Ermes Cyprus: profit margin narrows

Ermes Department Stores plc, the retail division of the NK Shacolas Group, saw turnover drop to 242.9 mln euros in 2012, from 259.6 mln a year earlier, with after-tax profits reduced to 260,400, euros, compared to 1.4 mln in 2011.
Executive chairman Yiorgos Aniliades said that operating costs were reduced by 6.4% in 2012 but turnover also dropped and profit margins were reduced, due mainly to the economic crisis.
He added that the Eurogroup decision in March this year have created unprecedented troubles and challenges.
“We reacted with emergency measures and a further reduction in costs that has affected all stakeholders. However, our diversified portfolio also allows us the advantage of not depending on only one sector of the economy.”