Cencosud (CENCOSUD) Q1 2025 earnings summary

Executive summary

• Defined a new global purpose and marked the passing of founder Horst Paulmann Kemna, emphasizing customer-centricity and leadership transition.

• Incorporated Makro and Basualdo in Argentina, expanding Cash & Carry operations and focusing on integration and synergies.

• Acquired control of Vopero, strengthening circular fashion and exclusive product offerings.

• Opened three new The Fresh Market stores in the US and launched the first Liquor Store in Florida.

• Appointed a new General Manager for Cencosud Brazil to drive operational improvements.

Financial highlights

• Consolidated revenues grew 7.1% year-over-year to CLP 4,140,808 million, with strong growth in Chile, Argentina, and the US.

• Adjusted EBITDA margin reached 9.5%; Adjusted EBITDA grew 13.7% in Chile, 17.6% in Peru, and 154.6% in Colombia YoY.

• Net Distributable Income improved to CLP 100,058 million, mainly due to lower inflation impact in Argentina and higher net income.

• Gross margin improved to 29.7% from 29.3% YoY; Adjusted EBITDA margin expanded by 68 bps to 9.3%.

• Online sales, Retail Media, and Private Labels saw robust growth, with online sales up 8.8% YoY.

Outlook and guidance

• Focus on profitable growth, optimizing store portfolio, and capturing synergies from recent acquisitions.

• 2025 investment plan of USD 610 million is on track, focused on store openings, real estate, and digitalization.

• Continued expansion of The Fresh Market and new store formats, including Liquor Stores in the US.