South African executive Pieter Engelbrecht received a total salary package of R29.9 million ($1.92 million) from Shoprite Holdings Limited at the end of its 2021 accounting period ending on Sept. 30.
Engelbrecht, who is the CEO of Shoprite Holdings, Africa’s largest supermarket chain, earned a total of R29.9 million ($1.92 million), including a guaranteed package of R16.81 million ($1.1 million) and a short-term incentive of R12 million ($771,400) from the leading retailer.
Compared to the previous year’s pay of R26.8 million ($1.85 million), Engelbrecht’s salary package in 2021 rose by 11.53 percent, driven by a 57-percent surge in its short-term incentive and performance bonus from R7.65 million ($492,111) in 2020 to R12 million ($771,400) in 2021.
The short-term incentive is linked to the retail behemoth’s performance during the fiscal year, as Engelbrecht’s actual outcome was 112 percent of the target set by the board. Engelbrecht’s total earnings came to nearly R2.5 million ($161,000) a month.
Shoprite Holdings Limited is South Africa’s largest food retailer and the biggest retailer in Africa. The group employs about 142,000 people in more than 2,913 stores on the African continent.
In the past 10 years, the retailer’s merchandise sales have grown from R72.3 billion ($5.1 billion) in 2011 to R168 billion ($11.8 billion) in 2021, while its trading profit expanded from R4 billion ($281.5 million) to R10.3 billion ($725 million), respectively.
In the first quarter of its 2022 financial year, Shoprite reported a 9.3-percent increase in its sales despite the impact of civil unrest in South Africa on its core operations.
During the period, the group’s core business, Supermarkets RSA, which includes the operations of Shoprite, Usave, Checkers and Checkers Hyper, reported an 11.6-percent increase in sales in the first quarter of its 2021 financial year driven by market share gains in the quarter.