Eurocash Q4 results below expectations

WSE-listed FMCG retailer Eurocash had PLN 8.8 million attributable net profit in Q4 2017, 86.9 percent lower y/y, and below the PLN 56.2 million expectations. Revenues were up 8.4 percent y/y to PLN 5.8 billion, mainly on increased sales of own shops in the Delikatesy Centrum brand. Q4 EBITDA dropped by 36.4 percent to PLN 101.5 million. “EBITDA decline was mainly related to lower profitability in the independent wholesale segment, integration of companies taken over, one-off costs as well as an increase of spending related to strategic projects,” the company said.