G. Masoutis: Increases in energy bring acquisitions and mergers of supermarkets

By George Lampiris

For intense pressures that will be faced by the smaller mainly – though not only – supermarket chains, with low profitability or negative results on the bottom lines of their balance sheet, he speaks in Capital.gr, the managing director of D. Masoutis SA, Giannis Masoutis. The result of these pressures will, according to him, pave the way for chain acquisitions. “2022 will be a year with several acquisitions for the whole market. There are many supermarket chains that show marginal results. However, with the turnover pressure presented for the whole market lately, but also due to the increase in energy costs that are “A very large burden factor for supermarkets, many businesses will be significantly pressured, as the increase in energy will be much greater than their profits. In essence, smaller businesses will be pressured, with the exception of some larger ones.”

Regarding the course of Masouti, the businessman states that 2021 closed exactly at the levels of 2020 in terms of turnover. We remind you that the supermarket chain recorded sales of 882.46 million euros in 2020. “At the same time, our profitability will increase. This is a success because on the one hand, sales in 2020 were upward for almost the entire market due to increased demand. for basic necessities, on the other hand, we had a lot of costs to deal with, which arose due to Covid-19, such as staff overtime and the wider inflated operating costs incurred by the pandemic. ”

More than 30 new stores in the 2022 plan

Regarding the expansion of the chain to other areas, Masoutis, having already taken a step in Patras, is expected to create new points of sale. “We are interested in the Peloponnese as a whole, but also in Southern Greece and of course Attica and the islands. The development plans of our network are focused outside the areas where we are already active”, points out G. Masoutis. The business plan is to grow mainly organically, planning to operate more than 30 to 40 new stores during 2022, without ruling out any acquisition if this becomes possible. According to Mr. Masoutis, the possibility of adding stores through some acquisition is not considered in these new stores.

In the frame of a new logistics center in Attica

Having recently proceeded with the sale of the logistics center that Masoutis had acquired through the acquisition of Food Supply in the area of ​​Markopoulos, which was small in area for the needs of the chain, it is currently investigating the construction of new large warehouses in Attica and of similar specifications to those he maintains in Kavalari. After the sale of its logistics in the capital, the chain now distributes nationwide from its central warehousing facilities in Kavalari, Thessaloniki. This is an area in which Masoutis invested 50 million euros in 2011 and has a total area of ​​62,000 sq.m.

Inventory of products in Kavalari to “block” the increases

At the same time, in order to face the wide wave of price increases that affects the market, the businessman points out that Masoutis, due to the fact that she has extensive storage space in Kavalari, Thessaloniki, has the ability to stock products that currently show higher increases and which she bought. before revaluations, to be able to hold prices. “We have the ability to store some products for a month or more, aiming to keep the upcoming wave of price increases as stagnant as possible.”

“In any case, we expect that in the next period there will be a stabilization of energy prices, which will normalize the overall picture of the market,” he concludes.