Best home and electric

Best Home and Electric is a retailer of electrical appliances, sound and vision equipment and selected furniture lines. The chain offers branded merchandise to its targeted customers in the LSM 4 to 7 group.

The electronic catalogue is used extensively to market furniture ranges and furniture accounts for [36.4%] of sales in the chain.

Stores are smaller than Lewis stores and average 150m2, being located mainly in high traffic areas with high trading densities.

Financial and operating performance    2017 2016 2015
Revenue Rm  725.3 793.3 801.9
Revenue growth (8.6) (1.1) 6.1
Merchandise sales Rm  307.0 328.8 347.6
Merchandise sales growth (6.6) (5.4) 3.3
Credit sales 76.9 72.9 73.9
Operating profit Rm  111.0 143.0 169.4
Operating profit margin 15.3 18 21.1
New stores opened (closed)    (4) (2) 0
Total stores    123 127 129
Total trading space m2  17 083 17 564 17 832
Annual revenue per m2 R’000  42 45 45

The brand’s operating profit margin is above the group average as the brand has a stronger presence in urban and semi-urban trading areas which have been less affected by the drought and affordability regulations.