Biedronka profits stacking up

In the first half of the year, the consolidated margin on earnings before interest, tax, depreciation and amortization (EBITDA) dropped to 7.3 percent from 7.9 percent in the same period of 2004. The Polish margin widened slightly to 4.6 percent from 4.5 percent.

"The consolidated EBITDA margin is going to continue to fall because we are growing a lot more in Poland, which has a lower margin," chief executive Luis Palha said.

He was speaking at the opening of Jeronimo Martins' 1,000th store. Palha also said an IPO for Biedronka was not a priority. Jeronimo Martins plans to open another 300 stores in the next three years. (Reuters)