The supermarket chain DIA has reduced its results estimates for the 2018 financial year on Monday due to the fall in sales and the impact of the Argentine crisis, and leaves the distribution of dividends in suspense for 2019, as announced in a statement sent to the CNMV. In parallel, on the stock exchange, the firm's shares plummeted more than 33% around 15 hours.
Specifically, the company has specified that its adjusted Ebitda (gross operating income) will be placed this year between 350 and 400 million euros, far from the 568 million obtained in 2017. In particular, has specified Ana Gomez de Renta 4, the forecast of the critical report published on Monday on Dia by JP Morgan already pointed to an Ebitda of 490 million euros. "In addition JP Morgan has enough weight to move the market: we have little news and these are bad," added the analyst.
Since DIA they have justified that the measures are adopted after «A review process» of the original forecasts for the closing of the current year, which will also force to make "adjustments to the financial statements" of 2017 with a "negative equity effect" that calculate around 70 million euros.
Gomez, of Renta 4, recalled that the new Ebitda forecasts can represent 63% less than the previous year and has recalled the series of factors that could be influencing in this case such as Mercadona competition in the Iberian Peninsula or the bad situation in two markets that are very relevant for the chain: Brazil or Argentina, the first due to the situation of its currency and the second due to the consequences of a strong transporters' strike in July. Specifically, it has predicted that the adjustment could be higher if this company has to amortize, as indicated by the CNMV, the possible losses from Argentina.
The Renta 4 analyst has not been optimistic about the immediate future of the company, although she has clarified that there is not much data available waiting for the Strategic plan of the quoted one, "scheduled for October that could be presented in November or December". For this reason, he regretted that "there is no discourse or voice to say what they are going to do" and the existence of negative estimates, of a bad environment.
The changes in the dome are accelerated
The board of directors of Dia has accepted the resignation of Ana María Llopis as non-executive president of the supermarket chain, position held since July 5, 2011, as reported by the company to the National Securities Market Commission (CNMV).
Specifically, Llopis announced on April 20 during his speech at the general shareholders meeting his intention to leave the company. "I will end my term as head of the board of directors in the capacity of president in 2019," said Llopis.
Llopis ceases to be president of the supermarket chain since this Monday, but will continue to serve as a director of the company until December 31 of this year.
On the other hand, the board of directors has appointed Stephan DuCharme as first vice-president, and will be in charge of replacing "provisionally" in his functions to Llopis until the next appointment of a new presidency.