Mr Price Group SIX YEAR REVIEW
MR PRICE GROUP 2011
SIX YEAR REVIEW
Abridged statements of financial position, cash flows and income R’000
25 year compound growth %
5 year compound growth %
2011
2010
607 681 459 634 148 047
686 475 530 407 156 068
2009
Statement of financial position Assets Non-current assets Property, plant and equipment Export partnerships Other Current assets Inventories Trade and other receivables Cash and cash equivalents
3 253 953 931 1 368
456 666 278 512
2 923 934 818 1 170
893 603 220 69
460 299 254 907
769 671 355 743
2 377 410 1 002 456 714 167 660 787
3 861 137
3 610 244
3 270 870
2 394 184
2 070 823
1 764 187
179 010
200 966
225 673
1 287 943 1 241 624 46 319
1 338 455 1 310 170 28 285
1 281 010 1 208 450 72 560
3 861 137
3 610 244
3 270 870
1 104 698
1 021 444
783 153
Equity and liabilities Equity attributable to shareholders Non-current liabilities Current liabilities Trade and other payables Other
Statement of cash flows Cash flows from operating activities Cash flows from investing activities
(155 043)
(100 924)
(219 246)
Cash flows from financing activities
(748 026)
(401 799)
(367 135)
201 629
518 721
196 772
1 170 743
660 787
465 277
(8 765)
(1 262)
1 170 743
660 787
Net increase/(decrease) in cash and cash equivalents Cash and cash equivalents at beginning of the year Exchange (losses)/gains
(3 860)
Cash and cash equivalents at end of the year
1 368 512
Income statement Retail sales Profit from operating activities Profit attributable to shareholders Headline earnings attributable to shareholders
21.6% 24.1%
15.6% 21.5%
10 1 1 1
673 433 010 026
364 768 254 399
9 454 991 673 682
130 518 568 135
8 591 827 615 622
Notes: 1. 2006 and 2011 were 53 week periods. 2. The 25 year compound growth rates, reflected on pages 66 to 71, are calculated from the date of acquiring control in 1986. 3. Definitions are found on page 187.
MR PRICE GROUP 2011 - PAGE 66
258 188 723 724
TH
THE
2008
2007
ANNIVERSARY ISSUE
2006 TOTA L A SSE TS ( R’MI L L I ON )
4 000 3 500
846 566 220 59
334 176 310 848
712 464 201 46
485 082 688 715
570 344 170 56
810 007 389 414
1 945 909 570 465
182 094 811 277
1 781 741 469 570
177 229 003 945
1 456 535 296 624
029 467 039 523
2 791 516
2 493 662
2 026 839
1 479 331
1 316 808
1 025 647
241 142
231 263
280 340
3 000 2 500 2 000 1 500 1 000 500
2006
1 500
2007
2008
2009
2010
2011
C A S H GE N E RATE D A N D C A S H AT Y E A R E N D ( R’MI L L I ON )
1 000
945 591 821 139 124 452
720 852 550 904 169 948
500
2006
2 493 662
2 026 839
578 774
387 945
328 918
(255 020)
(237 381)
(47 702)
(429 598)
(203 691)
(146 477)
(105 844)
(53 127)
134 739
570 945
624 523
493 131
176
(451)
(3 347)
465 277
570 945
624 523
2009
2008
2010
2011
Cash generated from operating activities Cash at year end
12 000
RE TA I L S A L E S A N D OPE RATI N G PROFI T ( R’MI L L I ON )
1 600 1 400 1 200 1 000 800 600 400 200
10 000 Retail sales
2 791 516
2007
8 000 6 000 4 000 2 000
2006
7 203 716 550 553
640 180 943 165
6 056 612 479 480
757 685 164 644
5 167 542 392 397
2007
598 415 470 379
2008
2009
Retail sales Operating profit
MR PRICE GROUP 2011 - PAGE 67
2010
2011
Operating profit
1 071 043 1 034 118 36 925
SIX YEAR REVIEW (CONTINUED)
Stores and productivity measures Ratios/indicators
25 year compound growth %
5 year compound growth %
2011
2010
2009
1.6 11.9 8.0 30.7
1.7 11.8 8.3 31.6
1.8 11.9 8.3 31.6
Mr Price Apparel Mr Price Sport Miladys
340 40 198
338 36 214
326 31 215
Total Apparel stores
578
588
572
Mr Price Home Sheet Street
130 229
136 238
138 244
Total Home stores
359
374
382
24
27
17
961
989
971
12 585
12 536
12 472
508 316 501 497
504 707 513 347
483 141 498 884
Comparable sales growth % Retail selling price inflation %
10.2 3.0
6.5 5.6
7.8 5.0
Cash sales % Credit sales %
83.8 16.2
83.9 16.1
84.0 16.0
11 391 848 102 20 997
9 828 754 170 18 732
9 006 688 854 17 782
Operating statistics Depreciation as a % salesa Employment costs as a % salesb Occupancy costs as a % salesc Total expenses as a % sales Number of stores
Franchise Total group stores FTE associatesd Trading area - weighted average net m² - closing net m²
11.4%
9.7%
Sales per store (R’000) Sales per FTE associates (Rand) Sales density (Rand per weighted average net m2)e
Notes: 1. 2006 and 2011 were 53 week periods. 2. The 25 year compound growth rates, reflected on pages 66 to 71, are calculated from the date of acquiring control in 1986. 3. Definitions are found on page 187. a Depreciation on property, plant and equipment only. b Employment costs include salaries, wages and other benefits, share-based payments, restraint of trade expenses, defined contribution pension fund expense, defined benefit pension fund net expense and post retirement medical aid benefits. c Occupancy costs include land and building lease expenses, including straight line lease adjustments. d FTE: Full time equivalent. e Includes international. MR PRICE GROUP 2011 - PAGE 68
TH
THE
2008
2007
ANNIVERSARY ISSUE
2006 SA L E S S PL I T A N D N U MB E R OF A C TI V E A C C OU N TS
1.6 12.7 7.2 31.0
1 200
90
1 000
80 70 Sales %
1.7 12.7 7.7 31.5
800
60 50 40 30
600 400
20
315 23 196
305 8 184
305 172
534
497
477
140 222
136 196
130 154
362
332
284
200
10 2006
2007
2008
Cash sales (%)
2009
2010
Number of active accounts (‘000)
100
1.8 12.3 8.0 31.5
2011
Credit sales (%)
Number of active accounts
SA L E S D E N S I TY A N D N U MB E R OF FTE A SSOC I ATE S
11 036
761
10 000
15 000
8 000
10 000
6 000 4 000
5 000
9 166
2 000 2006
347 060 377 813
294 594 316 288
6.4 11.5
8.0 6.9
13.4 10.9
84.2 15.8
84.1 15.9
88.7 11.3
8 040 606 170 17 368
7 306 548 804 17 452
6 791 546 335 17 545
2008
Sales density
2009
2010
2011
FTE associates
N U MB E R OF STORE S A N D TRA D I N G A RE A
Number of stores
414 773 439 901
2007
Number of FTE associates
11 884
830
-
12 000
20 000
1 200
600 000
1 000
500 000
800
400 000
600
300 000
400
200 000
200
100 000
2006
2007
2008
Number of stores
MR PRICE GROUP 2011 - PAGE 69
2009
2010
2011
Weighted average net m2
m2
903
1
Density - R/m2
7
14 000
25 000
SIX YEAR REVIEW (CONTINUED)
Returns, profitability and share information Ratios/indicators
25 year compound growth %
5 year compound growth %
2011
2010
2009
4.5 41.9 13.4 15.2
4.5 39.9 10.5 10.7
4.8 39.0 9.6 12.0
42.2 46.0 63.6 63.8
32.5 35.6 42.6 52.4
34.9 38.4 52.5 52.9
2.5 1.8 6.6 0.6
2.2 1.5 5.9 0.7
1.9 1.1 5.5 0.9
418.9 388.8 252.0 451 978
276.9 263.0 173.0 415 837
251.9 244.6 133.0 317 717
244 845 245 024 284 749 116.2 6.6 4.0 1.6 15.1 15 744
247 298 246 320 251 912 102.3 7.0 4.3 1.6 14.4 9 837
245 946 247 175 308 975 125.0 10.4 5.5 1.9 9.6 5 994
6 908 4 026 6 338 29.2
4 318 2 435 3 980 16.7
2 651 1 440 2 425 20.3
Productivity ratios Net asset turn Gross margin (%) Operating margin (%) EBITDA margin (%) Profitability and gearing ratios Return Return Return Return
on on on on
net worth (%) average shareholders' equity (%) capital employed (%) operating assets (%)
Solvency and liquidity ratios Current ratio Quick ratio Inventory turn Total liabilities to total shareholders' equity Per share performance (cents) Headline earnings Diluted headline earnings Dividends Operating cash flow Net worth
23.5% 23.2% 25.3%
21.0% 20.2% 25.5%
Stock exchange information Number of shares in issue (‘000) Number of shares on which earnings based (‘000) Shares traded ('000) Percentage of shares traded (%) Earnings yield (%) Dividend yield (%) Dividend cover P:E ratio (times) Market capitalisation (R’m) Share price (cents) - high - low - closing Foreign shareholding at year end (%)
26.2%
24.3%
Notes: 1. 2006 and 2011 were 53 week periods. 2. The 25 year compound growth rates, reflected on pages 66 to 71, are calculated from the date of acquiring control in 1986. 3. Definitions are found on page 187. MR PRICE GROUP 2011 - PAGE 70
TH
THE
4.8 39.4 9.9 12.2
4.5 40.0 10.1 12.3
4.9 40.3 10.5 12.5
37.2 39.6 52.1 52.5
36.4 41.0 53.0 51.5
38.3 44.2 59.5 54.2
1.8 1.0 5.3 0.9
1.9 1.1 5.7 0.9
2.0 1.3 5.4 1.0
12 000
16
RE TA I L S A L E S A N D OPE RATI N G MA RGI N
14
10 000
12
8 000
10
6 000
8
4 000
6 4
2 000
2 2006
2007
2008
2009
Retail sales
2010
2011
Operating margin (%)
RE TU RN ON N E T WORTH , E QU I TY A N D C A PI TA L E MPL OY E D
80 60 40 20 2006
191.8 183.6 101.0 155 523
161.7 154.7 81.0 134 412
247 332 252 599 271 233 109.7 12.0 6.4 1.9 8.3 4 498
251 882 250 553 238 286 101.5 6.4 3.4 1.9 15.5 6 995
248 756 245 697 114 856 49.6 7.6 3.8 2.0 13.2 4 956
3 340 1 719 1 820 12.1
3 189 1 600 2 980 18.1
2 184 1 050 2 140 7.0
2007
2008
2009
2010
2011
Return on net worth (%) Return on average shareholders equity (%) Return on capital employed (%)
H E A D L I N E E A RN I N GS A N D D I V I D E N D S PE R S H A RE
450 400 350 Cents per share
219.0 210.8 116.0 229 598
300 250 200 150 100 50 2006
2007
2008
Headline earnings per share
MR PRICE GROUP 2011 - PAGE 71
2009
2010
2011
Dividends per share
Operating margin %
2006
Retail sales - R’million
2007
%
2008
ANNIVERSARY ISSUE