Lojas Americanas resumes expansion project and foresees opening 400 stores
Valor Econômico
Lojas Americanas expects to increase its sales at an average annual rate from 22% to 25% from the investment plan that foresees the opening of 400 stores between 2010 and 2013. The goal is to invest R$ 1 billion (US$ 581.4 million) in the period, an amount that, besides the expansion of the chain, will be aimed at the improvement of stores, logistics and technology.
In a teleconference with analysts, the Chief Financial Officer and Officer of Investor Relations of the group, Roberto Martins, said on Friday that, in view of the high number of store openings, the cost with the works should be lower than the observed in growth of the chain over the past three years, which will allow the company to recover the investment faster.
Lojas Americanas has already initiated the discussions with the National Bank of Economic and Social Development (BNDES) in order to seek funding for the project. As part of the arguments to receive the resources from the Bank, the company says the investment program will generate nearly ten thousand jobs.
According to Martins, after cooling down the growth goals at the end of last year, the company decided to resume the more robust investment plans between April and May, when the perspectives for the economy began to improve. He also said that the plan of organic growth does not rule out the possibility of acquisitions by the company. "The project is organic, but the acquisitions are always considered", he told the analysts.
The retailer saw its net profit in the third quarter grow more than five times compared to the same period of last year. The last line of the balance sheet went from R$ 6.7 million (US$ 3.9 million) to R$ 36.5 million (US$ 21.2 million). The net earnings of the company grew 20.5% going up to R$ 2.0 billion (US$ 1.16 billion). The earnings before interest, taxes, depreciation and amortization (Ebtida) had an increase of 9.8% and reached R$ 221.6 million (US$ 128.8 million).