Eurocash Q4 profit below consensus

WSE-listed FMCG retailer had PLN 66.9 million attributable net profit in Q4 2016 year-on-year, 28 percent below expectations, the company's Q4 financial report showed. Group sales were up up 12.3 percent y/y to PLN 569.2 million. “Particularly strong growth was recorded in sales to clients being members of partner and franchise systems supported by Eurocash Group,” the firm commented in a press release. Q4 EBITDA hit PLN 160 million, down from PLN 185 million y/y. “EBITDA was significantly impacted by costs connected with the development of a fresh product delivery project for Delikatesy Centrum stores and investments in new innovative retail formats,” management commented.