Slovenian retailer Mercator Group has ended the first nine months of its financial year with a profit of €9.9 million, compared to a loss of €1.7 million in the previous year.
Revenues in the same period amounted to €1.73 billion (-2.7%). The group said that revenue from the sale of goods in the core activity of retail in Slovenia and Montenegro was higher relative to the comparable period of the preceding year. The drop of revenue in Serbia was primarily a result of the closure of some stores following a regulatory decision.
Net financial debt amounted to €794.193, which is 1.4% lower than as at the end of 2016, and 5.9% less than at 30 September 2016. Payment terms to suppliers remain stable in 2017, and Mercator has succeeded in decreasing its net debt to creditor banks.
In the nine month period, Mercator Group opened or renovated 22 stores in Slovenia, 29 in Serbia and seven in Montenegro.
During the period, Mercator successfully re-entered Bosnia and Herzegovina. In September, it gradually took over the retail operations of Konzum BH at 83 locations, and in October it formally opened its largest stores in Sarajevo and Banja Luka.
Mercator said that its goal is to offer the local consumer a new store concept and a broad assortment tailored as closely as possible to the needs and desires of the customers.
Mercator's management board has prepared strategic policies and guidance for Mercator's development until the year 2021, with the aim of remaining a key and decisive retailer in the Adria region.
Besides its home market of Slovenia, Mercator Group is also active in the grocery retail sector in Bosnia and Herzegovina, Serbia and Montenegro.
© 2017 European Supermarket Magazine – your source for the latest retail news. Article by Branislav Pekic. Click subscribe to sign up to ESM: The European Supermarket Magazine