Only through increased productivity and investments we will overcome the deep crisis
Athens July 25th, 2012. Today, the Extraordinary General Meeting of the Jumbo Group, the largest retail company of toys, baby products, stationary products and other relevant products in Greece, was held with the participation of the 84,44% of the Company’s shareholders.
During the Extraordinary General Meeting the management answered the shareholder’s questions and confirmed that despite the extraordinary difficulties in the business environment and particular in the retail sector in Greece, Jumbo group continues to invest in the future, to employee 3.400 people, to constrain its operational cost and at the same time to offer a larger variety to the consumers.
In this context, despite the adverse conditions worldwide, regarding the financing of new investments, JUMBO Group proceeds with the execution of its investment plan aiming at strengthening Company's position in the market and maintaining the positive growth rate in terms of sales.
The financial year ended in June 2012, confirmed last year’s management’s estimate for positive growth in sales and a significant return to the shareholders who continuously support the Company. Group sales increased by +088% y-o-y while according to early indications there will be at least an equal increase in terms of net profits.
After the update of the management, the General Meeting of the company’s shareholders approved the capital return of 0.21 euros per share.
Moreover the management informed the company’s shareholders that during the current financial year July 2012- June 2013 the Group will continue its expansion with the introduction of five (5) new hyper stores.
The first store of the new financial year, of total surface 8.000sqm started its operation few days earlier in Nea Philadelphia (Attica). Three (3) more hyper stores will operate in Greece and one in Bulgaria.
These new stores are expected to contribute in sales’ growth for the current financial year July 2012-June 2013. According to the budget, the target for the current financial year is sales growth between 0%-2% while net earnings are expected to reach EUR 70mil as the deflationary pressures in Greece, the increase in transport costs and the strengthening of the dollar are expected to impact the gross margin.