Takealot.com has started making profit - CEO

Carl_Johnson said:
Wasn't there just an article the other day saying that they suffered huge loses the previous financial year?
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Yep.

Daily Investor said:
Takealot takes pain

Takealot has recorded a trading loss of R252 million over the last financial year and warned that Temu and Shein are threatening the industry.
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From that article:

Despite these interventions, Takealot could not contain costs to a level where the company would become profitable.

Takealot has not been able to turn a profit since it was founded fifteen years ago, despite a plan to achieve this important step three years ago.

Five years ago, former Takealot CEO Kim Reid said the company was set to become profitable in 2021 and was on track to achieve this goal.

Between 2019 and 2021, Takealot significantly reduced its losses, giving the market confidence that it would reach profitability in the 2022 financial year.

However, Takealot has since gone in the opposite direction. The online retailer incurred a loss of R401.73 ($22) million (R407 million) in 2023, higher than the R127.82 ($7) million (R129 million) a year earlier.

The latest loss of R255.65 ($14) million (R252 million) is an improvement from last year. However, it is still much worse than in 2022.

There is also no clear indication that the situation will improve to show a profit over the next year.
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But then in the new article:

Takealot Group CEO Frederik Zietsman revealed that Takealot.com is profitable as of the 2024 financial year.

He stated that while the Takealot Group – comprising Takealot.com, Mr D, and Superbalist – incurred a trading loss, both the Takealot.com and Mr D businesses are now making trading profits individually.
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Despite the success of these two companies, Takealot Group’s financial results for the year ended 31 March 2024 included a R255.65 ($14) million (R252 million) trading loss.
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IDK man smells like a spin job.
 
Dylan_G said:
Yep.



From that article:



But then in the new article:



IDK man smells like a spin job.
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"Naspers has released its annual results for the year ended 31 March 2024, reporting a $14 million (R252 million) trading loss for the Takealot Group."

Copied the above from the old article, dunno if anything was changed, but it states the 252 mil loss was for the Takealot Group.

The new article explained that the Takealot Group comprise of takealot.com, Mr D and Superbalist, and that both takealot.com and Mr D are both profitable, so Superbalist's performance was probably pretty scary.

But ye, I am also surprised that takealot.com managed to turn a profit while Temu is in town, let's see if it lasts.
 
kota said:
"Naspers has released its annual results for the year ended 31 March 2024, reporting a $14 million (R252 million) trading loss for the Takealot Group."

Copied the above from the old article, dunno if anything was changed, but it states the 252 mil loss was for the Takealot Group.

The new article explained that the Takealot Group comprise of takealot.com, Mr D and Superbalist, and that both takealot.com and Mr D are both profitable, so Superbalist's performance was probably pretty scary.

But ye, I am also surprised that takealot.com managed to turn a profit while Temu is in town, let's see if it lasts.
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Their 3rd party sellers will take most of the loss.

Superbalist must be doing incrediably bad if they lost over 250 million.


Tou could surely create a company like that with an investment of under R10 million?
 
Pegging said:
Their 3rd party sellers will take most of the loss.

Superbalist must be doing incrediably bad if they lost over 250 million.


Tou could surely create a company like that with an investment of under R10 million?
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Never used Superbalist tbh, so ye, no idea how much they spent on the initial infrastructure.

Hmm my thinking is that if they are like taobao that have their own warehouse, logistic systems, all these package sorting robots, and then data analytics etc, then R10mil probably won't cut it, but then again, no idea how big Superbalist is. :P

I am also wondering can their operating expenses really be so high since they should just be a large drop shipper?
 
kota said:
Never used Superbalist tbh, so ye, no idea how much they spent on the initial infrastructure.

Hmm my thinking is that if they are like taobao that have their own warehouse, logistic systems, all these package sorting robots, and then data analytics etc, then R10mil probably won't cut it, but then again, no idea how big Superbalist is. :p

I am also wondering can their operating expenses really be so high since they should just be a large drop shipper?
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Ja, and they are also piggy backing off Takealots warehouses and distribution systems.

Maybe most of Takealot's new Capex is being recorded as Superbalists.

Numbers just don't add up. Even if Superbalist is valued at R100 million.
 
does that mean they have re-paid all losses/expenses incurred previously?
 
Literally everything you read about Takealot lately is just lies and them trying to force consumers to use them. We'll if your profit is so much..... why are you scared about Temu and Shein. It just shows how you overcharge the South African market with your 500% markup. Thanks for proving my point from the get go. Takealot is taking South Africans for a ride and the uninformed pay like fools for products from China anyway.
 
Loot is still by preferred online retailer. Takealot has been going downhill like Raru.
 
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