Mr Price : Trading update for the 13 weeks ended 30 December 2017

Mr Price Group Limited

(Registration number 1933/004418/06) Incorporated in the Republic of South Africa ISIN: ZAE000200457

JSE share code: MRP ("Group" or "Company")

TRADING UPDATE FOR THE 13 WEEKS ENDED 30 DECEMBER 2017

During the third quarter (1 October 2017 to 30 December 2017) of the financial year ending 31 March 2018 the Group recorded growth in retail sales and other income (RSOI) of 8.3% to R6.9bn over the corresponding period in the prior year ("Corresponding Period").

Corporate-owned and franchise stores generated total retail sales of R6,6bn, an increase of 8.3%. Corporate-owned store performance was as follows:

Total	Comparable	RSP	Trading
Sales	Store Sales	Units	Inflation	Space
Apparel segment
MRP Apparel	11.3%	8.2%	10.2%	1.0%	3.6%
MRP Sport	2.2%	-6.5%	3.2%	-0.9%	6.6%
Miladys	6.2%	4.9%	-3.2%	9.7%	-0.3%
10.1%	6.8%	9.2%	0.8%	3.4%
Home segment
MRP Home	2.4%	-1.0%	3.8%	-1.4%	0.6%
Sheet Street	6.3%	4.0%	3.4%	2.9%	0.1%
3.6%	0.7%	3.7%	-0.1%	0.5%
Group	8.5%	5.3%	8.0%	0.5%	2.5%

On a Group basis, sales growth was consistent across each month, and RSOI exceeded R3bn for the first time in a single month in December 2017.

South African retail sales of R6.1bn grew 8.8%. Store sales were up 8.8% and online sales up 12.2%, with divisional growth in online sales in MRP Apparel, MRP Sport and MRP Home of 27.7%, 19.8% and 1.6% respectively. Non-South African sales increased by 4.8% to R447.7m.

Cash sales were up 10.1%, constituting 84.4% of total sales. The ongoing strained credit environment and consumers' preference to transact in cash resulted in credit sales growth of 0.9% lagging that of cash sales.

Other income grew 8.2% to R307.7m, supported by growth in cellular of 10.9% and insurance of 13.3%. As anticipated, fees and interest derived from the credit portfolio recorded lower growth at 6.4%.

Despite a competitive retail environment, well executed merchandise offers resulted in lower markdowns and an improved gross profit percentage over the comparable period.

Further momentum in sales growth has been gained for the two-week period from 31 December 2017 to 13 January 2018, not included in the analysis above.

The above-mentioned figures and any information contained herein do not constitute an earnings forecast and have not been reviewed and reported on by the Company's external auditors.

Durban

17 January 2018

Sponsor

Rand Merchant Bank (A division of FirstRand Bank Limited)