South Africa's Mr Price Suffers First Annual Profit Drop In 16 Years

South Africa's Mr Price Suffers First Annual Profit Drop In 16 Years

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This weekend's edition of the Sunday Times reported on emails allegedly showing the Guptas' control over some Cabinet ministers and state-owned companies, as well as the involvement of Zuma's son Duduzane, a Gupta associate. Zuma's ties to the Gupta family, Indian immigrant businessmen accused of trying to manipulate top government leaders for financial gain, has also stirred public anger.

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Mr Price blamed a drop in sales on weak consumer sentiment and the knock-on effects of political turmoil which culminated in President Jacob Zuma firing finance minister Pravin Gordhan in March and credit ratings agencies downgrading the nation.

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The measures are partially designed to defuse discontent over steep prices hikes for food, medicine and services resulting from reforms introduced in November, including floatation of the Egyptian pound, the introduction of value added tax and partial lifting of subsidies on fuel.

Mr Price, which has grown for three decades by undercutting competitors and catering to thrifty shoppers' fashion needs, said a mild winter caused rivals to mark down stock to match its own prices, further weighing on sales.

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50 rand by 0824 GMT, compared with a 0. But shares in Mr Price were up 5. 2 percent gain in the JSE's benchmark Top-40 index, as the company kept its full-year dividend at 667 cents per share.

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