Brazil wholesaler Assai posts 76% increase in Q4 net profit

The logo of Assai, cash-and-carry division of Brazilian retailer GPA SA, is pictured next to the Brazilian national flag in Sao Paulo, Brazil January 11, 2017. REUTERS/Paulo Whitaker

Feb 21 (Reuters) – Brazilian wholesaler Assai (ASAI3.SA) posted on Monday fourth-quarter net income of 527 million reais ($103.26 million), beating estimates as store openings accelerated.

Net income rose 76% from a year earlier, above a Refinitiv consensus of 315.33 million reais. Net revenue grew 8.1% to 11.55 billion reais.

Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) rose to 911 million reais, beating the Refinitiv forecast of 897 million reais.

Brazil’s retail sector has been struggling with persistent inflation as higher prices have reduced purchasing power.

($1 = 5.1036 reais)

Reporting by Carolina Pulice; Editing by Richard Chang

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