May 19, 2024

Grupo Exito 2Q 2022 Net Income Rises 22.7% Year-on-Year

Medellin-based multinational supermarket and dry-goods retailer Grupo Exito announced July 27 that its second quarter (2Q) 2022 net income rose 22.7% year-on-year, to COP$62.2 billion (US$14.2 million).

Operating income likewise rose 27.6%, to COP$4.7 trillion (US$1.07 billion), while recurring earnings before interest, taxes, depreciation and amortization (EBITDA) rose 21%, to COP$371 billion (US$84.8 million).

Éxito credited “good commercial performance and operational efficiencies in the three countries [Colombia, Argentina and Uruguay] where it has a presence.”

“The strengthening of the omnichannel strategy in Colombia allowed e-commerce channels to grow their sales by 17%, orders by 36.2% (a total of 5.7 million dispatches) and reaching a share of 12.1% over the total sales of the country during the first half of the year.

“Innovative formats continue to be an important lever for differentiation and competitiveness. ‘Success Wow’ represented 30.2% of the brand’s total sales and ‘Carulla FreshMarket’ 46.6%,” according to the company.

“The increase in traffic to shopping centers continued to contribute to the result of the real estate business. The occupancy rate of shopping centers reached 93.1% in Colombia and 88% in Argentina in the second quarter.

“The stable internal consumption of Uruguay was reflected in a growth in sales of 7.2% in local currency with an increase in recurring EBITDA of 23.4% measured in COP [Colombia pesos], as a result of greater productivity and strict control of expenses.

“The ‘Disco’ and ‘Devoto’ stores that operate under the ‘fresh market’ model participated with 50.5% of total sales, growing 5.8 percentage points more than the non-reformed stores.

“In Argentina, Grupo Libertad’s sales in local currency grew by 78.7%, exceeding high inflation, benefiting from the economic reactivation and the positive performance of the real estate business,” the company added.

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