(Bloomberg) -- Clicks Group Ltd., South Africa's largest pharmacy chain, is seeing a resurgence in sales of make up, perfume and other beauty products as people return to offices and the economy fully reopens.
A key development was the government's decision to lift a requirement to wear masks in outdoor locations earlier this month, Chief Executive Officer Bertina Engelbrecht said in an interview on Thursday.
“When people wore masks they would mainly focus on their eyes, but now people are wanting to look good and focus on their full face and their fragrances,” Engelbrecht said by phone. A return to offices after more than two years working at home has also increased the need for nail care, she said.
Read more: Clicks Chief Sees Smooth Handover to Company's First Female CEO
Clicks's cosmetic sales rose 12.6% in the six months through February, said Engelbrecht, who became the chain's first female CEO at the start of the year. That compares with a 10.2% like-for-like gain in overall revenue.
Clicks and smaller rival Dis-Chem Pharmacies Ltd. were able to weather the worst of the pandemic as their stores were always deemed essential to stay open and customers spent cash on boosting their immune systems. The two firms have also taken part in the South Africa's rollout of Covid-19 vaccines, with Cape Town-based Clicks administering more than 3 million doses.
Clicks sees a 30%-35% increase in full-year diluted headline earnings per share, according the the half-year results statement. The company raised the interim dividend by 26%.
The stock fell 0.3% at 12:11 p.m. in Johannesburg, and has gained 29% in the past 12 months.
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