- Falabella’s net income for the second quarter reached $390 million, significantly higher than the previous year’s $123 million and beating the estimate of $228.5 million.
- Total revenue was $3.41 billion, reflecting a growth of 9.4% year-over-year, surpassing the estimated $3.27 billion.
- Sales totaled $3.31 billion, representing a 10% increase from the previous year.
- Earnings before interest, taxes, depreciation, and amortization (EBITDA) was $506 million, marking a 45% increase year-over-year and exceeding the estimate of $474.4 million.
- The company posted a net profit of CLP364.3 billion for the second quarter.
- EBITDA for the second quarter was recorded at CLP472.7 billion.
- Market analysts show varied opinions with 5 buy recommendations, 7 hold, and 2 sell recommendations.
A look at Falabella Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 2 | |
| Growth | 4 | |
| Resilience | 3 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.2 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Analysts are optimistic about the long-term outlook for Falabella, a company providing retail services in Latin America. With a strong momentum score of 5, Falabella is showing robust growth potential in the market. This is further supported by a solid growth score of 4, indicating promising expansion opportunities. Additionally, the company has demonstrated resilience with a score of 3, suggesting the ability to withstand market challenges.
While Falabella scores moderately on value and dividend factors with scores of 2, its overall outlook remains positive based on the Smartkarma Smart Scores. The company’s diverse retail formats, including department stores, supermarkets, and financial services, position it well for long-term success in its operations across 7 countries. Investors may consider Falabella as a promising option for sustained growth and stability in the Latin American retail sector.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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