“Pick n Pay in Serious Trouble”: 56 Pick n Pay Stores Close Down Across South Africa
- Pick n Pay closed 56 stores across South Africa during its 2026 financial year as part of a major restructuring plan aimed at getting the business back on track
- The closures hit hardest in the franchised store network, with liquor and supermarket outlets seeing the steepest cuts
- Despite signs of recovery in some areas, the core Pick n Pay business is still running at a loss
Source: Facebook
Marketing and retail specialist @hamzehmajiet shared a post on 25 May 2026 flagging the latest developments at Pick n Pay. The retailer released its results for the 52 weeks ended 1 March 2026, confirming that 56 stores had been closed across the country. This was part of its ongoing turnaround plan.
According to a report by BusinessTech, the closures affected supermarkets, hypermarkets, liquor stores and franchise outlets. The franchised store network took the biggest hit, dropping from 260 stores in 2025 to 211 in 2026. The franchised liquor network also shrank, with 29 stores closing during the year.
Where Pick n Pay stands now
Group turnover grew to R120.3 billion, but that growth came almost entirely from Boxer stores, which put up a strong increase.
The core Pick n Pay business actually declined by 1.6%, a direct result of the store closures. Online sales were a bright spot, growing over the period, and company-owned supermarkets recorded like-for-like sales growth. The group also kept its internal selling price inflation at 1.9%. This is below the national food inflation rate of 4.4%.
The bigger picture is still tough, though. The group's trading profit fell by 4.2% to R1.7 billion. Boxer contributed R2.6 billion in trading profit, but the Pick n Pay segment posted a trading loss of R1 billion. The headline loss shows some progress, but the road back to full profitability is still a long one.
View the Facebook post here.
What Pick n Pay's CEO said
CEO Sean Summers acknowledged the pressure but said the business is in a better position than it was two and a half years ago.
"Our store estate reset is effectively behind us, and we have achieved some of the key milestones we set ourselves in our strategy. The positive customer feedback that we are getting is really very encouraging."
He also confirmed that the company would continue with its Section 189 consultation process to reduce labour costs. He called this a necessary step to make the business sustainable in the long run.
A R4.7 billion Boxer share placement completed in May 2026 has helped strengthen the balance sheet and will support the next phase of the recovery plan. The break-even target for the core Pick n Pay business has been pushed to 2029.
Source: Getty Images
More on SA business closures
- Briefly News recently reported on former Big Brother Mzansi star Terry Treasure closing her skincare business.
- Nestlé SA also began laying off workers as part of a global restructuring affecting 16,000 jobs.
- Showmax's sudden shutdown hit Real Housewives of Durban star Jojo Robinson particularly hard.
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Proofreading by Kelly Lippke, copy editor at Briefly.co.za.
Source: Briefly News
