Shoprite, South Africa’s largest retailer, is reducing its presence in several African markets as it shifts its focus towards South Africa and neighbouring countries.
The retailer’s latest financial results for the 52 weeks ended 28 June 2026 show that the group has completed a number of store and property disposals outside South Africa, including its exits from Ghana, Malawi and Nigeria.
Shoprite has also continued to reduce its furniture operations across the continent as part of a broader strategy to concentrate capital, management resources and logistics on markets closer to its South African base.
The group said the move would also help limit its exposure to volatile currencies and challenging operating environments in some African countries.
Shoprite CEO Pieter Engelbrecht said the company was maintaining a disciplined approach to capital allocation while narrowing its geographic footprint.
“We continue to maintain a disciplined approach to capital allocation as well as portfolio focus, with our scope of operations on the continent now numbering seven countries, all situated relatively close to our South African home base.”
The retailer said currency fluctuations remained a significant challenge in some of its international markets, with economic conditions outside its control contributing to currency devaluations.
As part of the restructuring, Shoprite completed the sale of its Ghanaian supermarket operations, which consisted of seven stores and a warehouse. The transaction took effect on 25 November 2025, with the group receiving R70 million.
The company also disposed of its five-store operation in Malawi. The transaction became effective on 22 February 2026, with Shoprite receiving R39 million the following day.
Shoprite has effectively completed its withdrawal from Nigeria as a separate geographic market. After previously selling its Nigerian retail operations, the group agreed during the second half of the financial year to dispose of its remaining property developments in the country.
The retailer has also been reducing its furniture footprint outside South Africa. Its furniture businesses in Namibia, Botswana, Eswatini, Lesotho and Zambia were sold on 1 October 2025 for R568 million, following the settlement of transferred contract liabilities.
Shoprite’s furniture operations in Mozambique were not included in the transaction and were subsequently abandoned, with the stores ceasing trading at the end of April 2025.
In South Africa, the group has agreed to sell its furniture business, including the OK Furniture and House and Home brands, to Pepkor. The deal is still subject to approval by the South African Competition Tribunal.
South Africa remains key growth market
Despite scaling back its operations elsewhere on the continent, Shoprite’s latest results show that South Africa remains at the heart of its growth strategy.
The group’s Supermarkets RSA division generated R228.7 billion in sales, accounting for 84.5% of Shoprite’s total sales of R270.8 billion.
Sales in the division increased by 7.1%, while trading profit climbed 7.9% to R15 billion.
Shoprite said most of its capital expenditure would continue to be directed towards expanding and upgrading its South African supermarket network, alongside technology-focused investments.
Shoprite and Usave recorded combined sales of R121.6 billion, while Checkers and Checkers Hyper increased sales by 10% to R105.2 billion.
The group’s online grocery delivery platform, Sixty60, was another strong performer. Sales increased by 34.5% to R25.5 billion, with the service operating from 976 stores nationwide.
Shoprite also opened 262 stores across its South African supermarket operations during the year and created 5,491 new direct jobs.
The results indicate that while the retailer is retreating from some international markets, it is continuing to invest heavily in its core South African business and digital operations.