Carrefour Brazil’S Resilient Performance: Q3 2024 Financial Results Exceed Expectations
Date
11/1/2024 7:00:23 AM
(MENAFN- The Rio Times) Carrefour Brazil demonstrated remarkable financial strength in the third quarter of 2024. The company's net profit soared to R$ 221 million ($38.8 million), marking a 67.4% increase from the previous year.
This impressive growth surpassed market predictions, showcasing the retailer's adaptability in a challenging economic landscape. The adjusted net profit nearly doubled, reaching R$ 412 million ($72.3 million).
This substantial rise was attributed to lower interest rates on intercompany loans and reduced tax burdens. These factors contributed to the company's overall financial health and operational efficiency.
Carrefour's consolidated net sales revenue climbed to R$ 28.369 billion ($4.98 billion), representing a 5.1% increase. This growth reflects the company's ability to maintain customer loyalty and expand its market presence.
In Addition, the retail segment saw a 7.6% rise in same-store sales for food items and a 6.2% increase in non-food categories. The Atacadão wholesale division played a crucial role in Carrefour 's success.
Its sales reached R$ 21.4 billion ($3.75 billion), an 8.3% year-over-year increase. This growth was driven by a 5.6% rise in same-store sales and the addition of 13 new cash-and-carry stores over the past year.
Carrefour Brazil's Strong Performance
Carrefour's banking arm also performed well, with billings totaling R$ 17 billion ($2.98 billion), a 13.9% increase. The company successfully navigated new interest rate regulations by implementing strategies to reduce expenses and manage default rates effectively.
The Sam's Club division achieved R$ 1.5 billion ($263.2 million) in net sales, representing a 17% increase from the previous year. This growth underscores the success of Carrefour's diversified business model and its ability to cater to different market segments.
Carrefour's adjusted EBITDA reached R$ 1.5 billion ($263.2 million), a 5% year-over-year increase. The EBITDA margin remained stable at 5.7%, demonstrating the company's ability to maintain profitability while pursuing growth strategies.
In short, these results highlight Carrefour Brazil 's resilience and strategic acumen in a competitive retail landscape.
The company's success stems from its focus on operational efficiency, market expansion, and adaptability to changing consumer needs and regulatory environments.
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