Uchumi on Steady Growth Trajectory after Restocking Exercise

Following Uchumi’s restocking plan launched last week, the supermarket chain has recorded an increase of footfall across its 19 out of 20 branches by 300 percent. 19 stores have been restocked by 80 percent.

Additionally, Uchumi’s suppliers have pledged their support to the retailer by entering into respective supply agreements with Uchumi.

Acting CEO of Uchumi, Mohamed Ahmed Mohamed referred to the restocking as a “comeback” during his address at Uchumi Sarit Centre, Nairobi.

Read: Uchumi Supermarket Receives KSH 700 Million For Restocking 

He further clarified that the restocking exercises is focused on replenishing stocks, improving cash flow, settling debts and paying employee salaries.

“Whilst the restocking process is timely as part of the festive season, this process only marks the beginning of implementation plans to ensure a long-term sustainable business and improved market performance with a reduced cost base,” said Mr. Mohamed.

Andrew Dixon, the Uchumi COO, on the other hand, said that the supermarket chain is well with the ongoing transformation programme and that they are making changes to bring a fresh outlook to Uchumi which will strengthen its turnaround. 

“We continue to remain committed to working with all our stakeholders, and today we want to draw attention to the key support our suppliers have played throughout all of this,” said the COO.

Andrew noted that suppliers play a major role in the revival of the business and we want to work together with our suppliers to make strategic decisions which will ensure the company is on its way to recovery. In a statement, the company said that 99 percent of its top 200 suppliers have entered into a supply agreement with the supermarket.