TFG CEO Anthony Thunström Takes R26 Million Pay Cut After Poor Company Performance

• The Foschini Group CEO Anthony Thunström lost more than R26 million in pay after TFG scrapped all his performance-based incentives
• His total remuneration dropped from R44.8 million to R18.5 million, a decline equivalent to roughly R72,000 per day
• The pay cut came after TFG's headline earnings per share dropped 33.5% and its share price fell 43% in the 2026 financial year

The Foschini Group CEO, Anthony Thunström, walked away with R26 million less in pay for the 2026 financial year. TFG's annual remuneration report confirmed the steep decline. The group scrapped every cent of his performance-linked pay after a torrid year for the retail business.

His total single-figure remuneration fell from R44.8 million in the 2025 financial year to R18.5 million in 2026, a drop of R26.27 million. Spread across 365 days, that amounts to roughly R72,054 less per day.

Why TFG cut all variable pay

TFG's 2026 financial results told the story. Group revenue did grow 7.2% to R67.1 billion and retail turnover rose 7.1% to R62.4 billion, but profitability deteriorated sharply. The gross profit margin fell by 120 basis points to 48.2%, operational earnings before interest and tax dropped 22.1% to R4.9 billion, and headline earnings per share collapsed 33.5% to 675.4 cents. The company's share price also declined 43% from March 2025, and the total dividend paid to shareholders was cut by 30.8% to 270 cents per share.

Read also

South Africa's population increases amid white community's decline

Following discussions between the board and executive management, Thunström agreed to forego all incentive payments for the year entirely. His short-term cash bonus of R10.86 million and long-term share incentives worth R16.29 million, which together totalled R27.15 million in 2025, were both reduced to zero.

His guaranteed pay did increase by 5%, rising from R16.54 million to R17.37 million, after the remuneration committee assessed market benchmarks and internal pay equity across TFG's head office workforce.

TFG points to strategic progress

Despite the earnings setback, TFG highlighted several operational wins during the year. Its Bash online marketplace surpassed R3.5 billion in turnover and became profitable two years ahead of schedule, with e-commerce now accounting for more than 10% of TFG Africa's retail turnover.

3 Other Briefly News stories about CEOs

• Sanral CEO Reginald Demana faced questions at a media briefing about a court ruling that overturned a R9.5bn road maintenance tender.
• A South African man named Sisco Ndlovu overcame rejection from culinary school by starting his own successful training centre.
• A South African lady was tired of being unemployed and shared with Mzansi how she was going to find a job.

Source: Briefly News