Md: + 15% net sales in 2020, confirmed 2nd in the discount
Development program with 47 new stores, 385 million investments in 2021
The Italian discount retailer Md closes 2020 with an increase in net sales of 15% compared to 2019. This is a result that significantly exceeds the average growth recorded by Nielsen for the retail discount (+8.7%). The company from Gricignano di Aversa, owned by the Podini family, is confirmed as the second discount brand with Italian capital, the third in terms of turnover. The cav. Patrizio Podini , in the press conference to present the results, however, pointed out "that they do not use the term discount, preferring to define themselves as convenient distribution". The share held by Md in the sector rose to 15.5% against 15.1% the previous year. Net sales for 2020 amounted to 2.816 billion euros, with a net profit of 68.5 million euros (+ 56% on 2019), and Ebitda of 6.47% equal to 182.243 million euros (+ 30.9% ). The pandemic did not stop the development of the network which complied with the forecasts of the beginning of the year with the opening of 39 new points of sale, including direct and affiliates, distributed in all Italian regions.
"The development program for the current year, even more ambitious, foresees 47 new points of sale - 35 direct and 12 affiliated - with sales areas of 1,000 / 1,500 square meters equipped with ample parking, as required by the format of the sign, and the restructuring of another 35", let the headquarters know. The completion of the new logistics center in Cortenuova (Bg) is also underway and will be operational at the beginning of 2022, with the inauguration of a first area for the handling of fresh products already by the end of June this year. The investments allocated for 2021 amount to 385 million euros, of which 95 are intended for the completion of Cortenuova which covers a total area of 270,000 square meters. When completed, it will become the most important logistics center in the discount sector, equipped with cutting-edge technologies and equipment for the handling of goods. The flagship is a fully automated 32 m high silos capable of storing up to 40,600 pallets.
Over 1,000 new hires were employed in 2020, bringing the number of employees to 8,500, operating in around 800 stores, in 8 logistics centers, in the two offices of Gricignano d'Aversa and Trezzo d'Adda. A further 800 new hires are expected for the current year. Between 2019 and 2020 there was also a significant development of no food e-commerce, started by Md since 2015. Currently MDwebstore.it records more than 300,000 subscribers and 500,000 average monthly visits.
"I am obviously pleased with the results", comments Patrizio Podini, president of Md SpA, "they arise from an experience shared with all customers and employees, in a dramatic period in which cohesion around the Md brand has grown, perceived as close and familiar, attentive and involved in the reality of the country and the territories in which our stores operate. We aim to grow to reach 1,000 stores in 5 years, exceeding 3 billion in turnover, through investments, innovation, rigor in choices, quality best price, without losing this spirit of solidarity that has allowed us to grow year after year".
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