Spanish cooperative and grocery retailer Eroski has reported a 2.5% increase in revenue in the first half of its financial year to €2.86 billion.
This growth was primarily driven by increased sales in the food sector which grew by 3.3% to reach €2.72 billion, boosted by promotional and price containment efforts by the group.
To this end, Eroski invested €33 million during first half to mitigate the impact of rising costs on sales prices, reducing prices on more than 5,700 products.
First-Half Highlights
Net profit declined by €19.7 million, to €50.2 million, due to increased price competitiveness and exceptionally strong results in the early part of 2023.
Despite a challenging inflationary environment and rising costs, the company has successfully limited its expense growth, reflecting ongoing efforts to improve efficiency.
The company's EBITDA reached €155 million with a solid rate of around 6%, indicating a positive outlook for the remainder of the year.
Looking ahead, Eroski is optimistic about its prospects and aims to continue its growth and maintain a stable financial position.
Food Waste Reduction
During the first half, Eroski implemented various measures to reduce food waste, such as food donations, partnerships with social organisations, and collaborations with apps like Too Good To Go.
As a result, the retailer avoided the waste of 10,000 tonnes of food, or a total of 34 million meals, which is equivalent to feeding almost 9,500 families for a year.
These efforts have not only helped reduce food waste but have also contributed to the well-being of vulnerable communities through its various initiatives to combat food waste and promote a more circular economy.
