Steinhoff International sales fall due to Covid-19 hit

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Steinhoff International sales fall due to Covid-19 hit
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The embattled company reports that sales are recovering, while its cash position is better than it expected

Steinhoff International, whose businesses included Poundland in the UK and Pepco, says revenues have been trending back to pre-Covid-19 levels since May, and its cash position was better than it expected.

Pepkor Africa Group’s revenue the period fell 10% to €2.96bn, or 2% in constant-currency terms. It is estimated that the national lockdown period resulted in lost revenue of about €285m for Pepkor Africa, the group said, although sales levels for PEP and Ackermans were positive during May and June 2020 after stores reopened.

The full effect of Covid-19 on the performance of the group for the 2020 financial year remains uncertain, Steinhoff said in a trading update.

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