January 9, 2019 / 6:03 PM / 10 months ago

Fnac Darty's sales to take hit from 'yellow vests' protests

A Fnac retail store which sells shop books, electronics and CD's is seen at the duty free area of Nice International Airport, in Nice, France, October 10, 2018. REUTERS/Eric Gaillard/Files

(Reuters) - Fnac Darty, the electronics and home appliances retailer, said on Wednesday the “yellow vests” protests in France and Belgium would have a negative one-off impact on year-end revenues in those countries.

The impact is estimated at around 45 million euros ($52 million) due to store closures and lower traffic caused by the protests, the company said.

Fnac also said that 2018 current operating income growth was also expected to take a hit.

Fnac Darty is the first French retailer to provide details of the financial impact of the protests which have hit Paris and other French cities as well as Brussels.

In December, the French Retail Federation estimated that the anti-government protests would have an impact of around 2 billion euros in lost revenue for French retailers.

Fnac Darty also said that the integration of home appliance retailer Darty, which it acquired in 2016, was going to plan and it reaffirmed its goal of 130 million euros in synergies at the end of 2018.

The group also confirmed its mid-term objectives of higher growth than its markets, and a current operating margin between 4.5 and 5 percent of sales.

The company will announce its final earnings numbers for 2018 on February 20 after the stock market close.

($1 = 0.8672 euros)

Reporting by Piotr Lipinski in Gdynia; editing by David Evans and Jane Merriman

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below