CLOTHING retailer Edgars Stores is banking on more competitive procurement pricing, tighter cost controls and selective expansion to sustain growth, as the group pushes profitability in a tough trading environment.
The strategy helped lift revenue 12,34% to US$41,26 million in the 52 weeks ended January 4, 2026, while profit after tax surged to US$1,94 million from US$813 349 in the prior period.
Chief executive Sevious Mushosho said stronger performance was driven by pricing discipline, quality merchandise and internal efficiencies, rather than higher prices.
“Margins have remained relatively comparable to prior year,” Mushosho told businessdigest. “The growth came out of sharpening procurement price competitiveness and sustaining quality merchandise offering in keeping with market demands.”
He said margin expansion was underpinned by procurement efficiencies and stronger income margins.
“The margin expansion was driven by procurement efficiencies and increase in net income margins during the period,” Mushosho said.
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Retail merchandise revenue rose 12% to US$34 million, supported by stronger sales across both the Edgars and Jet chains.
Edgars chain turnover increased 10,2% to US$18,7 million, while units sold rose.
Jet posted a similar 10,2% increase in turnover to US$14,7 million, with units sold climbing to 1,25 million from 1,11 million.
“Edgars grew revenue on the back of customer centric focus delivering quality merchandise at competitive prices. We also improved customer experience at our various stores nationwide,” Mushosho said.
The firm’s manufacturing division also strengthened performance, with units supplied to retail chains rising 47% to 448 000, supported by production efficiencies and a growing order book.
The group invested US$1,1 million in expanding production capacity and has set aside US$2,07 million in capital expenditure this year for selective store expansion and back-up solar power.
Borrowings rose to US$9,52 million from US$8,99 million, largely to support working capital and capital investment.
Mushosho said profits rose faster than revenue due to lower bad debts, stronger credit quality and cost containment.
Chairman Themba Sibanda said the group remained focused on disciplined capital allocation and long-term value creation.