37
Joint
ventures
continued
JMR
Net sales
Operating income
Net income
Ahold
Annual Report 2011
Groupata glance
Performance
Governance
Financials
Investors
Performance by segment continued
Established: The first Jerónimo Martins
store dates back to 1792. Pingo Doce
was established in 1980
Joint venture with Ahold formed: 1992
Brands: Pingo Doce
Market area: Portugal, in Europe
Store formats: Supermarkets
Own brands include: Essentya, Pingo
Doce, Pura Vida, Electric Co, and
Ultra Pro
In 1992, Ahold partnered with Jerónimo Martins, SGPS, S.A. in the joint venture JMR, which is
headquartered in Lisbon, Portugal. Ahold holds 49 percent of the shares and corresponding
voting rights in JMR, and shares equal voting power on JMR's board of directors with Jerónimo
Martins, SGPS, S.A.
At the end of 2011, JMR owned and operated 371 stores in Portugal under the brand name
Pingo Doce. In 2011, the company opened nine stores and closed two.
In 2011net sales increased by 5.4 percent to €3.2 billion, driven by sales from new stores.
Sales growth was impacted by lower overall consumption in Portugal due to the euro crisis and
austerity measures. The company continued to focus on its commercial proposition, emphasizing
its own-brand and perishable products, and communicating about its competitive pricing.
In 2011operating income decreased by €8 million to €92 million and the operating margin was
2.9 percent. Adjusted for the net impact of the sale of real estate and impairments in 2011 and
2010, operating income decreased €2 million. Higher sales were offset by gross margin pressure.
In 2011, net income decreased €15 million to €32 million, mainly as a result of lower operating
income and provisions for tax contingencies.
More about Pingo Doce online:
www.pingodoce.pt
