Toyseller Jumbo profits up 19.4% despite Greece slowdown

Greece's largest toyseller Jumbo posted on Tuesday a 19.4% rise in net profit for the full year to end June, thanks to the absence of windfall taxation this year.
Net profit rose to 94.6 mln euros from 79.2 mln euros in the year-ago period when profits were burdened by 20 mln euros in one-off taxes Greece has imposed to plug its fiscal shortfall in turn for a 110-bln-euro EU/IMF bailout.
The company said it would propose to shareholders a capital return of 0.17 euros per share.
Recession in Greece, which is seen continuing for a fourth year in 2012, and record high unemployment is hitting consumer spending in the country and retailers are feeling the pinch. In June, retail sales volume dropped by 11.4% year-on-year.
Jumbo said its gross profit margin slightly declined to 53.2% from 54% in the previous year, because of its move to absorb a series of sales tax hikes in Greece.
Earnings before interest, tax, depreciation and amortisation dropped 6.6% to 135 mln euros, while sales were almost flat at 490 mln euros.
Jumbo runs 54 outlets in Greece and Bulgaria, including 3 in Cyprus. It opened seven new stores during its fiscal year to end June and despite challenging conditions, it said it plans to add another six in Greece and Bulgaria by July 2012.
The stock has lost 21.9% so far this year versus a 44.5% decline for the Athens bourse's general index.