Page 141 - Profile's Stock Exchange Handbook - 2025 Issue 1
P. 141

Profile’s Stock Exchange Handbook: 2025 – Issue 1                       JSE – LEW
                                                              EMAIL: graeme@tierlir.co.za
                  Lewis Group Ltd.                            WEBSITE: www.lewisgroup.co.za
        LEW                                                   TELEPHONE: 021-460-4400
                         ISIN: ZAE000058236                   COMPANY SECRETARY: Marisha Gibbons
                         SHORT: LEWIS                         TRANSFER SECRETARY: Computershare Investor
                         CODE: LEW                             Services (Pty) Ltd.
                         REG NO: 2004/009817/06
                         FOUNDED: 1934                        SPONSOR: Standard Bank of SA Ltd.
                         LISTED: 2004                         AUDITORS: EY Inc.
                                                              BANKERS: Absa Bank Ltd., First National Bank of
                                                  Scan the QR code to  Africa Ltd., Investec Bank Ltd., Nedbank Ltd.,
                           NATURE OF BUSINESS:     visit our website  Standard Bank Ltd.
                           Lewis Group is a leading credit
                           retailer of household furniture,  CALENDAR    Expected     Status
        electricalappliancesand homeelectronicsand hasbeenlisted on  Next Final Results  May 2025  Unconfirmed
        the JSE Ltd. since 2004 where it is classified under the General  Annual General Meeting  Oct 2025  Unconfirmed
        Retailers sector. The group has a branch network of 897 stores
                                                  Next Interim Results   Nov 2025  Unconfirmed
        which includes stores across all major metropolitanareas as well
        as a strong presence in rural South Africa, with 138 stores in the  CAPITAL STRUCTURE  AUTHORISED  ISSUED
        neighbouring countries of Botswana, Eswatini, Lesotho and  LEW  Ords 1c ea  150 000 000  52 159 288
        Namibia.                                  DISTRIBUTIONS [ZARc]
        The group operates the following primary brands:  Ords 1c ea    Ldt     Pay    Amt
        -Lewis,thecountry’slargestfurniturechainandoneofthemost  Interim No 41  21 Jan 25  27 Jan 25  300.00
        recognisable brands in furniture retailing, focused primarily on  Final No 40  23 Jul 24  29 Jul 24  300.00
        the growing middle to lower income market in the living  Interim No 39  16 Jan 24  22 Jan 24  200.00
                                                                     18 Jul 23
                                                                             24 Jul 23
                                                  Final No 38
                                                                                      218.00
        standards measurement (“LSM”) 4 to 7 categories.
        - Best Home and Electric, selling appliances as well as furniture  LIQUIDITY: Dec24 Avg 261 244 shares p.w., R14.3m(26.0% p.a.)
        ranges in the LSM 4 to 7 category.                GERE       40 Week MA   LEWIS
        - Beares, a long established brand focussing on the middle                     7902
        income market in the LSM 7 to 9 category.
                                                                                       6570
        - UFO, acash furniture retailer, with avalue offeringinthe upper
        income spectrum being LSM 9 +.                                                 5237
        The group also operates a number of small bedding chains.
                                                                                       3905
        Monarch Insurance, the group’s financial services subsidiary,
        provides optional micro insurance products to customers pur-                   2572
        chasing merchandise on credit.
                                                                                       1240
                                                     2019  |  2020  |  2021  |  2022  |  2023  |  2024
       SECTOR: ConsDiscr—Retail—Retailers—HomeImprovementRetailers
       MAJOR ORDINARY SHAREHOLDERS as at 31 Mar 2024  Recent Announcements
         Coronation Fund Managers (SA)    13.80%
         Peresec Prime Brokers (SA)        8.63%  Lewis interim results September 2024 - Thursday, 21 November 2024:
       FINANCIAL STATISTICS                        Lewis Group delivered a strong trading and financial performance
       (R million)    Sep 24 Mar 24  Mar 23 Mar 22 Mar 21  for the first six months of the 2025 financial year with continued
                      Interim  Final Final(rst)  Final  Final  strong credit sales growth, expanding margins, improved quality of
       Turnover        4 354  8 184  7 456  7 256  6 726  the debtors portfolio and a substantial growth in profit
       Op Inc           477  690  609  668  696    The strong credit sales growth trend continued, with credit sales
       NetIntPd(Rcvd)    88  138   98   24   88
       Tax               76  154  156  191  172    increasing by 16.9% and cash sales declining by 6.7%. Total
       Att Inc          283  436  411  483  433    revenue,comprisingmerchandisesalesandotherrevenue(effective
       TotCompIncLoss   302  425  422  486  422    interest income, insurance and ancillary services), increased by
       Hline Erngs-CO   289  500  510  561  463    13.6% to R4.4 billion (H1 2024: R3.8 billion)
       Fixed Ass        459  442  426  396  386    The quality of the group’s debtors book continued to improve with
       Right of Use Assets  792  794  760  747  635  thelevelofsatisfactorypayingcustomersincreasingtoarecordlevel
       Inv & Loans      168  243  257  266  254
       Goodwill&IntangibleAssets  115  110  175  258  296  of 81.6% (H1 2024: 79.9%) and collection rates at the half year at
       Def Tax Asset     97  64    50   83  112    79.5% (H1 2024: 80.9%).
       Retirement&BenefitAss  109  109  107  110  105  Operating profit increased by 54.1% to R477 million and the
       Tot Curr Ass    6 677  5 771  5 270  5 047  5 035  operating margin improved by 600 basis points from 14.2% to
       Ord SH Int      4 752  4 703  4 693  4 717  4 873  20.2%. Headline earnings increased by 41.6% to R288.8 million.
       LT Liab         1 182  1 188  821  805  656  Earnings per share increased 53.0% to 544 cents, headline earnings
       Tot Curr Liab   2 484  1 643  1 531  1 385  1 295
                                                   per share (HEPS) by 49.1% to 555 cents, reflecting the positive
       PER SHARE STATISTICS (cents per share)      leverage effect of thegroup’s sharerepurchaseprogramme.
       EPS (ZARc)     543.70  806.30  695.60  730.70  576.40  The directors have shown confidence in the Group’s growth
       HEPS-C (ZARc)  554.80  924.60  863.50  848.70  616.50
       DPS (ZARc)     300.00  500.00  413.00  413.00  328.00  prospects by increasing the interim dividend by 50.0% to 300 cents
       NAV PS (ZARc)  9 212.00 8 891.00 8 220.00 7 527.00 6 814.00  per share.
       3 Yr Beta       0.50  0.39  0.45  0.79  0.86  Company outlook
       Price High      7 689  4 499  5 487  5 400  3 211  Consumer confidence has been buoyed by lower inflation, interest
       Price Low       4 260  3 500  3 751  2 835  1 201  raterelief,lowerfuelandtransportcostsaswellasthesuspensionof
       Price Prd End   7 280  4 350  4 100  4 700  3 071  load shedding. However, the group expects that the recovery in
       RATIOS                                      discretionary spending will be slow and consumers will remain
       Ret on SH Fnd   5.96  9.28  8.76  10.24  8.88
       Ret On Tot Ass  12.50  10.00  9.20  10.40  10.50  under pressure in the short to medium-term.
       Oper Pft Mgn    10.94  8.43  8.17  9.20  10.34
       D:E             0.50  0.34  0.25  0.15  0.07
       Current Ratio   2.69  3.51  3.44  3.64  3.89
       Div Cover       1.81  1.61  1.68  1.77  1.76
       NUMBER OF EMPLOYEES: 10 247
       DIRECTORS: Abrahams Prof F (ind ne), Bodasing A (ind ne),
        Deegan B (ind ne), MotsepeDR(ind ne), NjikizanaTH(ind ne),
        Saven H (Chair, ind ne), Enslin J (CEO), Bestbier J (CFO)
       POPULAR BRAND NAMES: Lewis, Best Home and Electric, Beares,
        Bedzone, Real Beds, UFO Furniture, Monarch Insurance
       POSTAL ADDRESS: PO Box 43, Woodstock, Cape Town, 7915
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