Grupo SBF, which operates Brazil’s top sporting goods chain in Centauro and has distributed Nike in the South American market since Dec. 2021, reported a 2.7 decline in adjusted Ebitda to 154,764,000 Brazilian reais (€29.6m) for the period ended June 30. Operating income declined by 25.0 percent to BRL $70,503,000 (€13.5m). Total net revenues rose by 30 percent to BRL $1.46 million (€279.4m) from BRL $1.12 million, with 32.2 percent generated through digital channels. During the period, the group was actively involved in implementing a new SAP system for its business units and migrating the organic flow from nike.com.br to its proprietary platform.
Centauro, which Grupo SBF is working to position more as a sports brand, generated a 25.5 percent increase in adjusted net revenue to BRL $789.0 million (€150.7m) and a 25.3 percent increase in adjusted gross profit to BRL $397.8 million (€76.0m). Omnichannel sales rose 32 percent to account for 17 percent of the segment’s direct sales. The gross margin was essentially flat at 50.4 percent. Over the previous 12 months, 14 stores were renovated to a new model, and 17 additional doors have opened. The inventory level was up 41.2 percent at the period end due to increased availability of products.
In the Nike Fisia distribution business, Nike’s digital channel sales increased 114 percent during the period. Total segment net revenues rose 36.3 percent to BRL $783.6 million (€149.7m) as gross profit increased 37.5 percent to BRL $285.2 million (€54.5m). Nike Value Stores represented 16.3 percent of all segment sales versus 16.7 percent in the comparable year-ago period. Wholesale equaled 52.2 percent of sales against 64.0 percent, as digital platform sales represented 31.5 percent of purchases against 19.3 percent. A 32.7 percent increase in Nike Value Store channel sales was attributed to corporate processes implemented throughout 2021 and optimization of assortments. Same-store sales grew 25.6 percent during the period.
