The earnings call highlighted significant cost optimization efforts and growth in certain segments. However, the overall sentiment was negatively impacted by declining sales and margins, challenges in the market environment, and the withdrawal of future financial guidance due to uncertainties.
Company Guidance
During the Eurocash Group Q3 2024 earnings call, the company reported disappointing results, with a negative sales dynamic of 0.9% quarter-over-quarter and a decrease in EBITDA margin to 0.7%. Net profit also declined by 0.3 percentage points. Despite these setbacks, the company maintained a stable debt-to-EBITDA ratio below 1, partly due to effective cost optimization measures. The company's wholesale market dropped by 4 percentage points, with a significant negative impact on margins due to high inflation and increased competition from discounters. Retail sales experienced a like-for-like decline of 4.3%, with margin compression of 1.2 percentage points. Growth platforms Duzy Ben and Frisco showed positive sales growth of 10% and 27%, respectively. However, due to ongoing market headwinds and uncertainties, Eurocash has withdrawn its previous guidance of achieving a PLN 1 billion EBITDA target for next year. The company remains committed to its strategic initiatives, including cost efficiency, retail transformation, and the growth of digital platforms, while acknowledging the challenges in the current market environment.
Cost Optimization Efforts
The company kept the increase of its cost base in check, with total costs up by 2.1% and a stable debt-to-EBITDA level of below 1, thanks to cost optimization measures.
Growth in Key Segments
Duzy Ben grew by 10% and Frisco by 27% despite the challenging market conditions.
DC 20 Project Success
The DC 20 project, aimed at improving operational efficiency and customer experience in Delikatesy Centrum stores, showed a 7% like-for-like sales increase.
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Eurocash SA (EUSHF) Earnings, Revenues Date & History
The upcoming earnings date is based on a company’s previous reporting, and may be updated when the actual date is announced
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
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EUSHF Earnings-Related Price Changes
Report Date
Price 1 Day Before
Price 1 Day After
Percentage Change
Nov 13, 2024
$2.11
$2.11
0.00%
Aug 28, 2024
$2.70
$2.54
-5.93%
May 10, 2024
$3.52
$3.52
0.00%
Feb 29, 2024
$4.22
$4.22
0.00%
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
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FAQ
When does Eurocash SA (EUSHF) report earnings?
Eurocash SA (EUSHF) is schdueled to report earning on May 09, 2025, TBA Not Confirmed.
What is Eurocash SA (EUSHF) earnings time?
Eurocash SA (EUSHF) earnings time is at May 09, 2025, TBA Not Confirmed.
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.