Medellin-based multinational supermarket and dry-goods retailer Grupo Éxito S.A. announced February 27 that its full-year 2022 net income fell 79% year-on-year, to COP$99 billion (US$20.8 million), from COP$474 billion (US$99.6 million) in 2021.

Revenues rose 22% year-on-year, to COP$19.7 trillion (US$4.1 billion), while earnings before interest, taxes, depreciation and amortization) rose 8.3% year-on-year, to COP$1.66 trillion (US$349 million), according to the company.

Consolidated income data include results from Colombia, Uruguay and Argentina along with business eliminations.

The rise in revenues and recurring EBITDA came from “omni-channel (+18.9%) and innovation (40% share), despite inflationary pressures across the region,” according to Éxito.

“Other revenue grew 6% during 2022 and reflected improved performance of complementary businesses -- mainly real estate (+8.5%) -- despite a higher base of development fees and property sales,” according to the company.

The decline in net income is explained by “higher financial expenses (interest rates +827 basis points vs 4Q 2021), higher provisions of [online purchasing channel] TUYA -- required due to increased loans issued by 25.6% -- and other non-cash effects such as higher deferred tax in Colombia and Argentina and inflationary adjustments,” according to Éxito.

“Innovative formats reached a 40% share at consolidated level (41% in Colombia, +23 basis points versus 2021). The ‘Fresh Market’ model represented 59.6% of Carulla segment in Colombia, 52.9% in Uruguay and 29% in Argentina,” the company added.

During 2022, the company opened, converted or refurbished 92 stores -- 78 in Colombia, five in Uruguay and nine in Argentina, according to Éxito.

At year-end 2022, Grupo Éxito owned more than 2,000 stores, including food supermarkets, outlet stores and convenience stores. Among the 619 supermarkets, 492 were in Colombia, 94 in Uruguay and 33 in Argentina.