Sonae profits double to €21 million

Portuguese multinational Sonae’s profits more than doubled from €9 million to €21 million in the first quarter of 2018 compared to the same period in 2017. The 8.7% increase is largely down to the performance of its subsidiaries Sonae MC and Worten.

 

According to information sent to the securities and market commission CMVM, results before consolidated taxes, interest, depreciations and amortisations (EBITDA) improved 9.5% in Q1 and were registered at €70 million.

The net result attributed to shareholders more than doubled for the quarter compared to the same period in 2017 from €8 million to €20 million.

Overall, Sonae turnover increased 8.7% to €1.342Bn across all areas of the group’s business. 

Ângelo Paupério, co-CEO of Sonae states: “Sonae recorded a good start to the year with Q1 consolidated turnover growing by 8.7% and profitability [EBITDA) by 9.5%. The performance of our food retail business and Worten were particularly strong both in terms of absolute growth but also in terms of like-for-like sales at 5.3% and 8.8% respectively.”

Investment was set at €71 million, up €17 million on the amount recorded for the same period in 2017.

In terms of direct result, this stood at €14 million (+15.6%) like-for-like while the indirect result was €7 million. 

In terms of the group’s business areas, its food retail arm Sonae MC saw business turnover climb 10% to €940 million. Turnover at electrical and computer retail chain Worten recorded €242 (+9.3%) while Sonae Sports & Fashion saw a 1.5% growth in sales to €96 million.

At the same time, Sonae FS saw growth of 30% to €7 million, while its retail property arm enjoyed a net profit of €908 million with a business turnover of €23 million (+2.4%).  

Alongside its positive business performance, Sonae reduced its net debt by 8.2% or €113 million. In terms of investments, the Sonae Group which is based in Maia totalled €71 million, +€17 million like-for-like. The company also announced that it had created 2,000 jobs over the past 12 months.

The company also announced that it would open 20 new Continente Bom dia food stores by the end of the year.