. These include significant market share growth in its core health and beauty segments. Group turnover rose by 6.2%, reaching R23.2 billion during the period. In line with this positive performance, the interim dividend also increased by 13.3%. Shareholders are due to receive 238 cents per share. These figures underscore the strength of the group's performance in the latest Clicks interim results.
Strategic Drivers Behind Strong Clicks Interim Results
CEO Bertina Engelbrecht emphasised the main drivers behind these favourable results. She mentioned robust growth in the front shop health and pharmacy categories. A key factor was the enhanced performance of Clicks' private label products, which saw a sales surge of 10.1%. These own-brand items now account for 31.4% of front-shop sales, reflecting growing consumer trust. Moreover, the group's digital strategy continues to yield benefits, with online sales climbing by 23%. E-commerce now accounts for 4.4% of total retail sales, highlighting the significance of Clicks' omnichannel strategy.
Clicks ClubCard remains a pillar of the group's success
The Clicks ClubCard loyalty programme remains a pillar of the group's success. Active membership has reached 12.1 million. Loyalty has proven to be critical, with ClubCard members representing a substantial 82% of Clicks sales. They also earned R438 million in cashback rewards. The positive Clicks interim results were also supported by continued physical growth. This includes the inauguration of its 950th store in February 2025 and the expansion of its national pharmacy network to 740 locations.
Looking forward, Clicks aims to accelerate its expansion. They plan to launch between 45 and 55 new stores and pharmacies during the full financial year. To support this growth, Clicks plans to invest R1.025 billion in capital expenditure. A significant portion will be allocated for new store openings and renovations.