Jerónimo Martins Q1 profit falls 7% as customers stay “cautious”

Jerónimo Martins posted a net profit of €119 million in the first quarter, down 6.8% from a year earlier, even as sales rose 6.3% to €8.9 billion. The owner of Portugal’s Pingo Doce supermarket chain said the figures reflected a tougher backdrop for consumers and businesses.

In a statement, the group said “clients remained cautious on food spending” as costs rose, “particularly fuels”, and continued to favour low prices and promotions. EBITDA increased 8.4%, or 9% at constant exchange rates, to €572 million, with the margin improving by 13 basis points to 6.4%.

The company said the decline in net profit was due to the quarterly impact of interest costs and exchange-rate differences “linked to the capitalisation of leases”. Net financial costs rose to €99 million from €71 million a year earlier, which Jerónimo Martins said reflected a negative €5.5 million currency effect on euro-denominated leases in Poland, as well as the impact of its expansion programme.

By market, Polish discount chain Biedronka increased sales by 3.6% to €6.2 billion despite what the company described as substantial basket deflation and intense competition.

In Portugal, Pingo Doce sales rose 7.5% to €1.3 billion, while cash-and-carry chain Recheio grew 3.3% to €312 million after storms affected parts of the country and the HoReCa channel. In Colombia, Ara’s sales rose 23.6% in euro terms to €959 million.

Chief executive Pedro Soares dos Santos said geopolitical tensions had increased uncertainty at the start of 2026, affecting consumer behaviour and adding pressure to costs and supply chains. The group also said a €40 million additional allocation to the Jerónimo Martins Foundation, approved at its April 23 annual meeting, will affect second-quarter results, due on July 29.

Originally published at Eco.pt