Spanish retailer Dia Group has announced that sales increased by 4.1% to €5.127 billion in the first half of 2017, compared to the same period in the previous year.
The company's operations in Argentina and Brazil contributed to this growth, with a 12.1% increase in gross sales in local currency, reaching €1.885 billion.
In Spain, however, gross sales fell by 3.6% to €2.83 billion. The retailer notes that during the second quarter of the year, the improvement process of the Dia Market, Dia Maxi, and La Plaza de Dia stores was accelerated, with 221 store conversions undertaken, to offer a wider range of products and services to shoppers.
Overall, underlying net profit increase by 4.3% in euros, reaching €106 million. At the end of June, the company had 7,415 stores in Spain, Portugal, Argentina and Brazil.
Outlook
“The second quarter of 2017 confirms the solid operating performance of our group in Iberia and South America, with positive same-store sales growth in all our geographies," said Ricardo Currás, CEO of Dia Group.
"It has been a busy quarter in Spain, with a peak in June of over 120 upgrades of Dia Market, Dia Maxi and La Plaza stores, with encouraging results. The third quarter is expected to be busy as well to achieve the target of over 500 upgrades by the end of 2017."
"Brazil improved LFL volumes in the second quarter, with lower inflation, impacted by the ongoing challenging market conditions, while in Argentina DIA continued to achieve a remarkable and strong top-line growth rate. With this set of results, we are on track to meet all our 2017 targets.”
© 2017 European Supermarket Magazine – your source for the latest retail news. Article by Sarah Harford. Click subscribe to sign up to ESM: The European Supermarket Magazine.
