Boxer grows profit despite pressure on consumer spending

Stephen Grootes speaks to Boxer CEO Marek Masojada about the retailer’s interim results. Listen to the interview in the audio player below. South African discount retailer Boxer has increased headline earnings by 9.1% to R565 million for the 26 weeks ended 30 August 2026, despite constrained consumer spending and continued selling-price deflation.

Turnover rose 6.3% to R24.1 billion, while trading profit climbed 8.1% to R1.006 billion, lifting the trading margin to 4.2%. Profit before tax and capital items increased 10.6% to R774 million, while headline earnings per share rose 9.2% to 124.83 cents. The retailer attributed its stronger profitability partly to improved gross margins and a 34.7% increase in other income, supported by its data-insights business and the launch of its retail-media offering.

Boxer also opened its 600th store during the period, extending a footprint that began with its first outlet in Empangeni in 1977. The board declared an interim dividend of 49.93 cents per share, representing a 40% payout of headline earnings per share. CEO Marek Masojada says the group remained focused on offering lower prices, while management expects new stores and improving recent trading momentum to support growth in the second half.

Speaking to Stephen Grootes on The Money Show, Masojada however warns that the uncertain food-inflation and elevated oil and diesel costs are likely to negatively impact both customers and its own cost base in the coming months. "...costs associated with energy, fuel, et cetera, start to come through.

But, you know, certainly it has brought a different kind of challenge, I think, for all retail. And given the contribution of those basic products to our overall turnover, clearly it's been a challenge for Boxer." - Marek Masojada, CEO - Boxer "One topic that I think is going to really change the business.

I think it's the impact on AI and particularly the speed at which businesses are able to move forward with these new ideas." - Marek Masojada, CEO - Boxer "...nought would be a good start to get back to last year's pricing. It would give us a little bit of momentum, but I think, the sort of generally held view is that in the first half of last year, we could start seeing positive food inflation." - Marek Masojada, CEO - Boxer Scroll to the top of the article to listen to the full interview.