Brazil news and analysis

10 December 2019
In June 2019, private equity business Advent International acquired an 80% stake in Walmart’s Brazil operations. Walmart maintains a 20% stake in the business, which has been renamed Grupo BIG. In early 2019 it announced its plans to invest BRL1.2bn (US$287m) into modernising and expanding stores over its first 18 months. For more information on the acquisition see our article . Rebrand...
05 December 2019
Cencosud has reported supermarket revenue of CLP1,670.3 tr (US$2.1 bn) in Q3. In local currency this represents a 0.6% increase. The slight growth was driven by revenues in Argentina, Chile and Colombia, but partially offset by Brazil and Peru. In constant currency, revenues increased by 6.9%. This reflects the depreciation of the Argentine peso and Colombian peso against the Chilean peso. Pl...
12 November 2019
In the first nine months of 2019 DIA closed 757 underperforming stores across the group. Most of these closures were in Brazil (313) and Spain (374). In Brazil closures consisted of 44 DIA owned stores and 269 franchised sites. In 2019 DIA has embarked on a large-scale de-franchising process to improve the quality of its franchisee network. At the start of the year franchises accounted for 5...
08 November 2019
Spain-based discounter Grupo DIA has announced its Q3 2019 results. The results show negative sales and reported an operating loss of €356m and a net loss of €504m. Sales performance DIA announced its Q3 sales results saying overall sales declined by 7.4% to €5.1 bn and like-for-like (LFL) sales decreased by 8.1%. The group highlights the sales in Spain declined by 7.8% to €3 bn and LFL ...
05 November 2019
Many shoppers in Brazil have migrated their weekly/bi-weekly food shops from hypermarkets and supermarkets to atacarejo (cash and carry). This has affected the way that customers shop in other formats, with many now using supermarkets for top-up and replenishment shops. This article focuses on how Carrefour is evolving its supermarket strategy to stay relevant in the market and to complement...
24 October 2019
Carrefour has announced gross sales of BRL$15.1 bn (US$3.7 bn) in Q3 for its Brazilian operations, an 8.9% growth (excluding petrol). Like-for-like (LFL) sales rose by 3.8%, a decelerated level versus Q2 (+7.7%) and Q3 2018 (+5.1%), mainly attributed to the decelerating food inflation. The LFL growth represents an outperformance versus Carrefour’s main Brazilian competitor, GPA, whose LFL rose...
23 October 2019
Many shoppers in Brazil are now using atacarejo (cash and carry) for their weekly/bi-weekly shop. This has affected the way that they shop in other formats. GPA’s 2018 strategy saw the business shift its focus to store optimisation, particularly of its supermarkets. Optimising existing stores GPA had 184 stores under its Extra Super supermarket banner. To make them more relevant to changi...
22 October 2019
Carrefour has reported third quarter results saying gross sales rose 1.5%, at constant exchange rates including petrol, to €20.2 bn. Group like-for-like sales, excluding petrol and calendar effects, rose 2.3%. While there were positive elements, with strong growth in Poland supported by a return to like-for-like growth in Spain, these were offset by the retailer’s continuing challenges in France ...
21 October 2019
Casino has reported third quarter results, with total net sales rising by 1.3% to €9.1 bn. The performance was driven by its operations in Latin America, where total net sales rose by 11.0%, which offset a contraction of 5.0% in France. Same-store sales growth reached 1.5% during the quarter, with France rising by 0.2% and its operations in Latin America seeing same-store sales up by 3.0%. Fra...
21 October 2019
GPA has reported gross sales of BRL$14.6bn (US$3.5bn), representing strong growth of 9.5% in Q3. This is despite a 2.4 pp drop in inflation versus the first half of the year. Like-for-like sales were flat for its hypermarkets and supermarkets, but up 3% for the Assaí (cash and carry) format. Total sales for Assaí banner up 19% year-on-year Gross revenue for the Assaí banner reached BRL$7.6b...