South African fashion retailer Mr Price suffered a loss of Sh91 million in its Kenyan operation in the five months ended September, largely attributable to start-up costs. The multinational in May last year spent R19 million (Sh137 million) to acquire 12 stores as part of its buyout of the franchise from its former partner Deacons East Africa. “From the date of acquisition, revenue contributed was R57 million (Sh412 million) and net loss contributed was R12.6 million (Sh91 million), affected by one off start-up costs,” Mr Price said in a trading update.
The multinational said the Kenyan stores helped boost its sales outside South Africa by 11.4 per cent in the six months ended September.
