In October, group sales recorded a marginal growth rate. Covid infections spike halts the positive performance and expectations
During the 10-month period of January- October 2021, the total sales of the Group were increased by approximately +7% compared to last year’s corresponding period.
October 2021 remained at a positive territory recording an increase of approximately +0,6% compared to October 2020. Greece and Cyprus recorded a positive performance as the stores remained opened and without the imposition of new restriction.
However, in November, the increased epidemiological burden led the authorities in Greece to impose new restrictions at the beginning of the most critical period for the retail market as it occurred in 2020, creating once again conditions of unfair competition. As of Saturday, November 6, the unvaccinated population will be able to visit the retail stores only with the demonstration of a negative Covid test result, while there is no such obligation for the super markets and hypermarkets.
In October, Bulgaria and Romania, recorded a decrease in sales
As a result, today, the sales of the stores in Bulgaria and Romania record a double-digit rate drop.
Sales per country:
Greece:
In October 2021, net sales of the parent company - excluding intragroup sales –demonstrated an increase of approximately +2,8%, compared to October 2020.
In total, during the ten months of the year (January-October 2021) the net sales of the parent company - excluding intragroup sales - were increased by approximately + 3% y-o-y.
Cyprus:
All stores continued to operate with a restriction on the number of customers allowed in the stores who had to hold a safe pass.
Sales in October 2021 recorded an increase of approximately +15% y-o-y. For the ten months of 2021, sales were increased by approximately + 10% y-o-y.
Bulgaria:
The stores continued to operate with extremely strict new restrictions for the country. Besides the restriction on the number of customers allowed in the stores, the control of the incoming customers for certificates have started.
During October 2021, a decrease of approximately -23% y-o-y was recorded. For the ten months of 2021, sales were increased by approximately +6% y-o-y.
November sales momentum so far, may imply for a dramatic drop on sales in Bulgaria, of more than 50% if the imposed restrictions remain, while a full lockdown should not be excluded.
Romania:
As of the last week of October, it is mandatory to demonstrate the relevant certificate at the entrance of all stores of the country.
The enforcement of the measures led the sales of the stores’ network to a decrease of approximately -1,6% in October 2021, despite the successful opening of the new Jumbo store in the city of Craiova.
For the ten months of 2021, sales were increased by approximately +17% y-o-y.
November sales momentum so far, may imply for a dramatic drop on sales in Romania, of more than 30% if the imposed restrictions remain and may lead to a full lockdown.
In conclusion:
The Jumbo Group continues its effort to balance in an environment where adverse conditions are worsening and no visible improvement is expected in the first months of 2022.
The management of Jumbo aims through its profitability and its strong financial position of the Group, to:
1. preserve Jumbo’s philosophy towards the consumer regarding the price - product relation and
2. remain loyal to its commitment for dividend distribution every year.
As it has already been announced, on November 26th the company will proceed with an extraordinary cash distribution of 0,30 EUR per share (gross) while it has already been distributed an amount of 0,47 EUR per share (gross).
As a result, the total gross amount that will have been paid to the shareholders as a dividend for the year 2021 amounts to 0,77 EUR per share (gross) increased by +25% compared to 2020, which stood at 0,615 EUR per share.
October 2021 remained at a positive territory recording an increase of approximately +0,6% compared to October 2020. Greece and Cyprus recorded a positive performance as the stores remained opened and without the imposition of new restriction.
However, in November, the increased epidemiological burden led the authorities in Greece to impose new restrictions at the beginning of the most critical period for the retail market as it occurred in 2020, creating once again conditions of unfair competition. As of Saturday, November 6, the unvaccinated population will be able to visit the retail stores only with the demonstration of a negative Covid test result, while there is no such obligation for the super markets and hypermarkets.
In October, Bulgaria and Romania, recorded a decrease in sales
- Vaccination coverage in these countries remains in extremely low levels, while political uncertainty intensifies the problem.
- Transitional governments in their attempt to face the new Covid wave are imposing extremely strict measures.
As a result, today, the sales of the stores in Bulgaria and Romania record a double-digit rate drop.
- The downward trend is likely to worsen, as the situation in these countries resembles the respective period before the lockdown in Greece and Cyprus during the last 2 months of 2020.
Sales per country:
Greece:
In October 2021, net sales of the parent company - excluding intragroup sales –demonstrated an increase of approximately +2,8%, compared to October 2020.
In total, during the ten months of the year (January-October 2021) the net sales of the parent company - excluding intragroup sales - were increased by approximately + 3% y-o-y.
Cyprus:
All stores continued to operate with a restriction on the number of customers allowed in the stores who had to hold a safe pass.
Sales in October 2021 recorded an increase of approximately +15% y-o-y. For the ten months of 2021, sales were increased by approximately + 10% y-o-y.
Bulgaria:
The stores continued to operate with extremely strict new restrictions for the country. Besides the restriction on the number of customers allowed in the stores, the control of the incoming customers for certificates have started.
During October 2021, a decrease of approximately -23% y-o-y was recorded. For the ten months of 2021, sales were increased by approximately +6% y-o-y.
November sales momentum so far, may imply for a dramatic drop on sales in Bulgaria, of more than 50% if the imposed restrictions remain, while a full lockdown should not be excluded.
Romania:
As of the last week of October, it is mandatory to demonstrate the relevant certificate at the entrance of all stores of the country.
The enforcement of the measures led the sales of the stores’ network to a decrease of approximately -1,6% in October 2021, despite the successful opening of the new Jumbo store in the city of Craiova.
For the ten months of 2021, sales were increased by approximately +17% y-o-y.
November sales momentum so far, may imply for a dramatic drop on sales in Romania, of more than 30% if the imposed restrictions remain and may lead to a full lockdown.
In conclusion:
The Jumbo Group continues its effort to balance in an environment where adverse conditions are worsening and no visible improvement is expected in the first months of 2022.
The management of Jumbo aims through its profitability and its strong financial position of the Group, to:
1. preserve Jumbo’s philosophy towards the consumer regarding the price - product relation and
2. remain loyal to its commitment for dividend distribution every year.
As it has already been announced, on November 26th the company will proceed with an extraordinary cash distribution of 0,30 EUR per share (gross) while it has already been distributed an amount of 0,47 EUR per share (gross).
As a result, the total gross amount that will have been paid to the shareholders as a dividend for the year 2021 amounts to 0,77 EUR per share (gross) increased by +25% compared to 2020, which stood at 0,615 EUR per share.