Baumax sales in 2013 down five per cent

Net sales by the Baumax Group declined by 5.3 per cent to € 1.13 bn last year. The Austrian market leader’s sales in its domestic market were 2.6 per cent less than in the previous year, reducing its losses in Austria by 54.5 per cent to a deficit of € 153 mio. The group’s operating EBITDA was increased from around four million euros in the previous year to ten million euros.
Special items amounting to € 94 mio are not included in the EBITDA, however, meaning that the consolidated result is € -189 mio. The special items are used for further risk hedging.The majority of these relate to revaluations of the immovables in the subsidiaries in central and eastern European countries and the depreciation of old stock based on the restyling of the range envisaged in the restructuring plan, according to a company press release.
According to this information, the first quarter of 2014 exceeded the target with substantial increases in sales and earnings. Higher sales and revenue are expected among other things from the new webshop. The biggest loss-making stores in Turkey, Romania, Bulgaria and Croatia will also be closed or sold off by the end of the year. The company thus expects a marked improvement in results for 2014. Baumax intends to close loss-making outlets in Croatia.