The profit of the Chilean retailer Falabella it would have decreased by 4.7% year-on-year in the second quarter due to a high benchmark and weak performance of the department store department.
Falabella, one of the largest companies in the field in Latin America, would have a profit of US $ 188.3 million for the period April and June, according to the median of estimates by five brokers.
After the poll of Reuters, the consulted parties stressed that the result would be affected in relative terms by a millionaire compensation payment received by the company in the second quarter of 2017 after serious flooding occurred in Peru.
Meanwhile EBITDA (profit before tax, interest, depreciation and amortization) would have reached 295,147 million pesos, a stable level compared to the same period last year.
"We plan a flat quarter, with the weakness in department stores remaining at the sales level, which would be offset by a good momentum from Sodimac Chile and the activities in Peru"Santander GCB said in a report.
Group sales Falabella, with operations in Argentina, Brazil, Chile, Colombia, Mexico, Peru and Uruguay would have risen 3 percent in the three months to June to an equivalent of US $ 3.501 million.
With the quarterly estimate, Falabella it would accumulate a gain of US $ 363.3 million in the first six months, a year-on-year drop of 3.4%.
In the midst of a challenging view of the market, the group's shareholders last week approved a capital increase of nearly US $ 760 million to promote the digitization process and to face the arrival of global giants to the region.