South Africa’s largest furniture retailer Lewis Group has expanded its retail footprint with 49 new stores added in the year ended 31 March 2025, as the company reported strong financial results.
This includes 33 net new stores and the acquisition of 16 Real Beds outlets across South Africa and Botswana.
The group, which operates brands such as Lewis, Beares, Best Home & Electric, Bedzone, and now Real Beds, now has a total of 918 stores. It also completed refurbishments at 170 stores to modernise its retail offering, the group said in report for the year ended 31 March 2025.
“Real Beds, a cash retail bed specialist with 12 stores in South Africa and four in Botswana, has been successfully integrated into the group’s operations,” it said.
Merchandise sales increased by 9.2% to R5.1 billion, while total revenue rose 13.5% to R9.3 billion. Operating profit grew 66.9% to R1.2 billion, with earnings per share up 80.7% to 1,457 cents.
A final dividend of 500 cents per share was declared, bringing the total dividend for the year to 800 cents—up 60% from the previous year.
The Group noted strong growth in credit sales, which rose by 12.1% and now make up 68% of all merchandise sales. The quality of the debtors’ book improved, with satisfactory paid accounts reaching a record 83.5%.
Highlights
• Merchandise sales increased by 9.2% to R5.1 billion
• Revenue increased by 13.5% to R9.3 billion
• Gross profit margin improved from 43.1% to 43.4%
• Satisfactory paid accounts at 83.5% up from 81.3%
• Debtors book grew by 14.5%
• Operating profit increased by 66.9% to R1.2 billion
• Operating profit margin at 22.7% up from 14.8%
• Earnings per share increased by 80.7% to 1 457 cents
• Headline earnings per share increased by 60.3% to 1 483 cents
• Total dividend increased by 60.0% to 800 cents per share 1
• Return on equity at 15.4% up from 9.3%
Despite economic headwinds, Lewis said it will continue investing in growth and is targeting at least 40 new store openings in the current financial year—20 in its traditional retail segment and 20 in its specialist bed store category.
“Consumer demand for credit is expected to remain high, and the Group aims to drive sales growth through its proven merchandise and marketing strategies executed by the experienced executive and operational management team,” it said.
