Jerónimo Martins Q3 2019 results

Date : 28 October 2019

Jerónimo Martins has announced a positive sales performance for Q3 2019.  

Positive Q3 results

Jerónimo Martins’ consolidated sales increased by 8.7% with like-for-like (LFL) performance of 6.2%, in Q3 2019. Group net profit increased 3.5% to €302m, despite the impact of the additional Sunday closures in Poland. Net profit in Q3 2019 grew 8% compared to Q3 2018.

Division performance

Jerónimo Martins is divided into different banners; Ara, Biedronka, Hebe, Pingo Doce and Recheio. The contribution of all banners helped to deliver a positive Q3 performance.

Poland-based Biedronka’s sales grew by 10.9% (+10.5 in euros) to €3.2 bn, LFL performance increased 7.8%. The retailer has identified a moderation in price increases among seasonal products, which could lead to lower basket inflation in the short term. Biedronka ended the Q3 with a network of 2,932 stores.

Hebe sales grew by 26.9% (+26.4% in euros) to €63m, LFL performance grew 8.1%, even though the group had to accommodate for 10 extra Sunday closures. The retailer ended Q3 2019 with a network of 255 stores, which includes 29 pharmacies.

Portugal-based Pingo Doce sales grew by 0.8% to €1.0 bn, the increase in LFL terms was 0.6%. The retailer said the performance underlined the impact of food deflation during Q3.  Pingo Doce opened one store in the quarter.  

Recheio sales increased by 3.4% to €291m and LFL increase of 3.4%.  

Colombia-based Ara’s Q3 sales increased by 40.7% (+30.6% in euros) to €204m. Ara has gained from its price investment strategy. The end of Q3 2019 saw it operate 578 stores. Furthermore, the retailer noted how it had benefited from the continued competitive and dynamic market conditions.

 

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