Slovenian retailer Mercator Group ended the first half of 2017 with a profit of €10.4 million, marking an increase on the same period last year.
The company's EBITDA margin was up by 11% year-on-year, however, revenue dropped 7.9% to €1.14 billion, with capital expenditure of €25.9 million.
In Slovenia and Montenegro, revenue from sales of goods was higher than the same period last year. However, in the Serbian market, retail revenue was lower, due to store closures.
Mercator says that it will focus on the modernisation of its retail network for the rest of 2017, with a new store concept, refurbishment of existing stores, improvement of services, and adaptation of its sales assortment.
In the first six months of the year, 22 units were opened or renovated in Slovenia, with 16 units in Serbia, and five in Montenegro. Its biggest investment of the year was the newly-built Trade Centre Bled, with a supermarket and additional premises to be leased out to third parties.
At the end of June, Mercator Group had a total of 1,198 retail units, with 737 in Slovenia (under the Mercator banner), 349 in Serbia (Mercator, Roda and Idea banners), and 112 in Montenegro (Idea). The total sales area amounted to 588,624 square metres.
© 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