The Condis supermarket chain has adapted its commercial offer to the inflationary situation that Spain has been experiencing for more than a year and which has brought the CPI for food to 16.6% in February, the highest rate since 1994. “We have refocused on what the consumer asks forâ€, comments Manel Romero, president and general manager of the group. Customers try to save by buying more private label, which is cheaper on average than the manufacturer’s, and Condis still had room to grow in this segment, which already has a share of 41.4% in Spanish distribution, according to data from Kantar.
The banner has increased the number of references with its own brand, to the point of incorporating 200 new ones this year, with which the weight of this category in its sales as a whole has increased by 2%. This, together with greater promotional activity, has caused a drop in its gross margin, explains Romero. The company billed 773 million euros in 2022, 5% less than a year earlier. Romero attributes the reduction in income compared to the previous year to the sale of the business in Madrid –it got rid of 30 stores in August 2021–. Following this operation, Condis has focused its activity on Catalonia and Andorra, where it sells 3% more. The operating profit (Ebitda) has gone from 40 million euros in 2021 to 37 in 2022 and the net profit, from 35 million to 9 million, a decrease influenced by the income obtained from the sale of the establishments in Madrid two years ago. years and the logistics center of Montcada i Reixach in a sale operation
Condis has thus completed its first full year after the change of shareholders. The venture capital firm Portobello and the chain’s executive team bought 100% of the company from the Condal family in December 2021. After Portobello’s entry, Condis’ share capital is distributed among the management team (55% ) and the fund (45%), although the latter controls around 95% of the group’s own funds thanks to preferred shares –which are considered capital–.
Romero makes a positive assessment of this period – “we have met the objectives” – and maintains the plans to improve the network of 680 stores, in which he will invest some twelve million euros this year. The company also remains attentive to possible purchase opportunities to grow, beyond the openings that it can carry out organically. With a staff of 3,565 people –not counting the franchisees–, the forecast for this 2023 is to increase sales by 5% and reach 800 million in turnover.
