CEO Alexandre Bompard says commercial strategies and cost-cutting initiatives drove sales growth
Carrefour delivered resilient results in Brazil during the second quarter, marked by a return to sales growth and continued improvement in profitability. The retailer’s performance in the Brazilian market came despite a still-challenging macroeconomic environment, where high interest rates continue to weigh on consumers’ purchasing power and keep retail sector sales volumes in negative territory.
“Our commercial strategies and cost-cutting initiatives enabled us to grow sales and improve margins during the second quarter,” Carrefour CEO Alexandre Bompard said in a statement.
The French retailer generated €5.46 billion in sales in Brazil during the quarter, up 9% from a year earlier. On a comparable basis, excluding currency effects, revenue increased 0.4%, reversing the 0.8% decline recorded in the first quarter.
Atacadão, Carrefour’s cash-and-carry chain in Brazil, returned to growth, posting a 0.5% increase in comparable sales and outperforming the country’s cash-and-carry market as a whole. The company said sales volumes have stabilized since the beginning of the quarter.
In its conventional retail segment, comparable sales declined 0.6%, mainly reflecting the company’s deliberate slowdown in e-commerce sales of non-food products.
To strengthen commercial momentum in Brazil, Carrefour invested in targeted marketing campaigns and expanded its product portfolio, with particular emphasis on its Bulnez private-label brand, which now includes 200 products.
The company’s financial services division also delivered strong results in the second quarter, with its loan portfolio expanding 13% while revenue rose 8%.
Carrefour’s recurring operating income in Brazil reached €359 million in the first half of the year, up 5.8% from the same period in 2025. The recurring operating margin improved by 9 basis points to 4%, supported by cost optimization measures and operational efficiency initiatives.
On a consolidated basis, Carrefour reported a net profit of €54 million for the first six months of the year, reversing a €361 million loss recorded a year earlier. Sales totaled €39.4 billion, an increase of 1.7% year over year.
The company reaffirmed its full-year guidance, including expectations for higher operating margins, increased free cash flow generation and growth in earnings per share, supported by anticipated improvements in operating performance during the second half of the year.
*By Felipe Laurence, Valor — São Paulo
Source: Valor International
https://valorinternational.globo.com/