Emperia Group’s results published on Monday, 27 February 2017, serve as validation for the Group’s growth strategy. Despite strong price pressure from the competition in the fourth quarter of 2016, the Stokrotka chain continued to strengthen its competitive position and implement an ambitious growth plan. The retail segment’s revenue from sales during this period was up by 9.7% from the comparative period last in the previous year, reaching PLN 637.6 million, and PLN 2.421 billion for full year 2016, denoting 18.2% growth. This major growth in revenue was driven by: higher like-for-like sales (up by 2.4% in Q4 2016 and by 5.5% in FY 2016) and strong pace of new retail location openings. In the past year, Stokrotka launched 53 new retail sites. In the fourth quarter alone, 14 new stores were launched, including 2 supermarkets, 7 markets and 5 franchise stores. The chain comprised 372 stores at the end of 2016.
In the four quarters of 2016, the property segment generated stable revenue, reaching PLN 69.7 million. The fourth quarter alone closed with very strong EBITDA of PLN 14.8 million. EBITDA for the four quarters of 2016 was PLN 54.2 million. The very strong fourth-quarter result was driven by proper management of the Group’s leasable space portfolio and property sale transactions, which generated PLN 4.9 million in gross profit for the segment.
Infinite is consistently building up its IT service and solution portfolio. In developing its products, the company is the key IT partner for the entire Group. Infinite is investing in developing its research and development capabilities with a view towards enhancing service quality. Cumulatively for the four quarters of 2016, the company generated PLN 37.6 million in revenue from sales, with 14.5% growth in service sales. The company’s EBITDA for these four quarters reached PLN 9 million.
Information about Emperia Group:
Emperia is a dynamic and reputable Polish group focused on the FMCG retail segment. Founded in 1990, Emperia has been a fixture of Poland’s retail market for the past 27 years. Emperia Group operates in three areas: FMCG retail, IT and property. It employs more than 8 000 workers. The Group's operations are coordinated by Emperia Holding S.A., a company that has been listed on the Warsaw Stock Exchange for 15 years. Emperia Holding S.A. is responsible for developing strategy and monitoring progress at all of Emperia Group's companies.
Retail segment – comprising Stokrotka Sp. z o.o. – a company with Polish capital and a wealth of tradition in Polish retail. Founded in Lublin in 1994, the company operates throughout the country. The first Stokrotka supermarket was founded in Łęczna near Lublin in 1996. The chain currently comprises more than 370 Stokrotka supermarkets and markets, located in residential developments and mini-centres and shopping galleries. Typical locations range from 200 to 1 000 sqm in floor space and feature 4 000 - 10 000 assortment items, including groceries, alcohol, beauty products and household cleaners, as well as fresh products: baked goods, meats, fruits and vegetables. The stores also feature local products, made in the regions where the chain is present, and own-brand products. In 2013, the company launched its in-house logistics network, with a distribution centre in Teresin near Warsaw and nine regional warehouses located throughout the country. A second distribution centre was launched in Q1 2016 in Lublin.
Property segment – manages a portfolio of 86 properties, invests in facilities for retail operations. The segment manages a property portfolio, acquires new locations and conducts property development activities through several special purpose vehicles. In line with the investment strategy, it focuses on facilities in the form of mini galleries or shopping parks. The main company in this segment is Elpro Development S.A.
IT segment – since the consolidation of the Group's IT companies, completed in 2012, the IT operations are carried out by Infinite, which offers a wide range of technological solutions for both large and small manufacturing and retail companies. The company develops solutions for supporting strategic business processes, electronic data exchange and document workflow. It provides B2B integration solutions for transaction optimisation through automating relations between business partners. Infinite is present in Poland and on foreign markets.