The grocery chain said in a trading statement that
HEPS for the 26 weeks to August 27 would be at least 19c, or 20%, lower than
the 82.43c reported in the matching period, a difference of 2c from its July
estimate.

In April‚ Pick n Pay launched a voluntary severance
programme, offering employees one-and-a-half weeks of pay for each completed
year of service‚ plus four weeks of notice pay.

Without the retrenchment process, HEPS was expected
to increase by between 10% and 15%, to 90.67c and 94.79c, with the company
expecting the cost of the programme to be fully recovered by the end of the
financial year.

CEO Richard Brasher said: “On a normalised
basis, excluding the voluntary severance process, we again delivered a
double-digit improvement in profitability.”

During the period, turnover grew 5.1% with the
company restricting selling price inflation to 3.6%, Pick n Pay said.

At 2.35pm Pick n Pay’s share price was down 1.44%
to R56.78. Its first-half results are expected on October 17.

Source: Business Day Live