21 September 2022
In the first half of the year MAXIMA GRUPĖ, UAB revenue increased by 10.3%, but to ensure good prices for customers, the Group's EBITDA was EUR 20 million lower compared to the same period last year. This was largely due to higher electricity costs, which were EUR 23 million or 96% higher. MAXIMA GRUPĖ decided to cover this electricity price shock at its own expense.
"We are experiencing unprecedented cost increases, and the price of purchasing our goods is rising. In the first half of the year, we also saw changing customer behavior, with customers buying less and opting for cheaper goods. Therefore, we made an important decision to cover the electricity costs in the first half of this year at our own expense and to maintain good prices for our customers," – says Mantas Kuncaitis, CEO of MAXIMA GRUPĖ.
MAXIMA GRUPĖ, which operates in the Baltics, Poland and Bulgaria, generated consolidated revenue of EUR 2.4 billion in the first half of the year, an increase of 10.3% compared to the same period last year (EUR 2.2 billion). Meanwhile, the Group's consolidated EBITDA (earnings before interest, taxes, depreciation and amortization) amounted to EUR 156 million, 11% lower than last year (EUR 175 million). The consolidated EBITDA margin was 6.5% (compared to 8% in the first half of last year).
The Group's consolidated like-for-like (LFL) retail revenues grew by 6.8% (or 7.6% at constant exchange rates), positive in all five markets.
Looking at individual markets, Lithuanian MAXIMA revenue grew by 5.7% and LFL revenue grew by 6%, Latvian MAXIMA revenue grew by 2.4% and LFL revenue grew by 3%, and MAXIMA in Estonia revenue grew by 3.4% and LFL revenue grew by 2.6%.
Meanwhile, in Poland, where the Group operates the STOKROTKA chain, revenue and LFL grew more strongly by 26.1% and 13.8% respectively (or 28.8% and 17.5% at constant exchange rates). In Bulgaria, the T-MARKET chain revenue grew by 16.6%, while LFL revenues increased by 6.7%. In both this country and Poland, the growth in revenues was driven by investments in the expansion of the store network.
After the peak in e-commerce last year, when the restrictions of the COVID-19 pandemic led to a significant growth in this segment, the Group's e-grocery revenues remained at a similar level compared to the same period a year ago. BARBORA, which operates in the Baltics and Poland, accounted for the largest share of revenues, while the e-commerce channels of STOKROTKA and T-MARKET also contributed. MAXIMA GRUPĖ continues to actively expand its e-commerce presence in Poland.
Investments in fixed assets amounted to EUR 50 million in the first half of this year (EUR 32 million in the same period last year). The largest investments were made in Polish and Bulgarian markets, where 41 new STOKROTKA and 7 new T-MARKET stores were opened.
In the Baltic countries, MAXIMA GRUPĖ continues its store renewal program, creating a unified standard and a more efficient store network. In Poland and Bulgaria, the focus is on organic growth and increasing the share of revenues from these markets.
Group companies continue to provide assistance to Ukraine and Ukrainian refugees. More than 650 Ukrainians currently work for MAXIMA GRUPĖ companies in five countries.
In May this year, MAXIMA GRUPĖ received an Environmental, Social and Governance (ESG) Risk Management rating of 21.7 from Morningstar Sustainalytics, an independent ESG rating leader. The Group is among the top 20% of companies in its sector. Sustainalytics assessed the Group's key ESG risks as negligible or low. This rating reflects the Group's commitment to ensuring the quality and safety of its products and services, improving its supply chain and adhering to good corporate governance practices.
Additional information
MAXIMA GRUPĖ operates the MAXIMA (in the Baltics), STOKROTKA (in Poland), T-MARKET (in Bulgaria) and BARBORA, an online grocery store operating in the Baltics and Poland.
MAXIMA GRUPĖ is part of the VILNIAUS PREKYBA group of companies. VILNIAUS PREKYBA, through other subsidiaries, manages investments in retail and pharmacy chains and real estate development and leasing companies in the Baltic States, Sweden, Poland and Bulgaria.
Contact person:
Tomas Digaitis
MAXIMA GRUPĖ Head of Communications and Sustainability
+37067436669
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