Choppies expects higher profits

Supermarket chain, Choppies, expects its results for the financial year ended June 30 to reflect an increase in profit after tax from continuing and discontinued operations of as much as 152%. The results are due to be released to the market on or before September 22. In a notice to investors this week, Choppies directors said the earnings after tax for the year were expected to reach as much as P151 million, compared to P60 million in the previous corresponding period. While no reasons were given for the forecasts of higher earnings, the group’s numbers are expected to have benefited from the relaxation of COVID-19 restrictions and the uptick in the economy over the reporting period. The local economy grew by 11.4% last year, the highest since 1989, as activity rebounded from a steep contraction in 2020 caused by the pandemic. The growth continued in the first quarter at seven percent, compared to one percent in the previous corresponding period. When the results are revealed, directors are expected to detail the impact of runaway inflation on Choppies’ margins during the reporting period.