JOHANNESBURG, May 27 (Reuters) – South African discount retailer Pepkor Holdings PPHJ.J reported on Tuesday a 12.4% rise in half-year earnings, while revenue grew 12.8%, supported by improved product availability and strong growth in cellular connectivity.

The owner of PEP and Ackermans clothing brands said headline earnings per share (HEPS) from continuing operations rose to 84.3 cents in the six months to March 31, up from 75 cents a year ago. Normalised HEPS grew by 18.9%.

Group revenue grew by 12.8% to 48.8 billion rand ($2.73 billion), with the clothing and general merchandise segment increasing revenue by 9.5% to 34.5 billion rand, and the furniture, appliances and electronics segment up by 9.1% to 6.5 billion rand.

Its fintech business increased revenue by 34.5% to 7.9 billion rand, driven by 67.3% growth in financial services.

Group merchandise sales growth of 10% benefited from improved product availability as local port congestion subsided, the retailer said.

The number of cellular handsets sold by the group increased by 17% to 6.8 million during the period. Market share continued to rise, with the group now responsible for eight out of 10 prepaid handset sales in South Africa, it added.

($1 = 17.8743 rand)

(Reporting by Nqobile Dludla; Editing by Sonali Paul and Lincoln Feast.)