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Upmarket retailer Truworths International released a business update on Thursday, just after the JSE\u2019s close, for the 26-week period ended 28 December 2025, revealing a tale of two markets.<\/p>\n
While the group\u2019s South African operations continue to face significant headwinds, its UK-based Office segment has delivered a robust performance despite global macroeconomic pressures.<\/p>\n
Read: Truworths plans new approach to grow in the market<\/p>\n
Group retail sales remained flat at R12.5 billion, unchanged from the prior period. However, a deeper look into the numbers shows a widening gap between its African and European business segments.<\/p>\n
South African consumers under pressure<\/strong><\/p>\n Truworths Africa saw its retail sales dip by 3.6%, as local consumers continue to grapple with high living costs and financial strain. Cash sales fell by 5.8%, while account sales, which make up 71% of the segment\u2019s revenue, decreased by 2.7%.<\/p>\n Despite the slump, there are \u201cearly signs of improvement\u201d on the horizon for the local economy. The group noted that a stronger rand, stabilising inflation (around 3%), and lower fuel prices could offer some much-needed relief to the South African retail landscape in the coming months.<\/p>\n ADVERTISEMENT<\/p>\n CONTINUE READING BELOW<\/p>\n<\/div>\n<\/div>\n Read:<\/p>\n In contrast, Office UK proved to be a standout performer for the Truworths group. Retail sales for the footwear specialist increased by 6.4% in sterling terms (reaching R4.5 billion).<\/p>\n This growth was bolstered by a strong online presence, with digital sales now accounting for nearly 46% of the segment\u2019s total revenue.<\/p>\n<\/blockquote>\n The group attributed this success to Office\u2019s \u201cunique positioning\u201d and a successful store remodelling programme, which Truworths plans to continue throughout 2026 with a projected space increase of up to 12%.<\/p>\n Read: Truworths slides as it flags lower full-year earnings<\/p>\n The group\u2019s share price lost just over 1.5% on Friday as the market digested the update.<\/p>\n ADVERTISEMENT:<\/p>\n CONTINUE READING BELOW<\/p>\n<\/div>\n<\/div>\n Truworths\u2019s share price<\/strong><\/p>\n Credit and earnings outlook<\/strong><\/p>\n Truworths is maintaining a \u201cmeasured approach\u201d to credit expansion in Africa, given the challenging operating environment. Interestingly, the number of active accounts saw a marginal increase of 0.6%, though the group remains disciplined in its lending to higher-risk segments.<\/p>\n Key financial estimates:<\/p>\n Shareholders can expect the interim results to be released on 26 February 2026.<\/p>\n \u00a0<\/p>\n Follow Moneyweb\u2019s in-depth finance and business news on WhatsApp here.<\/em><\/p>\n<\/p><\/div>\n\n
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