Portuguese retailer Jerónimo Martins has posted a 4.2 per cent drop in net profit to €84 million for the second quarter of 2012, while reporting a 6.3 per cent sales growth.
The retailer’s net profits show a like-for-like increase of 5.6 per cent from the first half of 2011, with 7.5 per cent spike in consolidated sales to €5,108 million for the same six-month period. Jerónimo Martins is Portugal’s second-largest retailer and is Poland’s largest grocery retailer, with 64,000 employees in 2011. Commenting on the performance of its Polish Biedronka discount chain, the company said, “These first six months have been particularly demanding”, referring to the conversion of its 1,850 stores to a new layout, which will be completed by November. Biedronka’s sales show a 4.7 per cent increase, compared to 20 per cent for the same period in 2011, according to Reuters. Like-for-like sales at the company’s Pingo Doce operation rose by 2.4 per cent and Jerónimo Martins said it will protect the future of its main domestic banner by being more aggressive in its price offering and by increasing brand recognition.
The company claims to be the leading cash and carry operator in Portugal, with 41 outlets nationwide. (25 Jul)
© 2012 ESM European Supermarket Magazine
