We assess the impact on SA companies of the three-week nationwide lockdown may have on the trading performance, earnings and cashflow during a period of no revenue generation. During the lockdown, stores and outlets deemed as non-essential have been closed. Pharmaceutical retailers such as Clicks (CLS) and Dis-Chem (DCP) are considered essential services and therefore have continued to trade, while household goods retailers Lewis (LEW), and Pepkor (PPH) were required to shut down. All foodservices outlets (including FBR, SUR and GPL) have had to close doors for the duration of the 21-day lockdown period. There is a risk that the lockdown period could be extended for longer than the initially announced period, as has been the case in other countries globally.
