Companies / Brazil
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CBD's Results Take Hard Hit
April 2007 | Company News AlertSorry, you must be a subscriber to view this article in full. If you are a subscriber please login.
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CBD, Brazil's largest mass grocery retail (MGR) operator, has reported a major drop in net profits for the full year 2006, as profits plummeted 67% down to BRL85.5mn (US$39.2mn) due to non-recurring charges related to outstanding tax payments and restructuring efforts. Although net revenue for the year was up by 3.5% to BRL13.9bn (US$6.3bn), EBITDA fell by 17% to BRL971mn (US$445.4mn). Fourth quarter net profit was down 57% to BRL27.7mn (US$12.7mn), which the company has blamed on declining food prices and a feeble retail environment, as well as the restructuring efforts.