Expansion and acquisition doubles Profi business in H1

Growth is due to network expansion and the acquisition of the Albinuta supermarket chain last year, for €8 million from Lithuanian Maxima company.

The ratio of the nine Albinuta chain stores made up 20 percent of total turnover. By the end of 2008, the company targets €135-140 million in turnover.

The retailer’s operator, Profi Rom Food, has several investment projects this year, according to the company’s General Manager, Caius Crisan, for Business Standard. “As far as network expansion alone is concerned, we are to invest in excess of €10 million. However, this figure could increase substantially if need be,” he added.

Profi Rom Food is currently operating 42 Profi supermarkets in addition to the nine Albinuta stores.

Last year, the company posted some €110 million in turnover. Besides Profi, Louis Delhaize also controls the Cora hypermarket network in Romania.

Romania’s retail market is the second-largest in Central and Eastern Europe, worth €40 billion last year. It is expected to exceed €100 billion by 2010, according to Deloitte Romania consulting company.

Profi’s direct competitors on the discount retail segment are Kaufland, Penny Market, Plus Discount, and miniMax Discount, while Albinuta’s competitors are Mega Image, Ethos, G’market, Primavara, and Billa.