Cencosud's revenues increased 12.4% in the first quarter of 2024
May 02 2024 - 8:34PM
Business Wire
- In the first three months of the year, the Company reported
revenues reaching CLP $3,938,070 million, highlighting double-digit
growth in the United States, Brazil, Peru, and Colombia in Chilean
pesos.
- Online revenue rose 12.3%, reaching 6.4 million tickets,
with the United States and Brazil leading the way.
- Adjusted EBITDA rose 0.1% and went up 10.2% when excluding
the adjustment for hyperinflation in Argentina. Profitability
expansion in Chile, Argentina, the United States, and Peru,
countries that also achieved double-digit EBITDA margins, boosted
the performance.
Cencosud S.A. reported today its first-quarter results, with
revenues of CLP $ 3,938,070 million, an increase of 12.4% compared
to the same period of the previous year. Among business categories
with solid performance, double-digit growth in online sales
(12.3%), the penetration of private label sales in the region
(+15.9%), and the increase in market share in Argentina stand
out.
"Despite a challenging economic context, we were off to a
strong start in 2024, with revenue growth and improved
profitability in several businesses. This increase in sales in
Chilean pesos is the result of the increase in all countries,
except for Argentina," commented Rodrigo Larraín, CEO of
Cencosud.
Among the highlights of the period are online sales, with
alliances with the last milers in Brazil and the United States
(showing sales growth of 110.1% and 56.4% in CLP, respectively). At
the same time, Prime program subscribers continued to grow (+54.4%
YoY). The Company's Own Brands recorded sales growth of 15.7% YoY,
with the Food category driving the highest sales, led by the
Cuisine&Co brand, which continued developing its
regionalization strategy by reaching Brazil during the first
quarter of 2024.
Net income stood at -CLP $601 million due to the hyperinflation
adjustment in Argentina (IAS 29). Excluding that item, net income
grew 9.1% compared to the same period of the previous year,
reaching CLP $170,246 million due to an operating income of 15.5%,
partially offset by the negative impact of the devaluation of the
Chilean peso against the US dollar.
Adjusted EBITDA increased 10.2%, excluding the effects of
Argentina's hyperinflationary economy, and EBITDA margin reached
10.6%, up 7 bps year over year. Including the accounting effect of
Argentina, adjusted EBITDA grew 0.1%, due to improved profitability
in Chile, the United States, Argentina and Peru.
During the period, the solid financial and operational
performance of the shopping center business also stood out, with
net income reaching CLP $60,852 million, up 82.1% compared to the
previous year's first quarter. Net income was up 23.8%, excluding
the effect of asset revaluations. These positive results are mainly
explained by the increase in gross leasable area by more than
20,000 m2, an increase in visits, and the maintenance of one of the
highest occupancy rates in the industry at 98.3%.
"We are moving forward with determination and enthusiasm this
2024, in which we will strengthen our physical proposition through
retail stores and leasable areas in shopping centers, along with
the continued development of digital capabilities across the
region. We have an experienced and committed team to continue
consolidating Cencosud's leadership in the region," concluded
Larraín.
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version on businesswire.com: https://www.businesswire.com/news/home/20240502447779/en/
Beatriz Monreal beatriz.monreal@cencosud.cl