Slides
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Annual results for the year ended 31 August 2026 2026
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Contents 01 Review of the year 02 Financial results 03 Trading performance 04 Strategy and outlook 05 Questions
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01 Review of the year Bertina Engelbrecht
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Review of the year Clicks Group Annual Results 2026 4 • Extremely tough and competitive consumer environment • Opened 1 031st Clicks store and 835th Clicks pharmacy • 13.1m active ClubCard members • Opened 4 additional UniCare sites • Launched KwaMakhi, a township convenience retail brand • Increased shareholding in ARC Store • Acquisition of medical consumables business for UPD • Rolled out WMS to Durban DC seamlessly in June • Progressing our sustainability agenda • R3.4bn returned to shareholders, including share buybacks of R1.3bn
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02 Financial Results Gordon Traill
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Key features Turnover up 5.4% Retail turnover up 4.2% UPD reported turnover up 9.2% Total income margin down from 31.1% to 31.0% Trading margin down from 9.8% to 9.7% Diluted HEPS up 4.4% to 1 422 cps Returned to shareholders R3.4 bn Total dividend up 4.4% to 925 cps Cash generated by operations R6.3 bn Return on equity down from 49.2% to 48.7% Clicks Group Annual Results 2026 6
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Turnover • Retail value growth impacted by lower inflation, WMS system rollout in Western Cape in H1 and constrained consumer spend • Retail price inflation 1.2% in H2 versus 2.3% in H1 • UPD turnover driven by preferred bulk contracts, up 19.3% R’m 2026 2025 % change % same stores growth % inflation Retail 39 126 37 554 4.2 1.8 1.5 Distribution 20 377 18 658 9.2 0.6 Intragroup turnover (9 089) (8 384) 8.4 Total group 50 414 47 828 5.4 1.2 Clicks Group Annual Results 2026 7
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Total income • Retail margin driven by supply chain efficiencies • UPD impacted by much lower SEP increase (maximum of 1.47% vs 5.25% in FY2025) and loss of two bulk distribution contracts in FY2024 R’m 2026 2025 % change 2026 % margin 2025 % margin Retail 14 159 13 252 6.8 36.2 35.3 Distribution 1 828 1 843 (0.8) 9.0 9.9 Intragroup (372) (234) Total group 15 615 14 861 5.1 31.0 31.1 Clicks Group Annual Results 2026 8
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Trading expenditure – Retail • Comparable retail cost growth 3.6% • Employment costs impacted by WMS rollouts and pharmacy openings • Other costs impacted by advertising, electricity and software licence costs R’m 2026 2025 % change Depreciation – PPE 645 598 7.9 Depreciation – ROU asset 1 228 1 133 8.4 Occupancy costs 225 210 7.0 Employment costs 5 025 4 897 2.6 Other costs 2 716 2 483 9.4 Total retail costs 9 839 9 321 5.6 % of turnover 25.1% 24.8% Finance costs – lease liability 385 338 13.8 Clicks Group Annual Results 2026 9
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Trading expenditure – Distribution • Depreciation of PPE driven by investment in systems • Benefit of solar and EVs on electricity and fuel costs R’m 2026 2025 % change Depreciation – PPE 77 72 8.3 Depreciation – ROU asset 10 9 6.6 Occupancy costs 3 3 (11.9) Employment costs 385 385 (0.1) Other costs 793 749 5.9 Total distribution costs 1 268 1 218 4.1 Clicks Group Annual Results 2026 10
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Trading profit • Retail margin in FY2025 was 10.8% including unwind of Unicorn intragroup profit R’m 2026 2025 % change 2026 % margin 2025 % margin Retail 4 320 3 932 9.9 11.0 10.5 Distribution 560 625 (10.4) 2.7 3.3 Intragroup 18 122 Total group 4 898 4 679 4.7 9.7 9.8 Clicks Group Annual Results 2026 11
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39 587 41 622 45 438 47 828 50 414 3 325 3 623 4 172 4 679 4 898 0 1000 2000 3000 4000 5000 6000 7000 - 4 000 8 000 12 000 16 000 20 000 24 000 28 000 32 000 36 000 40 000 44 000 48 000 2022* 2023 2024 2025 2026 Growth in turnover, profit and margin Trading profit marginTurnover(R’m) Trading profit (R’m) * FY2022 trading profit and margin adjusted for impact of civil unrest Clicks Group Annual Results 2026 12 8.4% 8.7% 9.2% 9.8% 9.7% 7.5% 8.0% 8.5% 9.0% 9.5% 10.0%
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Inventory • Retail inventories impacted by new stores across all brands, and new pharmacies • New medical consumables range, GLP-1 buy-ins and new product launches in UPD • Group net working capital days improved from 34 to 33 days Days in stock Inventory (R’m) 2026 2025 2026 2025 % change Retail 79 77 5 951 5 613 6.0 Distribution 50 45 2 780 2 265 22.7 Intragroup inventory (41) (59) Total group 82 78 8 690 7 819 11.1 Clicks Group Annual Results 2026 13
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Cash management R’m • R1.5 billion final dividend to be paid to shareholders in January 2027 Clicks Group Annual Results 2026 14
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Capital returned to shareholders Clicks Group Annual Results 2026 15 R’m 0 500 1,000 1,500 2,000 2,500 3,000 3,500 4,000 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 Dividends (R'm) Buybacks (R'm) Total returned to date since 2006 of R25.7 billion (dividends R16.6 billion + R9.1 billion buybacks at an average price of R53.60)
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Capital expenditure • R1 453m capex planned for FY2027 • R780m on stores: - 40 – 50 new Clicks stores, and other format stores - 70 – 80 store refurbishments • R673m on infrastructure: - R90m on UPD IT and warehouse equipment - R583m on retail systems and infrastructure, including WMS rollout to Centurion DC in April and electric bikes for omni -fulfilment • R1.5 – R1.8bn p.a. capex planned for next three years Clicks Group Annual Results 2026 16
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Continuing investment in core operations Clicks Group Annual Results 2026 17 457 509 579 599 679 780 270 262 251 298 403 583 111 159 59 88 84 90 2022 2023 2024 2025 2026 2027 planned Stores Retail IT & Infrastructure UPD R’m 838 930 889 985 1 166 1 453
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Medium-term financial targets Achieved in FY2026 Medium-term target ROE (%) 48.7 40 – 50 ROIC excluding IFRS 16 (%) 49.5 40 – 50 ROIC (%) 31.2 20 – 30 ROA (%) 14.2 11 – 15 Net working capital days 33 30 – 35 Group trading margin (%) 9.7 9.0 – 10.0 Retail 11.0 10.0 – 11.0 Distribution 2.7 2.8 – 3.3 Dividend payout ratio (%) 65 60 – 65 Clicks Group Annual Results 2026 18
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322 380 445 450 490 637 679 776 886 925 502 575 664 754 774 1 033 1 045 1 194 1 362 1 422 2017¹ 2018¹ 2019 2020 2021 2022 2023 2024 2025 2026 60% 62% 65% 60% 63% 62% 65% 65% 65% 65% 10-year CAGRs Total shareholder return³: 11.4% Diluted HEPS: 12.5% Dividend per share: 13.0% Sustained financial performance ¹ Pre-IFRS 16 ² Based on HEPS ³ Based on reinvestment of dividends paid and the closing share price Dividend payout ratio²Dividend per share (cents) Diluted HEPS (cents) Clicks Group Annual Results 2026 19
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03 Trading Performance Bertina Engelbrecht
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Retail Review
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Retail sales performance % change % contribution Pharmacy 7.3 27.6 Front shop health & baby 2.2 25.1 Beauty & personal care 4.5 32.6 General merchandise 1.3 14.7 Total turnover 4.2 100.0 • Comparable stores turnover growth of 1.8% • Inflation 1.5% • Volume growth of 0.3% • Promotional sales now 47.1% of turnover Clicks Group Annual Results 2026 22
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Retail market shares % 2026 2025 Health Retail pharmacy* 24.7 24.1 Front shop health** 32.6 33.1 Baby** 23.0 23.1 Beauty Skincare** 42.3 43.3 Haircare** 32.6 32.7 Personal care** 23.1 22.6 General merchandise Small electrical appliances** 19.7 18.7 * Per IQVIA (Private Retail Pharmacy S1-6) (restated) ** Per NielsenIQ (restated) Clicks Group Annual Results 2026 23
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Revitalised Clicks ClubCard programme • 13.1m active members, 84.2% of sales • R976 million cashback paid in FY2026 • “Pay even less” campaign launched 25 August 2026 – additional 10% discount for ClubCard members on 3 000 SKUs • Joint campaign with Engen & FNB/RMB – voted Best Short-Term Loyalty Marketing Campaign* • New affinity partners – Standard Bank, ABSA and Food Lover’s Market – and increased benefits offered by FNB Clicks Group Annual Results 2026 24 * Per South African Loyalty Awards 2026
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Revitalised Clicks ClubCard programme Clicks Group Annual Results 2026 25
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• 835 Clicks Pharmacies, 225 clinics, 5 UniCare specialist pharmacies • 54.2% of households live within 5.0km of a Clicks store • Private label 12.3% of pharmacy • Awaiting approval of Unicorn GLP-1 generic • OTC on-demand pharmacy offer trialled in 23 stores • To be rolled out to 50 pharmacies in December • To be extended to acute scripts and to 24-hour delivery from UniCare pharmacies • Procuring electric bikes to commence own delivery service • Opportunity to move into oncology Anchored by health Clicks Group Annual Results 2026 26
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UniCare 24-hour pharmacies • 24-hour dispensary ensures patients can access prescriptions, OTC medications and healthcare advice at all hours • Specialised services include wound care, diabetes clinic, vaccinations & travel clinic, IV clinic, orthopaedic support, blister packing and after-hours doctors • Currently in 5 locations, averaging 1 400m² in size – potential to expand to 15 – 20 locations Clicks Group Annual Results 2026 27
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Beauty – Sorbet Group Clicks Group Annual Results 2026 28 • The largest professional beauty and grooming brand in SA, providing over 4.4m treatments annually • Franchise model with 211 salons (193 franchise, 18 corporate) and potential to get to 300 salons, especially more Sorbet MAN • First Sorbet master franchise signed in Botswana; finalising agreement for Mauritius • Opportunity to sell salon products online
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Beauty – ARC Store • Premium beauty market is cR6bn pa • Currently online and 11 stores, with potential to reach 20 – 25 stores • Focus on millennial & Gen Z customers • R530m in sales in FY2026 with same store sales growth c5 times the market • ARC customer spend in Clicks: R866m in last 12 months • Clicks Group increased stake from 22.7% to 25.7% in FY2026 and to 61.0% in FY2027 (pending approval) Clicks Group Annual Results 2026 29
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An even more differentiated offer • R10.1bn sales of private label and exclusive brands • Private label is 25.8% of sales (front shop 30.9%, pharmacy 12.3%) • 17 private label products voted SA Product of the Year in their categories • Launching a premium private label diaper in March 2027 • Launched No 7 range and selected Boots ranges exclusively in SA in October 2026 Clicks Group Annual Results 2026 30
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Convenient access • 1 031 Clicks stores and 5 UniCare stores with 840 pharmacies and 225 clinics • 270 stores located in low income areas (25.5% of retail turnover) • Online sales up 15.0%; Click & Collect now 30.3% of online sales • Relaunched app – 1.9m downloads during the year, 7.3m downloads in total Clicks Group Annual Results 2026 31 Format Total Convenience Destination 801 235 Total 1 036
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Efficiency through green transition • 70% of Cape Town DC energy from solar and renewable wheeling • Electric trucks for retail distribution • Clicks’ logistics partner has secured 30 heavy duty electric trucks for use at the Cape Town & Centurion DCs • Cape Town DC now operates a 100% electric truck fleet – the first DC in Africa to achieve this • Annual fuel savings of R20m – R25m and R2m – R3m lower maintenance costs • Clicks will undertake own click & collect store deliveries using electric vans • Electric scooters being procured for pharmacy and frontshop online deliveries in high density nodes Clicks Group Annual Results 2026 32
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KwaMakhi – convenience township format • KwaMakhi means “at my neighbour’s place” • Market estimated to be worth cR900bn annually • 4 stores in Tembisa, Khayelitsha, Elsies River & Hammanskraal • c350m² in size – no pharmacy/clinic, differentiated branding • Each store employs c6 people from the surrounding area • Carefully curated product range of c3 500 SKUs across baby, front -shop healthcare, beauty, personal care and household essentials • Initially c30% trusted private label products to grow to c40% • Pricing strategy focused on everyday low prices rather than discounts • Automated refill units to be trialled Clicks Group Annual Results 2026 33
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KwaMakhi – convenience township format Clicks Group Annual Results 2026 34
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UPD Review
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Review of the year • Total managed turnover +4.1% to R31.8bn • Generic medicines up from 75.7% to 77.8% of medicine volumes and 58.5% of medicine sales • All UPD sites now ISO:13485 (medical devices) certified • Medical consumables acquisition successfully integrated and offer being marketed to hospitals • Excellent cost management aided by solar, batteries and EVs • 85 EV delivery vehicles comprise 86% of wholesale fleet Clicks Group Annual Results 2026 36
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Fine wholesale turnover • Wholesale turnover up 5.7% • Benefit of increased Clicks pharmacy openings; 98% purchasing compliance • Hospitals impacted by lack of growth in occupancy and genericisation • Wholesale market share down from 26.2% to 25.4%* * Source: IQVIA, TPM, MAT August 2026, Schedule 1 - 6 Clicks Group Annual Results 2026 37 Clicks & UniCare (+9.1%) Private Hospitals and Medical Consumables (+2.4%) Independent Pharmacies and other Channels (-8.3%) 60.3% 35.0% 4.7%
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Medical consumables offer Clicks Group Annual Results 2026 38 • cR8bn p.a. addressable market • Mr First Aid is a leading distributor of medical devices and medical consumables throughout southern Africa • Adds to the basket of existing UPD customers like the hospitals with non-regulated product at a better margin than medicines • Opportunity for new customers for UPD – smaller acute hospitals, mining groups and in rest of Africa
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04 Strategy and Outlook Bertina Engelbrecht
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Strategy • The group is well positioned due to: • Competitive advantage in defensive health & beauty sectors with favourable long-term growth drivers • Market-leading shares in core retail categories and in pharmaceutical wholesale and distribution • Organic growth opportunities in stores, online and new formats, underpinned by a value offer, loyalty and customer service • Increasing scale maximises and leverages efficiency, effectiveness and reach • Confident of the group’s ability to continue delivering on medium-term targets Clicks Group Annual Results 2026 40
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Outlook • The consumer will be severely constrained while the cost of fuel remains elevated and interest rates are higher • The strong Rand has offset pressures to some extent • Expect low selling price inflation to continue, but a second SEP increase of 2.88% has been enacted effective 1 October 2026 • Very competitive retail environment with increased discounting • Encouraging results from revitalised ClubCard offer Clicks Group Annual Results 2026 41
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Outlook (continued) • Leveraging investments in UniCare, KwaMakhi, Sorbet, ARC Store, medical consumables and LEAP • Medium-term target of 1 200 Clicks stores • Plan to open 40 - 50 stores per year • Target of 15 – 20 UniCare specialised pharmacies • Target of 35% private label & exclusive brands in front shop and 18% in pharmacy Clicks Group Annual Results 2026 42
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05 Questions
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Disclaimer Clicks Group has acted in good faith and has made every reasonable effort to ensure the accuracy and completeness of the information contained in this presentation, including all information that may be defined as 'forward-looking statements' within the meaning of United States securities legislation. Forward-looking statements may be identified by words such as 'believe', 'anticipate', 'expect', 'plan', 'estimate', 'intend', 'project', 'target', 'predict' and 'hope'. Forward-looking statements are not statements of fact, but statements by the management of Clicks Group based on its current estimates, projections, expectations, beliefs and assumptions regarding the group's future performance. No assurance can be given that forward -looking statements will prove to be correct and undue reliance should not be placed on such statements. The risks and uncertainties inherent in the forward -looking statements contained in this presentation include, but are not limited to: changes to IFRS and the interpretations, applications and practices subject thereto as they apply to past, present and future periods; domestic business and market conditions; changes in the domestic regulatory and legislative environments; changes to domestic operational, social, economic and political risks; and the effects of both current and future litigation. Clicks Group does not undertake to update any forward -looking statements contained in this presentation and does not assume responsibility for any loss or damage whatsoever and howsoever arising as a result of the reliance by any party thereon, including, but not limited to, loss of earnings, profits, or consequential loss or damage. Clicks Group Annual Results 2026 44