RETAIL: HOME IMPROVEMENT

This sector comprises two listed companies on the JSE: Cashbuild (CSB) and Italtile (ITE).

INDUSTRY EXPOSURES

Business:  Post-pandemic consumer spending on home improvements now constrained by sluggish economy and rising interest rates, with building activity dropping by nearly 20% in 2023. Competitors include Pepkor’s BUCO, Massmart’s Builders and Spar’s Build-It, together with an array of independent operators. The sector is also substantially exposed to an increase of unregulated, inferior products flooding the market.

Environment: Low to moderate materiality for this sector. 

Society: Material issues:

  • Threat of unrest and rioting accompanying political instability

  • Intimidation on building sites

  • General shortage of talent 

  • Management of load shedding (power outages)

Governance: 

  • CSB: Stable board, CFO announcing retirement in 2024

In this report

  • Cashbuild (CSB)

  • Italtile (ITE)

Price: $245

Included:

  • Full 13-page report covering the 2 Home improvement companies in the Retail sector

Introductory in-person consultation, scheduled at your convenience; learn more about how to link FarSight scores with your valuation process, and get up-to-date answers to specifics on each company under coverage.