Building material retailer Cashbuild’s same store-sales revenue dropped 5% in its second quarter to end-December, as
the home improvement boom that started during the pandemic is over.
It issued a voluntary operational update on Monday.
The 309 existing stores’ revenue decreased 6% and the seven new stores contributed a 1% increase.
Its first half results from July to December show a 4% decrease in revenue compared to the prior half year.
Selling inflation was 4.5%, with a quarter of the group’s revenue coming from cement sales alone.
The group, which also owns chain P&L Hardware that sells to lower income consumers, now has 316 stores. Builder retailers including Italtile and Pepkor’s Building Company have reported drops in sales after the 2020 and 2021 splurge on homes as people worked and socialised away from the office. Homeware retailers such as Mr Price Home and Sheet Street have also seen a drop in sales.
While consumers splashed out on renovations and redesign during the pandemic as they spent more time at home, many have returned to the office.
Cashbuild’s share closed 0.58% lower at R189.
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