Page 140 - Profile's Stock Exchange Handbook -2024 Issue 4

JSE – LEW Profile’s Stock Exchange Handbook: 2024 – Issue 4
NUMBER OF EMPLOYEES: 10 004
Lewis Group Ltd. DIRECTORS: Abrahams Prof F (ind ne),
LEW Bodasing A (ind ne), Deegan B (ind ne),
ISIN: ZAE000058236 MotsepeDR(ind ne), NjikizanaTH(ind ne),
SHORT: LEWIS Saven H (Chair, ind ne), Enslin J (CEO),
CODE: LEW Bestbier J (CFO)
REG NO: 2004/009817/06 POPULAR BRAND NAMES: Lewis, Best Home
FOUNDED: 1934 and Electric, Beares, Bedzone, UFO Furniture,
LISTED: 2004 Monarch Insurance
Scan the QR code to POSTAL ADDRESS: PO Box 43, Woodstock, Cape
NATURE OF BUSINESS: visit our website Town, 7915
Lewis Group is a leading credit EMAIL: graeme@tierlir.co.za
retailer of household furniture, WEBSITE: www.lewisgroup.co.za
electrical appliances and home electronics and has been listed on TELEPHONE: 021-460-4400
the JSE Ltd. since 2004 where it is classified under the General COMPANY SECRETARY: Marisha Gibbons
Retailers sector. TRANSFER SECRETARY: Computershare Investor Services (Pty) Ltd.
Through the Lewis, Best Home and Electric, Beares, Bedzone and SPONSOR: Standard Bank of SA Ltd.
UFO brands, the group has a branch network of 869 stores. This AUDITORS: EY Inc.
includes stores across all major metropolitan areas as well as a BANKERS: Absa Bank Ltd., First National Bank of Africa Ltd., Investec Bank Ltd.,
strongpresenceinruralSouthAfrica,with138storesintheneigh- Nedbank Ltd., Standard Bank Ltd.
bouring southern African countries of Botswana, Eswatini, CALENDAR Expected Status
Lesotho and Namibia.
Lewisisthe country’slargest furniturechain andone of themost Annual General Meeting 18 Oct 2024 Confirmed
recognisable brands in furniture retailing, focused primarily on Next Interim Results Nov 2024 Unconfirmed
the growing middle to lower income market in the living Next Final Results May 2025 Unconfirmed
standards measurement (“LSM”) 4 to 7 categories.
ThegrouphasexpandeditsofferingbeyondtheLewischainbyde- CAPITAL STRUCTURE AUTHORISED ISSUED
veloping the Best Home and Electric brand selling home appli- LEW Ords 1c ea 150 000 000 52 393 699
ancesaswellasfurniture ranges in theLSM 4to 7 category. DISTRIBUTIONS [ZARc]
In 2014 the group embarked on a strategy of diversifying across Ords 1c ea Ldt Pay Amt
income groups and market segments by acquiring the long-estab- Final No 40 23 Jul 24 29 Jul 24 300.00
lished Beares brand. The Beares brand is focused on the Interim No 39 16 Jan 24 22 Jan 24 200.00
middle-income market in the LSM 7 to 9 category. Final No 38 18 Jul 23 24 Jul 23 218.00
In 2018, the group acquired UFO as a continuation of the group’s Interim No 37 17 Jan 23 23 Jan 23 195.00
diversification strategy. UFO is an independent, cash furniture
retailer with a retail footprint of 39 stores. UFO is recognised as a LIQUIDITY: Sep24 Avg 238 914 shares p.w., R11.4m(23.7% p.a.)
luxury brand with a value offering to the upper consumer GERE 40 Week MA LEWIS
spectrum, namely LSM 9+. Bedzone was established in 2022 as a 6100
specialist retailer of base sets targeting customers in the LSM 4 to
9 categories. Monarch Insurance, the group’s financial services 5128
subsidiary, provides optional micro insurance products to
4156
customers purchasing merchandise on credit.
3184
SECTOR: ConsDiscr—Retail—Retailers—HomeImprovementRetailers
MAJOR ORDINARY SHAREHOLDERS as at 31 Mar 2024
Coronation Fund Managers (SA) 13.80% 2212
Peresec Prime Brokers (SA) 8.63%
1240
FINANCIAL STATISTICS 2019 | 2020 | 2021 | 2022 | 2023 | 2024
(R million) Mar 24 Mar 23 Mar 22 Mar 21 Mar 20 Recent Announcements
Final Final(rst Final Final Final(rst
) ) Tuesday, 27 August 2024: On 27 August 2024 Global Credit Ratings
Turnover 8 184 7 456 7 256 6 726 6 453 (“GCR”) affirmed Lewis Group Ltd.’s long and short term national
Op Inc 690 609 668 696 254 scale issuer ratings at A+(za) and A1(za) respectively. The Outlook
NetIntPd(Rcvd) 138 98 24 88 64 is Stable.
Tax 154 156 191 172 90 The ratings are as follows:
Att Inc 436 411 483 433 182 National long-term issuer rating: A+(za)
TotCompIncLoss 425 422 486 422 216 National short-term issuer rating: A1(za)
Hline Erngs-CO 500 510 561 463 205 Outlook: Stable
Fixed Ass 442 426 396 386 324 “Lewis Group Limited’s (Lewis or the group) ratings reflect its
Right of Use Assets 794 760 747 635 694 resilient business model and continued expansion, which has
Inv & Loans 243 257 266 254 228 allowed stable operating performance through cycles, even in
Trademarks & Software 110 115 107 114 121 challenging conditions. The strength of the group’s financial
Goodwill - 60 151 182 188 position and its financial flexibility is expected to comfortably
Def Tax Asset 64 50 83 112 166 absorb pressures of its growing credit book.
Retirement&BenefitAss 109 107 110 105 107 Lewis’ business profile benefits from a strong local franchise,
Tot Curr Ass 5 771 5 270 5 047 5 035 5 561 underpinnedbyitswell-establishedtraditionalbrandassortmentin
Ord SH Int 4 703 4 693 4 717 4 873 4 710 thehomewarespaceandextensivestorenetworkincloseproximity
LT Liab 1 188 821 805 656 705 tohighdensityurbanandruralhubs.Thegroupplanstoaddatleast
Tot Curr Liab 1 643 1 531 1 385 1 295 1 974
20 new stores to its large 869 store base during financial year 2025,
PER SHARE STATISTICS (cents per share) ending 31 March, which will also include the rollout of its
EPS (ZARc) 806.30 695.60 730.70 576.40 232.10 standalone bed outlet. Lewis holds particularly strong market share
HEPS-C (ZARc) 924.60 863.50 848.70 616.50 260.20 in the lower LSM consumer segment, where its value positioning in
DPS (ZARc) 500.00 413.00 413.00 328.00 185.00 consumer durable products and consumer finance division remains
NAV PS (ZARc) 8 891.00 8 220.00 7 527.00 6 814.00 6 126.00 appealing even through weak economic cycles.
3 Yr Beta 0.39 0.45 0.79 0.86 0.48
Price High 4 499 5 487 5 400 3 211 3 897
Price Low 3 500 3 751 2 835 1 201 1 520
Price Prd End 4 350 4 100 4 700 3 071 1 782
RATIOS
Ret on SH Fnd 9.28 8.76 10.24 8.88 3.87
Ret On Tot Ass 10.00 9.20 10.40 10.50 4.80
Oper Pft Mgn 8.43 8.17 9.20 10.34 3.93
D:E 0.34 0.25 0.15 0.07 0.12
Current Ratio 3.51 3.44 3.64 3.89 2.82
Div Cover 1.61 1.68 1.77 1.76 1.25
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