Jerónimo Martins Profits Up, But Halves Colombian Expansion Plans

Jerónimo Martins has recorded a net profit of €280 million in the first nine months of the year, whi…

Jerónimo Martins has recorded a net profit of €280 million in the first nine months of the year, which has led to a growth of 3% over the same period in 2012, according to data provided by the Market Committee Values ​​(CMVM) Lusa.

CEO Pedro Soares Dos Santos should be pleased that its turnover has grown by 11.5% in this period.

65% of this business came from its division in Poland, where it operates through the Biedronka supermarket banner, while the rest was generated in Portugal thanks to Pingo Doce surfaces and Recheiro commercial.

Gross operating profit of the company grew by 7.8% to €573 million, while net debt of the company increased by 42% to €308 million.

However, Jeronimo Martins has also reduced its capital expenditure plans for its start-up business in Colombia.

The company halved its investment plans for Colombia to €50 million from €100 million.

The retailer made Colombia its third market in March of this year when it opened its first store, under the Ara banner, in the city of Pereira.

The company said then it planned to open 40 Ara stores this year and wanted to have 150 outlets in Colombia by the end of 2015. So far, it has opened 28 stores in Colombia.