Mr Price Group Limited (MRP) Earnings Call Transcript & Summary

Well, good morning, everybody, and welcome to the Mr Price Group results presentation. As you're aware, it's for the year ended the 3rd of April 2021. And it's actually a 53-week trading period, which does complicate reporting, but we'll separate out the distinctive periods. Well, I think that the heading here says it all, a year like no other, probably the understatement of the year. And we've got -- despite all the turmoil, we've got some really exciting news to share with you and some great achievements that we've accomplished during the year. I'm really looking forward to getting back to the position that we can have face-to-face meetings. In terms of where our vaccine rollout's looking, the November presentation will probably be in the same kind of format and hopefully face-to-face at the year-end. So it's this time next year. I'm going to talk about the backdrop, what's happening with consumer, the business environment. Mark Stirton, our CFO, will go over performance in some detail. But what I really want to focus on is the vision and strategy, and that will probably take up the lion's share of the presentation today. I guess just looking how we emerged from the worst of the pandemic and reflecting back on it, it really takes us back to how we approached it in the first place, and I'll say it, once we're over the significant part of the hill, how we can look back on how we behaved and how we looked after all our stakeholders. And we're honestly very proud of what we've done over the last year. We realized that our actions that we took at the early part of last year could have actually resulted in us taking a bigger hit than our competitors. But as we saw and as we emerged from the level 5 lockdown, we actually performed reasonably well in the first half and with a very nice kick in the second half. As you can see, our priorities where we really focused on, on our people, our staff, our customers, our suppliers, in fact, all stakeholders. And that spirit of partnership was something we're absolutely focused on. And as I said, looking back, I think we can hold our heads high. So just a final thank you to all those people, the whole stakeholder group for their efforts and the role that they played in achieving these results. These are the group performance highlights. We're obviously going to go through some of these in a lot more detail in the second half of the presentation and in the third half. But a highlight for the year was definitely gaining ZAR 1.2 billion market share. That was 150 basis points up. We delivered ZAR 500 million in new sales through organically launched departments. More details about that as well later. And our online sales, it's a global trend, but we were up 64%, and we nearly doubled our contribution to about 2.5% of group sales. We did see an acceleration in the second half with retail sales was up 8.5%. And both the Home divisions, that's Home and Sheet Street, and our cellular division grew double digits. Very pleasingly, with all the turmoil that went on with stock flow, et cetera, we actually increased our GP percentage 130 basis points to 42.5%, and that was on the basis of improved markdowns. It is a very tight focus of ours that it wasn't generated through ingoing markups. In fact, we've decreased those. So that's a great result when GP is delivered through improved markdowns, and it really talks to the quality of the merchandise offer. We're very happy with what happened with our supply chain. And the key outcome there is that we still sourced 78 million units from South African manufacturers. Our overheads were very well controlled. Mark will talk about that. And our diluted HEPS grew in double digits in the second half of the year. Pleasingly, as you know, we didn't pay a final dividend last year. We were just about entering or we had entered level 5 lockdown. We weren't too sure how -- what was going to happen during that period. But very pleased, obviously, a year later, our dividend is up 116%. And then we have communicated about this already. These are the 2 acquisitions that we've made. Power Fashion was effective the 1st of April. So as I said, the year-end is the third. But it was only in there for a couple of days, so no, had made no impact to the income statement although it did to the balance sheet. And Yuppiechef, I'll talk about it later, but the Competition Commission process is underway. So very pleasingly, after paying for the purchase price of Power Fashion, we've still got ZAR 4.9 billion cash. And that's been earmarked to fund future growth, and we are still free of financing debt. So when we talk to our overall sales growth for the year relative to the South African market, I think that right-hand side of that chart really shows the difference and our performance relative to the market. Our South African sales for the year decreased 2.8%, but Stats SA was actually down 8.9%. So quite a big delta in there, and that's how you gain market share, 150 basis points, as I said, up ZAR 1.2 billion. Operating environment. We've probably all read this before. And on the top-left hand, you can see the movements in SA's GDP growth over the last couple of quarters, got steadily better as one would expect. And the forecast is that in 2021, GDP growth will be up around about 4%, but obviously, the base is pretty low. Business confidence has recovered slightly, but it's still very low relative to prior periods. And I think SA Inc. will have to put some runs on the board before we see that tick up meaningfully. Unemployment is obviously still a massive concern, 30-odd percent, 32% unemployment rate, highest since 2008 and over 1 million people -- fewer people employed relative to Q4 2020 -- sorry, relative to 2019. There are a couple of factors that could influence this recovery. The pace of our vaccine rollout will be one of them. Future waves, we'll have to see how that rolls -- how that pans out. And load shedding has resurfaced, and we obviously would have to consider that. The exchange rate has improved very nicely. It won't obviously impact the year that we're talking about now. And to a large extent, it won't impact the first half because FX cover had already been taken prior to this strong improvement. Looking at the consumer, and you can see the graph on the left-hand side there that really talks to the fairly erratic nature of performance over the last year or so. Looking on the right-hand side, you can see what's happened with real wage growth in South Africa. That's actually -- in Q4 2020, it's down 2.5%. And disposable income growth, where it was 5% last year, was 3%. So on that real wage growth and disposable income, I also did read an article last night that says that average earnings in South Africa are now almost at pre-COVID levels, which I guess is a real positive. But talking positives and negatives, I won't go through them all. You can see them on the bottom right-hand quadrant there. Lowest repo rate in 5 years in South Africa. Consumers have reduced their debt. They've got higher savings. But certainly, 2 of the things that have provided quite a lot of stimulus is the prolonged period of social grants, increased social grants that we've had and the short-term TERS support. Both those 2 things, TERS support, I think, going forward, is very unlikely if we ever head into another complete lockdown. And obviously, the government won't be able to continue with those grants or social grants indefinitely either. So looking at the total highlights in terms of the group performance. I'll talk to H2 more than the annual because we've spoken about the first half already. Revenue is up 7.3%, EBITDA 8.6%, and our profit after tax, double digits, 12.1%. So that resulted in, as I said a little bit earlier, our HEPS growth being up 13.2%. That's on a 26-week basis in the second half. If you then add in the additional week, that takes it up to 21.4%. But we know that's non-comparable, so we won't highlight that figure too much. For the rest of the presentation, we are going to be talking either 26 or 52 weeks, so you won't hear much about the additional week from this point forward. One of the absolute key highlights for the year was the market share gains that we've actually had. So if you look in H1 there, we actually gained market share despite level 5 lockdown in April and merchandise restrictions in May. And I think that really started talking about the consumers' preference for value. We're really happy with what happened with agility of our supply chain. It did enable us to manage inventory levels, and that's one of the reasons that you also see the markdown performance that I was speaking about earlier. So it's a great graph where every quarter your market share gains are just increasing. And in terms of overall highlights, we actually gained, as you can see, market share quarterly, every quarter, throughout the year. And Mr Price Apparel, which is our largest division, as you know, gained in all months and pleasingly took between 2% and 2.5% in our new categories, baby and school wear, which were only very recently launched. Our Home segment gained in 8 of the 10 months after restrictions. And Mr Price Cellular also gained 90 basis points. I'm now going to hand over to Mark, who's going to take us through the actual detailed performance.

Good morning, everyone. So as Mark said, this is a 52-on-52-week basis that I'm going to be speaking to, so no effect of the 53rd week. We're also going to -- we had discontinued operations in Nigeria, which we spoke to you about at the interims. And so therefore, these figures are also on a continuing basis. As Mark said, we're very pleased with the performance for the year, but particularly how the momentum changed in the second half. And you can see on the far right-hand side, how that profit wedge in the second half really came through for us, 7.4% growth in RSOI, GP rands growing at 9.2%, expenses contained at 5%, which grew us at 10.9% on operating profit. So -- and also the double-digit growth in quarter 4 for retail sales and other income was also very pleasing, which goes to show the momentum is building, which we're quite excited about. And I think Mark will also speak to a little bit about how, and we put it out in the press release, how momentum has also continued into the first 6 weeks of April. Gross margin, as Mark said, very pleasing, and I'll speak a little bit more about that and give you a bit more color there. That's also one of the major highlights of our performance. Expenses were well controlled. And like I said, the profit wedge in the second half was really well contained. So group sales, what drives our sales? From a geography perspective, SA continues to be 92.4% of the group sales. It declined 2.6%, a little bit better than our non-SA. But you can see in H2, how SA was up 8.1% and non-SA, up 10%. From a tender-type perspective, we continue to be 86.4% cash. Cash for us, we qualify as credit card, debit cards and normal tender cash. And that was down just marginally at 0.2%. But you can see the real effect was our credit sales, down 14.5%, which I'll take you through some of that later in the presentation. Again, H2 showing a really good shift. And both of those, even credit sales, now only down 0.4% in the second half, but cash sales up 10.4%. From a channel perspective, there's been a lot of talk about online, and we're very proud of our online. And you can see how our bricks to clicks contribution was. You see that online for the year grew at 64%, and the second half grew at 78%. Particularly in the bricks-to-clicks ratio, you can see that clicks is growing at nearly 10x the -- our bricks business. So that's -- we're really pleased about that. But again, we just want to caution that still bricks contribution is 97.6% of the business. And online did double in its contribution, as you can see there, between last year and this year. So we're very pleased with how that's compounded. From a merchandise perspective, unit growth was down 7.6% with RSP inflation at 5.3%. We have sold over 200 million units. The second half, you can see the unit growth was positive with 6.9% inflation. Most of that inflation was driven by improved markdowns with very, very moderate input inflation. From a retail sales and other income, our biggest contributing division is Mr Price Apparel, making up 55% of the group. And as Mark said, that retail sales in the second half grew 8.2%, 3.4% down for the year. But the really pleasing thing was the fact that it gained market share in every month and the highest market share on record in August to January. And online sales doubled in that division. And our quarter 4 sales for online grew at well over 100%. Mr Price Sports and Miladys, as we've communicated before, these 2 divisions did feel the full impact of COVID, and Sports in particular, because of the seasonal sports, gym and school closures, they were really impacted by a large portion of their merchandise offering. But as again, you can see that the second half has improved, and we're also starting to see a really good change in momentum there as those restrictions have started to unlock. From a Miladys perspective, their customer, as you know, is a slightly older customer, and they're more conservative. And we really, in the first half of last year, they really stayed away from the stores. When they did transact, they transacted with bigger basket sizes, which was really pleasing. And -- but this customer did really stay away more than our other customers. What was a really good achievement was we launched Miladys Online. And Miladys Online full e-commerce is now one of the biggest stores in the division. So we're really pleased about that. The Home segment is really the star outside of Apparel. Both these divisions capitalized on the home and work trend. And they both had amazing market share gains, which Mark will take you through a slide a little bit later on. And yes, we're really pleased at their performance. If you can see the second half, both growing at double digits. Mr Price Money, which is -- contains our Telecoms business as well as our Financial Services business. Telecom segment grew double-digit for the period. And as Mark said, 90 basis points gained in market share. Credit environment, I'm going to take you through, I'm not going to spend a lot of time on it now because I spend a bit later. But needless to say, it's well documented that, that environment has been under a lot of pressure, and this business really felt the effects of that. Space growth. Like many retailers and many businesses, we -- capital preservation was one of the key orders of the day in the early onset of COVID, which did curtail our first half stores and rollout. So you'll see that we've only put down 17 in the first half, but accelerated that to 37 in the second half, totaling 54 stores overall. Weighted average space growth was 1.6%, and we grew total stores by 2.8%. We really had constructive meetings and robust meetings with the landlords over the period, and we're very, very thankful to them for their partnership in this regard. And we -- in our lease negotiations, we did see reversions and escalation softening. And we renewed over 315 leases over the period. Power Fashion, as you know, we acquired, and it was only in place for 3 days in the 53-week period. But including Power, our store footprint will be at 1,592 as at the end of this financial period. From a performance perspective, where did the stores perform? As we said in the first half, the convenience locations were the major contributors, and our diversified store footprint really helped us in that regard. But our flagship stores, which are obviously major contributors to the top line, they started to come back online in the first -- in the second half and also into the new year, which we're very pleased about. So we can see that momentum changing. And our diversified omnichannel strategy, which gave our stores as click & collect, which 6 out of 10 orders are click & collect orders online, really helped us grow our online contribution. Gross profit analysis, as Mark alluded to, this was really where we shone. And you can see from how we -- how our GP merchandise margin is at 43.5%, up from the 42.1% of last year. And it was -- we've had some of the lowest markdown levels in the last 5 years, so which is an amazing achievement when you consider all the volatility that was in place. And I'll speak a little bit more about stock and stock management later, but that was a major contributor towards that, together with just really a great merchandise pitch across the business. We've got pockets of slow-moving stock in Mr Price Sports and Miladys and for the same reasons I spoke to you a little bit about, but they're not material and ones that we feel very confident that we can manage. From a Telecoms business perspective, we made some changes to the assortment. And this definitely helped change the sales contribution and mix. And that also allowed that margin expansion from 18.7% in the prior year to 19% this year. And credit -- cellular products are now sold online. And you can purchase on credit, which also helps move that needle. From a total GP perspective, there were gains in both Apparel, Homeware and Telecom segments, which is very pleasing. And the -- we were up against a stronger -- a weakening exchange rates in the second half, but our strong markdowns again helped us through that. From an overhead expense containment perspective, overheads grew 3.7%. As you know, we communicated in H1 that we had derecognition of IT assets and some impairments of some right-of-use assets on 1 or 2 small stores. That -- if you exclude those 2 items, we were at 1.4% growth. From a selling expense perspective, on an annualized basis, we were down 3.1%. Considering that we did add 1.6% space, which further shows how great that performance was, our occupancy costs were down 8.5%. We achieved rental concessions, lower turnover rentals. And rent reversions and expense control really aided this performance. Employment control. Employment costs were down 9.2%. Obviously, our TERS and government grants did aid in this regard. We had reduced overtime, and we instituted a hiring freeze in the beginning of last year, which really did help contain those costs. Net bad debt was -- unfortunately, it was up 78.1%, and we did experience bad -- elevated bad debt levels. And I'll speak to that a little bit later. And that was -- that did affect expense growth. But overall, a really good general austerity measures that we contained. And basically, it was a really well overall -- a good overall performance. Admin costs were up, quite elevated, as you'll see there. But if you strip out the IT impairment and our variable pay incentives for the overperformance, admin costs would decrease 1.1%. We're obviously -- part of our modernization of our retail systems were -- caused amortization for intangibles and licenses to be up 20%. And we expect, obviously, those costs were -- or new costs that were introduced and will start to level out in the new financial period. Excluding incentives, employment costs declined 5%. And salary increases were curtailed and the NEDs and execs had reduced salaries for the first 6 months. Strong balance sheet. I think there's some commentary that's already out is that our balance sheet, we're incredibly proud of. We always have been, and we believe we have a very measured approach to how we exercise our balance sheet. And this balance sheet wouldn't contain Power. So there's a lot of numbers that have moved here. I'll try and walk you through that. Obviously, noncurrent assets on our core business, we grew CapEx ZAR 452 million. And then there was the Power assets, and we raised goodwill after the acquisition. From an inventory perspective, excluding the effects of the 53rd week, obviously, we had a 53rd week in the balance sheet until the 53rd week. If you exclude Power, that's -- inventory grew 10.5%, and this has included noncomp categories. If you exclude some of the noncomp categories, inventory would have grown in the early single digits. The freshness and stock turn improved. Stock clearances post-lockdown were very good. And marked down units as a percentage on stock on hand was 220 basis points lower, which is a great -- which goes to show how well we have done versus the prior period. Cash and cash equivalents was up 4.9 -- is at ZAR 4.9 billion. This is after the acquisition of Power of ZAR 1.5 billion. And you just see from a capital allocation, we get a lot of questions about this. You'll see that when you add the acquisition plus the share buyback we did, that 35% of the opening cash was allocated, of the ZAR 4.7 billion at March 2020. So the -- going on to liabilities, you'll see liabilities moved up. Again, this is as a result of the Power Fashion inclusion of the lease liabilities, and I won't spend too much more time on that. I need to say that trade payables has really -- we're working hard on that and our supplier terms, and that's also aided in a strong performance through that. Cash flow, really strong cash performance again. This is after the acquisition of Power of ZAR 1.5 billion. And so I'm not going to spend too much more time on that. Free cash flow was really strong if you exclude the Power. Just going back to that, the free cash flow was strong. If you exclude the Power acquisition, it was over 100%. Again, as I spoke to a little bit earlier, the credit performance -- credit sales performance was down 14.5%. But there has been a momentum change, as I spoke about a little bit earlier, into the second half. Transactions were 30.7% lower, but we did have higher basket sizes in credit, which is also pleasing. But obviously, if you lose accounts, that does impact your sales growth. But we are starting to see some changes in momentum in the second half. And the book is starting to stabilize, which I'd speak about just now. And that's -- but we are getting lower applications, they were down 13.6%. Some of that was our own making, as we started to just want to gauge how the credit environment was performing and therefore, resulted in lower approvals and approval rate being 32%. Trade receivables, which is really the core of our trade receivables is our retail credit book, and that was down 14%. Net bad debt as a percentage of the book was 12.1%, and our provision is 13.4%. Factors that are affecting the credit environment was a distressed low-to-middle-income consumer. Interest rates were down 275 basis points, which obviously affects your interest charges, and curtailed new account growth to manage risk and increase in paydowns as customers started to manage their debt. Net bad debt as a percentage also increased due to lower debtors book, higher write-offs as I explained a little bit earlier, and lower bad debt recoveries. We are starting to see the book recover, albeit that there's still a bit signs of distress, and we're actively managing that. I'll hand back to Mark for the vision and strategy. Thanks.

Great. Thanks, Mark. And that's all about the past, but I think let's now talk about the future. But before we get into the vision and the strategy and everything else, I think let's just rather reflect on where we actually are relative to some of our metrics and our returns. We've had leading returns for a prolonged period of time. And perhaps 2 of these that actually show what I'm talking about is our return on equity that you can see there, 30%, return on assets of 19%. And there you can just compare both of those against the JSE Top 40 and our direct competitors. On the right-hand side, looking at our HEPS growth, our 35-year compound growth rate is 19%, 14% in the last 10 years relative to our competitors' 2%. And total shareholder returns over the last 10 years of 15% relative to our competitors' 4%. If you look at the 10-year HEPS growth then on the vertical axis and the share price on the horizontal, you can see where Mr Price then places relative to our competition. So that's all great. But I think the trajectory has got 2 distinct phases in my view. And we've really shaded that between the greens and the reds. But before we get to get to the red, the point that we're trying to make is that we've got a long history of building brands and delivering returns. And it's organic growth as you'll see and making acquisitions, although we haven't done that for a long time. So from the very start of Mr Price, starting in 1987, acquiring Sheet Street in 1996 and then starting Home, Mr Price Sport, Money, our online business and Cellular up until 2015, those are all organic concepts. But for me, the disappointment has been the last 5 years where erratic performance has come in. COVID has obviously impacted us. And as you can see there in the earnings and our share price, those have both suffered. So you might ask yourself exactly what's changed over the last year or 2? And we've spoken a lot about this to the market, but I'll just recap. In my view, we didn't do enough in the good times to protect us from a downward cycle. And it's really what you do in the good times that will, therefore, enable you to tackle any headwinds that come along. We had an operational mindset. We've spoken about lack of adherence to some of our proven merchandise processes, and we definitely had suffered from a lack of top line growth. So if you don't have that and there's no plan for that, then what tends to be the order of the day is that GP and expense management has to try and save the day. Lastly, and I think it's a very key thing, is that we did have a vision, but it actually wasn't measurable. So you didn't know if you could actually -- if you were working towards success or not. Flip forward, and I think a lot has changed. We'll go into the detailed strategy that we have been through. We’ve developed a vision. And really, this is all to future-proof the business. We've got a much better balance between operations and strategy. We are a business known for keeping our eye on the detail. We don't want to lose that, but we just want a more appropriate balance between the 2. And a big -- and a significant thing in that is making sure that we extract ourselves somewhat out of the business. And we're not effectively working in the business, but we're working on the business, and I'm talking about senior leadership there. In terms of management, there's been a big refresh. I think that's created great energy in the business, not so much appointing new people from the outside, but promotions within and also putting people that have been in positions for quite some time into new positions, and that's created a great, energized environment. We certainly plan to have a constant pipeline of growth initiatives and definitely a much more focus on the top line as the thing that's going to generate earnings growth over time. And then lastly, we've got a measurable vision, which is key for, I guess, aligning all our group activities, which translates into share price. And share price affects our remuneration structure, and we see that as a competitive advantage that all our associates are actually shareholders. Our vision, and this is the new vision, is to be the most valuable retailer in Africa. That's by market capitalization. And I'll show you the graph in a minute, but it includes the general retailers index and the food and drug retailers as well. So really what this is, it's a call to action. It's -- we've done a couple of things in the last few years, new initiatives that, honestly, when you evaluate them, aren't capable of moving the needle. And the new vision that's as bold as this is a real call to action to make sure that we're actually thinking incrementally. We're thinking 10x, and we're not thinking too small. And lastly, it is a long-term vision. So we mustn't get too caught up in early noise. We need to have a firm 10-year view, and we need to have plans that will get us there. I also spoke at the half year about we're staying in South Africa. That's something that you would have heard. And so I can actually clarify further what I said there. We don't want our trading divisions having the diversion of operating in markets -- new markets that can't get to scale, a few number of stores, erratic performance, so we've actually taken ourselves out of those markets. It's really about focusing on our existing trading divisions and the new ones we're going to add in South Africa. At the same time that we -- as we've spoken about over some time, that's really working very hard at strengthening our backbone. And I'm talking technology, innovation, et cetera. It doesn't say that we will never go overseas. It's not on our radar now. And if we did at any point, it would be on a very different basis than we've done before. That would probably not be leading with our own brands. So we're going to keep our toe in the water, just looking at what is transpiring overseas, what's happening in those markets, but it's not a focus for us at the moment. And any work on that front will get done at a corporate level with our Head of Strategy and not with the trading divisions. So they're going to be very, very focused. Just defining success in that chart then shows how we rank in market cap. So yes, to move from ZAR 46 billion to the top of the pile there is going to take some very, very clear thinking and excellent execution. But stranger things have happened, and many companies have achieved what has deemed impossible at the outset, and there's various examples of that globally. If you then have to take a look into the future, so what would Mr Price look down the line? As I've said, multiple growth opportunities with sector-leading sales growth. I think we relied too much on Mr Price Apparel in the past. It's the lion's share of the business, as Mark has said. When it performs well, it's great. When it underperforms, the whole group feels it. But we've got exciting growth opportunities for that division still, but we just want to lessen reliance on that one division. So multiple growth opportunities is very important for us. Looking out into the future, we would see a scenario that we've got at least double the trading divisions that we've currently got and that our e-comm channel would have grown exponentially. So having a strong test mentality is really part of our culture as well. And it's really about implementing innovative concepts and growing the best performers. And once -- that growth can either be organically or through acquisitions. And what goes without saying, and we are known for it, capital allocation and capital being spent in line with the most attractive opportunities speaks for itself. We're looking at strengthening our earnings and our brand values, focusing on the long-term while delivering short-term earnings growth, we've tended to do that for some time, and even stronger alignment of our actions and our reward system with strategy. Last year -- it does come up at various points, but we want to lead with our relationships with all stakeholders, and key to that is our communication with them. Our purpose is to be your value champion. So this is a call out to all our people. It's the thing that when they wake up in the morning, it focuses their efforts, and it's the reason that we exist as a company. But it also has a very clear statement of intent for our customers that it really tells you what Mr Price is trying to deliver and what their activity is all aimed at and focused on every day. If -- we've spoken at length in the past about the fashion value matrix. This is the one for the apparel sector. And this really talks about positioning. So not that necessarily one is better than the other. This is where we want to aim our activities on. And I think we've done a really good job over the last 18 months or so at this and, in fact, over the long term. Clear differentiation in the fashion value sector, and you can see where we're placed on the far right. Similarly, if you look at the homeware fashion value and the clear statement in the right-hand block on Sheet Street and Mr Price Home. I'm delighted that we've spoken -- we spoke at the half year last year about what some of our plans were. But I'd actually take myself back to, I think it was the results presentation the November before that. We knew what the -- I guess we hadn't done justice to our own performance. And I think I remember saying something about you're going to see it in people's eyes before you actually see it in the numbers. And I think things have really come together quite nicely since then. Honestly, I feel our culture is much stronger and our organizational health is stronger. I'll go into that in a bit more detail. We've increased the visibility of our brands. I'll share some details with you there. But very pleasingly, we've added ZAR 4 billion to annualized revenues. I spoke about the market share gain. The new categories we've added, added ZAR 500 million in noncomp revenue. We've launched new tender types. We introduced lay-bys, RCS card acceptance and there are a few others. And we concluded market research and acquired 2 businesses in this period. So well on track. And I think in many respects, we're starting to witness the rebirth of Mr Price as we knew it from the old days. These are just some of the new categories that I spoke about: extended sizes at Mr Price; the launch of Baby; mrp& co, which is novelty and fun stuff; School Gear, which we introduced in the second half of this year; Scarlet Hill Beauty, launched in the year before that, but gaining very nice traction; and we've done a lot of work with our Maxed Elite brand, you'll hear a bit about that as well. Then going to Home, patio and outdoor furniture was just one of the extensions that we did there, and Cellular went online with their offer as well. So let's get down to the actual strategy itself, and we've broken it down into these 6 pillars. You can see what they are. I'll go through each one. But really, what is key is that we will plan to win on each of those pillars. I'm not going to go through all the details. I think there's a great amount of detail there, which hopefully you'll appreciate. And I guess the point is that for us on each of those pillars, the message that we wanted to get across is just understand that's a lot of detailed work and people are aligned to those activities. They're not just statements of intent. Starting off, and to me, it starts and ends with stakeholder engagement. So the objective there is to make sure that, first of all, we base everything that we do on the spirit of partnership, and we're ranked as the leading retailer in engagement and delivery with all our stakeholders. We've -- then in terms of the key results, we've established and expanded and dedicated stakeholder engagement group function. That's under the leadership of Matt Warriner, who, as you know, has been dealing with Investor Relations up until this point. And one of his key tasks -- initial tasks is to develop a more formal stakeholder engagement strategy. So that really starts with assessing stakeholders, assessing their needs, developing plans to improve their performance, but acknowledge that we've also got improvements to make on our side and then conducting an assessment at the end of the period so that there's this continual evolution of developing our stakeholder engagement and activities. So we want to be recognized by our stakeholders as having the best 2-way communication in the industry. So by that, it's not barking out instructions, it's working with our stakeholders and having a mutually satisfying relationship. Looking at people, and this is an area that I think we've made massive strides in the last year, as I said. The objective is to have an energized environment and a unique culture where this drives the performance. And it positions the company to be the most sought-after retail employer. Key results, we've delivered #1 already. We've really just gone back to the basics about unpacking our DNA and our culture. And in fact, we launched something yesterday on that. Really importantly, that if it's our values, our culture and our guiding principles is that all our staff know it, it's understood deeply, and it's acted out in their daily lives. But just as importantly, our stakeholders need to know it as well. I'll be working with internally and with the main Board to develop an organizational health assessment. And I think that, that I'm really looking forward to. And it's what are all the things that the Board needs to have their hands on and us as executives to make sure that we've got an inherently healthy organization on many fronts. Another objective is to be a transformed and relevant South African business. And there, I'm talking employment equity primarily. And on the top of the page there, you can see some of our achievements in the last year. Not only have we significantly pushed our employment equity goals, but in the last year, our African, colored and Indian appointments were 99% of people at a store level, 76% of hires and 70% of promotions at head office, which is a significant step forward for the group, something I'm really proud of. Our succession plan is, we do have one, it is implementable. Our talent being engaged and developed is obviously key. And we are then also looking at our workplace and ways to improve the whole working dynamic at our workplace. And on that, as a result of acquiring the Yuppiechef business, we are setting up a hub in Cape Town. And that's for 3 key reasons: to differentiate our value businesses from our aspirational value ones, I'll talk more on that later; to target retail and tech skills that are Cape Town based; and also then to aid internal transfers. So that's -- it's quite an exciting development on our front. But to me, the strategy is, as much as it's about people and stakeholders, and it is, this is -- the growth thing is the thing that will really bring it to life. Growth in our thing, when I said that everyone is a shareholder in the company, so we pay the market median, but people can outperform and outearn the market based on our long-term incentive structures and our short-term incentive structure. So growth is a thing that retains this -- retains that balance. We want to be the top performer in total shareholder returns in the retail sector. I know I don't have to talk to this audience about what's going to drive that. It goes to earnings growth, obviously, our PE ratio and our dividends. And we've got plans underneath each of those to tackle each of those. But I just really wanted to talk more about the ratings than our PE ratio. It was key for us. You have seen in that prior graph that we showed, our earnings in the last 5 years has been a bit bumpy. There's been ups and downs, and we want far more consistent performance. And I think what's happened on the culture and the people side, I'm confident that, that volatility that we've had and the reasons underlying it have been actioned, and touch wood, shouldn't reoccur again for the same reason. It's obviously key what our relative performance versus the sector is. Earnings growth, we'll go through our earnings, our growth plans there. And it's -- when you look at our financial metrics, and I haven't gone through any of the detail here, but there's 7 or 8 metrics that we monitor constantly: return on equity, return on assets, trading density, overheads to sales, our cash flow generation are all key parts of that, is to keep an absolute focus on that. I am prepared to dilute some of those metrics slightly, but only if they lead to enhanced growth. But despite that, we still want to be top quartile in terms of our metrics. I'll talk about a bit about capital allocation. And of course, what is key under a rating and it's becoming more -- a bigger conversation now globally is what is the company's ESG stance? I'll speak about that as well. It's no good doing all that and then you can't tell the story or don't have the heart to tell the story and you haven't got an engagement style that will aid in telling the story. Communication with the investment community is one of our top priorities. Dividend growth is key. That will follow earnings growth. Policy consistency, we're not planning for any change in our dividend payout ratio. And at this point, and hopefully, you'll understand why after the next few slides, special dividends are unlikely. This is very similar to the table that you would have seen at the half year. Very excited that when you break it down into its parts, and I think let me just start by explaining where we are right now in that fashion value horizontal segment. That is where traditionally most of our businesses sat. The exception, I guess, was Miladys, which was effectively one higher. But when we did the market research, and it was part of the decision to stay in South Africa, it was where is the trend and the shopping trend likely to go? And where is the spend? And therefore, where are we not covering those points? So in Apparel, and it was part of the research that was done and kicked off in August in terms of our engagement with that party, that's the acquisition of Power Fashion that we've actually closed out. We think that there's another opportunity above where Mr Price is in that aspirational value or niche sector, so we're working through that at the moment. But if you've got those 2 focusing very intently on the reasons for their success, that allows Mr Price to then constantly deliver and focus on the things that they've been good at, and that's differentiated fashion value. Then looking at the Homeware side, we've really got 2 businesses there. That was the -- and the opportunity there was to go one higher, which was Yuppiechef. I'll talk a little bit about that in a minute. Mark mentioned about e-comm. There's going to be a Magento 2 upgrade coming in the new financial year. It will give us a lot more opportunity to scale and to build and to get the right metrics there. But what we haven't done at this point, and it will be a F '22 deliverable, is to finalize our group e-comm strategy. So obviously, it's an area of exponential growth, and our focus has really been on introducing new businesses rather than an absolute focus on channel, but that will be the next piece to work. The new sector depends what happens left of that column. We do think there's an opportunity we've identified, but we would rather fill up those other bits first. Nevertheless, it is an opportunity for us, but I don't expect any movement on that in the next financial year. And then going back to the left-hand side, you'll see that block in fashion value, straddling Apparel and the Homewares blocks opportunity, which we're quite far advanced in terms of the business case for that. But when you look at this page, and I think it really says, well, let's try and cover more of the landscape. There are a couple of things that I really want to stress. And I guess it goes back to the cash credits. But we've always said we'd be happy with 20% credit. It's not a target. But in the right circumstances, a 80-20 balance on cash to credit would be very acceptable for us. But then taking that a step further in the same kind of principle, once again, not absolute, but more intent is that fashion value, which is Mr Price, and price value, which is the example of Power Fashion versus aspirational value, on the other hand, we always see that being an 80%, 20% split. So what are we saying? It's a deeply focused value business with representation at the high LSMs rather than being the opposite, and in comparison to perhaps some of our other competitors, very focused on the top end with some having -- some representation at value with the flip side of that. The business is very heavily focused on private label, and that's going to certainly not change at all. But we have to recognize as we do things with other brands and other businesses, and a great example is Yuppiechef, that there are brands in those businesses. So that's the same principle plays out there. A little bit more information on Power. Power Fashion, as we said a little bit earlier, effective date 1st of April. And we had to disclose this in our integrated report anyway. But just to clarify that the purchase consideration, net of the cash that we took over, was ZAR 1.5 billion. The founder has retired, but the rest of the management team has been fully retained. And we've actually appointed a Senior Managing Director from the Mr Price Group to head up that business. At take on it had 174 stores and about 64,000 square meters of space. And just to give you an indication of size, revenue in the last 12 months, which did include level 5 lockdown, was ZAR 1.7 billion. It's a business that's very heavily focused, tying up to what I just said about cash, on cash, and it's got lay-bys. We don't plan to introduce credit to that business in any time in the near future. So right now, it's just come into our stable. We're not rushing things. Obviously, growth is a big part of that business and where it can go. But the immediate focus is bedding down the new team, focusing on current trade. We've got an integration plan that is laid out. And once again, we're not accelerating that unnecessarily. It's more important to bed down the team than it is to integrate into the Mr Price way on certain things. Looking at Yuppiechef. We've actually submitted our competition commission documentation in mid-April. We don't know timing-wise. We're hoping for the 1st of July. But potentially, it could be the 1st of August in terms of an effective date. As you know, that business has had very strong credentials in kitchen. And we're going to -- we plan to complement that with our skills in the other Homewares categories. We certainly won't risk pre-implementation. You're not allowed to do that. But just to let you know that, and I think we've communicated this before, that we had been working on the business case for our own aspirational value concept that was more around homewares and softs offers. So a lot of that thinking has already been in place. Great to know that the entire management team will be retained. They're remaining intact. And also even better to find out or to ensure that the 11 shareholders who are staying behind because there were 2 nonmanagement shareholders, have all accepted a portion of their purchase price in Mr Price shares. So those -- that's a great signal of intent. It talks strong to the -- retaining those key management. And just to let you know, that would be through buying shares in the market, no dilution there. One of the big opportunities we see there is also, as much as we said about the softs and store growth and bringing those categories to our online -- the existing online customers, is also just to increase the contribution of its private label brands that have been very successful. And as you do that, of course, you've got the opportunity to drive margins higher as well. So the right-hand side shows you some brand representation there. But the private label brand, Sagenwolf, Yuppiechef, Humble & Mash, that currently representing quite a small proportion of the offer. Nevertheless, we plan to grow it. And some of those items are actually award-winning themselves. And a good example is that frying pan, Sagenwolf frying pan that won the FAIRLADY Test House Best Buy for 2020. So good value, very strong product. E-commerce, as I said, is going to be unpacked in terms of overall strategy this year. But in terms of the performance over the last 12 months, I'm very happy with what's happened. It's now the equivalent of 3 flagship stores, growth of 64%. But very pleasingly, 80% -- 86% of group traffic is from a mobile device, which quite literally, we're at our fingers -- we're at our customers' fingertips. The Mr Price app remains as the #1 ranked fashion shopping app in South Africa. It's the second highest daily and monthly active users in South Africa after Superbalist. And the active shoppers increased by 88.7%. If you look at all the omnichannel fashion brands in South Africa, you can see there the left-hand side, Mr Price, is really the highest placed in South Africa as a single brand, 16.7% of the total in South Africa. And there, you can see it relative to the competition. So just to enforce that it's got the highest market share of web traffic in South Africa. And then likewise, with Mr Price Home, and there you can see the details. I said I'll talk a little bit about capital allocation. And I did say that we do plan to invest for the long-term in the most attractive opportunities, which really talks to returns and scalability. I think that's really key for us. I've spoken a bit about metrics. Many people ask us about share buybacks. And we did enter into a share buyback program earlier in the year, but we're actually going into a closed period. And the criteria that we had set down when the share price started to run when those criteria weren't met. So -- but nevertheless, we did spend ZAR 165 million on share buybacks in that period. And we did that at an average price of ZAR 127 per share. Moving on to brand promise. If you look at that star on the left-hand side: price, quality and fashion, those have been the 3 parts of that star that we've been heavily focused on as a value retailer. But even as a value retailer, we have to get -- we have to inculcate experience and convenience more into our thinking, but even more so as an aspirational value business when we launch those and bring those in. So that's key. But if you just look at the overall objective, growing brand value by surprising and delighting our customers with a wanted item at great value and a satisfying all-round experience is what we're aiming for. That has to start with a really clear understanding of our customers and their needs, and we plan to do a lot more around our CRM capabilities. And a business case has been developed that we're currently unpacking. We plan to increase our brand equity scores and our brand value, I'll take you through that in a sec, and also increase market share in terms of our type D retailers in South Africa from 13% to 20% by 2026. I spoke about increasing our brand equity scores and our plans there. This shows the movement in the last -- and our positioning in the last year. And as you can see, Mr Price's brand, this is Mr Price Apparel, the brand equity score is 3.4, which places it firmly in the strong category. And it's 1 of only 2 brands in the last year that's actually increased their brand score, the other being Superbalist. And this is all independently assessed, by the way. It's also got the highest conversion from awareness to purchasing. So what you can see on the horizontal axis, unaided awareness, a score there, and this is interviews with consumers versus who bought in the last 3 months, and we're in the top right-hand quadrant for that. When I was talking about our goals in terms of retail brand value ranking, this is one of the ways we're going to assess whether we're on the right track in what we're doing with our brands. But the starting position is that Mr Price is already the fifth most innovative brand in South Africa, and it's the fourth most loved. I'll go into what those 2 things mean in a sec. But on the bottom of that, you can see where we're currently placed. We're currently the 21st most valuable brand in South Africa. And we're the highest in terms of just clothing and homewares retailers. The retailers that are above us are the foodies. But be that as it may, we've got plans to try and increase our brand value into 15th place by 2026 and into the top 10 by 2030. The way this works is that the brand values are determined by their financial value. It's your earnings and what's happening with your earnings and a score, and then it's multiplied by a brand contribution assessment to arrive at your total brand value. I'm not going to go into all these things, but these are what make up the constituent parts of that. And I think maybe the 2 key things for me is innovation. I said that we're very highly placed, already at fifth. We're going to continue with our innovation. Everything that you've seen at the store level, we're going to continue trying to keep ahead of the competition on that front. And it's pleasing to see that we are being recognized for that. So we plan to win on that front, but we don't plan to win on experience. I think we have to do a much better job. This is with our value customers, our value segment. Obviously, when it comes to the aspirational value side of things, we do expect to win. But I guess taking over the leadership of a business, one of my key observations are -- is that I think our real estate is lagging in some fronts. And one of the ways that that's manifested is that we're not revamping our stores often enough. So we've actually allocated ZAR 150 million CapEx in the new financial year to start addressing that. And we'll assess how that goes. We'll obviously look at the performance relative to that revamped cost and tailor it appropriately if we need to. And as you know, we're going through a process of now rebranding MRP to Mr Price at our store level as well. I won't go through the rest, but you can read it at your own pace. We've done a lot with our brands. I spoke about the MRP to Mr Price. We've gone back into sponsorships, although at a very different way than in the past. We've been appointed -- our brand Maxed Elite has been appointed to a sponsor of The Sharks. We've got involved in the Comrade's Marathon. And you have heard recently that Maxed Elite was also sponsoring the SA Olympic and Commonwealth teams. So doing a lot to get the brand back out there. Formerly, we've lagged in the past, but making good strides on that. Going into the technology and innovation space. The plan is really to transition tech focus from infrastructure and applications on the one side to innovation on the other. And we've done a great job in-store, but for our overall IT in our systems environment, that's the plan for the greater division. We're building agile and secure platforms and systems to support the strategic needs of the business. And obviously, then, one of the key things that we've spoken about for many years is bedding down our retail modernization program, which will be the foundation of our core functions in the business. Our finance ERP has been successfully implemented during the year. And then key deliverables for the year ahead was going live on our new ERP system, replatforming to e-commerce, our e-commerce to Magento 2 as I spoke about, and I also spoke about evolving our CRM strategy and obviously, then, the technologies to support that, depending on which way we go. But we plan to be a far more tech-enabled and insights-driven business. There'll be a comprehensive digital transformation strategy defined in FY '22. Of course, at present, there's pockets of it, but it's got to be more considered and form part of one overall strategy. In preparation for that, we've actually got together a Mr Price, what we call a Mr Price Advance Team, which is a team very focused on, first of all, getting data consolidated into one point and then introducing RPA and APA and augmenting our decision-making with artificial intelligence. And then I said, what I've spoken about is continuing with appropriate retail innovation as we've been doing. Looking at sustainability. We're working towards inclusion on the FTSE/JSE Responsible Investment Top 30 index. We're currently on the reserve list. And no doubt it will take some time to achieve that objective, but we're working towards it. One of the key things that we've done very recently is consolidated all our ESG activities into one role and appointed new director leadership to spearhead that. So really strong signal of intent from our side on that. I'm not going to go through all the individual elements of it. One of the things under social that we obviously heavily focused on in South Africa is playing a leading role in job creation, and I think we will do that with our growth. And then also looking at increasing local procurement from the 78 million units that I spoke about a little bit earlier up to 100 million units by 2030. It's quite a staggering number. That's it on strategy. So let's just look at what lies ahead in the short term, and we're still expecting a tough and unpredictable retail environment. A lot of talk around the third wave. Are we in it? Is it coming? And what's going to happen with that? And as Mark was talking a little bit earlier about the divisional performance and depending on what happens with this wave, Mr Price Sport and Miladys for the reasons he mentioned, are the 2 divisions that tend to be the hardest hit. And as we go forward into the next 6 months, we're expecting mid-single-digit RSP inflation, which we're pretty happy with. I'll speak -- speaking a bit earlier of us increasing our CapEx into the new year. Don't forget that's now CapEx including Power Fashion as well. We plan to open about approximately 100 stores during the year. So it's well up on the 50-odd that we did this year. And if you take total weighted average space, including Power because it would be about 12%, but if you had to just strip them out and look at the Mr Price business itself, we look at net growth there of 2.9%. Spoken about the revamping and the rebranding. And just to emphasize, we will monitor how that goes and review it in progress. And post year-end, and this is sales up until the 15th of May, you'll appreciate that drawing comparisons from last April or last May, it's a bit meaningless because April, we couldn't trade at all. And in May, we couldn't trade all our merchandise categories. So what we've done, and I think this is the approach adopted by some other retailers as well, we've actually then based our growth on 2 years growth. So what is that growth on 2019 numbers? And our group is up 27.5% to 2 years ago for the same period. And if you then have to strip Power Fashion out, it's 16.7%. So obviously, very happy with those numbers. But I just caution about drawing comparisons and making assumptions based on a very short trading period that hasn't really got a real base. It's got a 2-year base that you can work off. So I think what we pretty need to do and even as a business ourselves, we'll probably get our first proper steer from June as to all the bases now cleared out and how we're trading year-on-year from June. So we'll talk to you about a trading update in about August, late August. And I think that's going to be the point where we'll try to give a lot more color. And also, we can get a bit more meaningful in terms of base and recognizing that some of the lumps in the base were lumpy. So we must just be very careful of the assumptions that we're making and projecting growth out for the rest of the year. Final comment. We're going to be continually guided by spirit of partnership. I think it's something that we've been very proud of. Just in addition to everything that you've heard, we haven't retrenched -- gone in a retrenchment exercise. We've paid all our staff the salaries that they were earning. We had a few levels that took voluntary reduction packages, as Mark said. We've paid incentives. We've rewarded people. And we actually paid a frontline incentive bonus to all our frontline staff, so that's stores and DC at year-end. So I think that wraps up the presentation, and happy to take questions at this stage.

Good morning, everybody. Thank you very much for sending through questions. The bulk of them have through on email. So I have just grouped them together in the various themes. So just starting off with questions around space. There've been a few of these. So just especially, how have new stores been performing that were opened in the prior -- in the current year FY '21. And of the 100 new stores and the outlook going forward, how many of those will be of Power Fashion? And how big can that business get in terms of store footprint?

Yes. In terms of the 50-odd stores that we opened during the year, they're performing very well. So if you look at both the feasibility, and so that's the expectations that we set for that store, they're operating slightly down in feasibility. But the returns, the ROCE, the return on assets is very strong. So we're very happy with that. Likewise, the expansions and reductions, very happy how that's going. Slightly down in feasibility, but way, way ahead in terms of really -- because this is now shrinking or reducing or expanding space, making significantly more profits than the previous size store before that. Of the 100 stores that we're opening in the new year, roughly 25 of those, 25 to 30 will be Power Fashion, and then the rest are existing brands.

Great. Just a question around operating expense growth outlook for FY '22. Maybe just over to Mark Stirton to answer that question.

Yes. Thanks, Matt. As you know, Mr Price is -- we pride ourselves on making sure that our profit wedge is intact. And overhead management, we're fanatical about overhead management, and we'll continue to grow overhead. I know it seems almost cliché, but we'll continue to grow overheads below sales and GP growth. That's our objective always. And we've got very strong fit for growth, we're recalling fit-for-growth projects that are really retooling the business and reengineering a lot of part of our processes, which also unlock some of those. I chatted about those in November, and those are progressing well. Yes. So generally, I think we're in a good place for next year. We -- obviously, our new modernization platforms are going to come online. That's going to put a little bit of strain on the amortization line. But outside of that, I don't foresee any major bumps short of something that's unknown.

Great. And then just staying with the theme of margins, just in terms of the previously communicated sustainable gross margin, is that still in a sustainable range? And are there any upsides from lower markdowns, supply chain optimization? And any other potential input cost pressures? So generally, around a number of questions around gross margin.

Yes. We certainly -- I think we've communicated previously that 42% or thereabouts is probably where we plan to peg our GP margin. Of course, there's things that can come into play that are going to, in the short term, challenge that, create pressure in that or some upside in that. There's a lot happening with freight rates, for example, shipping rates. But we've actually got some very good outcomes that perhaps would not be experienced by some of our competitors. GP margin, if you're increasing margin for the right reasons, it can be a very good thing because Mark talks about profit wedge, and it drops down to the bottom line. So from our current markdown performance, we've got -- it's a lower markdown performance that we've had for many years. So the same level of opportunity isn't there that we've had in the last year. But at the same time, maybe we'll also challenge some of our own paradigms that we've had with that. So we have to just wait and see how that goes. But certainly, 42% is the region that we'll look at. The new businesses that we acquired will obviously have an impact on that, although to a quite marginal extent. Power Fashion's GPs aren't materially different. But obviously, we'll have to then just see how that all plays out.

Yes. There've been a few questions just around trends and performance of different categories. I'll just start with the ones within Apparel market, speak to these on the market share side in terms of actual performance, but just any other color to add around the school uniforms and baby wear in terms of the early reads?

Yes. Bit of a mixed bag. But as you launch new products, there are some learnings. So we've got to then say, are we happy that we've got an offer that we can grow and take it on from there. So I think for us to stand out, when you look at some of our performance on the extended sizes, that's been absolutely fantastic. Scarlet Hill has been very successful to us. Maybe there was some learnings there. There's more in the handwriting of the offer, but we think there's something special that we can create there. mrp&co, the fun stuff, that's been performing very nicely. Which leaves school uniforms, and I think that -- although we spoke about the market share, we had gained there in the short term, we didn't actually deliver our objective in terms of the top line because it was a very disruptive period with the school -- going back-to-school shifting, et cetera. So I'm very confident we've got a very strong offer. But at the same time, we're a fashion value business. That's not where we will make all our margin and all our profits, but very happy with how we've actually gained market share in the short term.

Great. Just staying within trends, the number of trends -- questions around the homeware trend and its sustainability. There have also been a number of questions, just to note, around Yuppiechef and margins and performance. So we won't be speaking to that today as we are in a pre-implementation phase. So just to answer the question then around the current homeware trend that we've seen and whether it will continue.

Well, that's a million-dollar question. And I think if our business was perhaps being static and we weren't doing new things, then you could be a little bit more concerned. We certainly think that trend's around for some time to come. But as that trend plays out, we're doing many things in our Homeware businesses that are going to be able to capitalize on perhaps that trend. So by doing these things, you're giving yourself a better shot at extending the top line performance.

Okay. A number of questions just around remuneration. So as to the ones of performance and variable pay is a big part of your model, are you satisfied that this is still the case? And can you elaborate more on your thinking in this area?

Yes. It's probably where our teams probably suffered when you talk about that last 5 years and that lumpy performance. And if we're not delivering the results, then unfortunately, the people feel that outside of that. So if you look at the energy and the positive momentum and everything that's on the go now, I'm delighted by how things are looking and how the mood in the campus. Now when we were going through level 5 lockdown last year and emerging out of it, even that first month, May, how was May going to trade, it really caught us by surprise. But we weren't too sure if it was a jump up because there's pent-up demand, or is this now that there's a flight to value. But during that period, trying to call our year-end forecast and what we had already called in terms of the budget that we had set on the scenarios they had, we're just very far apart. But we thought it was right, as things evolved, we thought it was right in terms of the remuneration structure for our people that we actually set year-end -- revised year-end targets. And I can sit back after it and say, "Did we do the right thing for our people?" Absolutely. And did that influence an eventual outcome that shareholders and investment community had benefited by as well? And I can say, absolutely. So very happy that the shareholders has been rewarded. Our staff have been rewarded. And it's created, as I said, I can't emphasize this enough, this energized, positive environment that Mr Price is back and we're having a go again.

Great. Thanks. I think we'll close our question time then. There are a number that have come through. So I will come back to those of you on email. Otherwise, please do reach out, and we can set up some time for engagements over the coming weeks. Just back to Mark to close.

Well, thanks very much, everybody. It's been great telling you our story. I've no doubt that there's a lot more detail, a lot more questions that you'd like to ask. Matt -- you've got Matt's contact details. And of course, we're going to be setting up or have already set up many sessions with many of you in the upcoming weeks. Just want to say thank you very much, and we'll speak to you shortly.