SMU (SMU) Q1 2026 earnings summary

Executive summary

• Launched a new 2026–2028 strategic plan focused on growth, technology, and efficiency, with targets for 60 new store openings, 80% store upgrades, and expanded omnichannel presence.

• Revenue grew 2.1% year-over-year in Q1 2026, led by Unimarc (+2.6%) and sequential improvement in Alvi and Super10 formats.

• EBITDA increased 9.6% year-over-year to CLP 59,393 million, with margin expanding to 8.2%.

• Net income fell 90% year-over-year to CLP 420 million, mainly due to non-cash tax effects and restructuring costs.

• Online sales grew 19% and transactions by 20%, reflecting expanded omnichannel coverage.

Financial highlights

• Revenue reached CLP 722 billion in Q1 2026, up from CLP 707 billion in Q1 2025.

• Gross margin expanded by 20 basis points year-over-year to 32.0%, with gross profit up 2.7% to CLP 231 billion.

• Operating expenses rose only 0.5% year-over-year, below inflation, reflecting efficiency gains.

• Operating income increased 6.1% to CLP 27,157 million; EBITDA margin reached 8.2%.

• Net income dropped 90% year-over-year to CLP 420 million, mainly due to lower inflation adjustments affecting tax benefits and restructuring costs.

Outlook and guidance

• Revenue growth is expected to exceed inflation for the rest of 2026, with Unimarc outperforming and low-cost formats recovering.

• EBITDA margin is expected to remain in the 8–8.5% range, with Q4 likely at the top end.

• Strategic plan emphasizes growth, competitiveness, efficiency, and continued investment in technology and sustainability.

• No significant additional cost pressures anticipated beyond inflation, with efficiency measures offsetting freight cost increases.

• Cash flow from operations expected to recover in Q2 as non-recurring effects subside.