Jerónimo Martins (JMT) Q2 2025 earnings summary

Executive summary

• Sales grew 6.7% year-over-year to €17.4 billion in H1 2025, with EBITDA up 10.3% to €1.15 billion and net profit rising 6.6% to €269 million, despite muted food consumption, low basket inflation, and rising wages.

• Operational efficiency, productivity initiatives, and strong execution offset cost inflation and margin pressures.

• 196 new stores opened and 71 locations remodeled, including Biedronka's launch in Slovakia and integration of ~70 Ara stores from Colsubsidio.

• Maintained focus on price competitiveness and value, gaining market share across banners.

• Net cash position (excluding lease liabilities) stood at €213 million after €371 million dividend payment.

Financial highlights

• EBITDA margin improved to 6.6% (up 21 bps from H1 2024); EBIT margin at 3.4% (up from 3.2%).

• Net profit attributable to shareholders rose 6.6% to €269 million; EPS at €0.43.

• H1 cash flow outflow of €157 million, reflecting seasonality and supplier payments post-Christmas.

• Net debt at €3.8 billion; working capital at -€3.8 billion, reflecting strong supplier financing.

• Net financial costs increased to €158 million, mainly due to expansion and lease interest.

Outlook and guidance

• 2025 outlook confirmed with minor revision: Biedronka's remodeling plan reduced to 200 stores; Ara to open over 150 new stores and integrate ~70 acquired locations.

• CapEx for 2025 projected slightly above €1 billion, with continued focus on expansion and remodeling.

• Market volatility expected to persist due to geopolitical and socio-economic instability; focus remains on price competitiveness and margin protection.

• Hebe to open ~30 new stores in Poland, focusing on e-commerce and cost discipline.

• Pingo Doce to remodel ~50 stores and open ~10 new locations in Portugal.