Revenue up, profits down! SPAR Hungary’s mixed 2024 performance

In 2024, SPAR Hungary generated HUF 924.4 billion in net revenue, marking a 4.7% increase from the previous year’s HUF 882.7 billion. Other income also rose by 14.8%, reaching HUF 17.1 billion, up from HUF 14.9 billion.

However, expenditures grew at an even faster pace. The cost of goods sold climbed from HUF 547.3 billion to HUF 579.9 billion, a 6% increase. Consequently, SPAR’s profit margin shrank from 38% to 37.3%.

Operating costs continued to rise sharply. Marketing expenses reached HUF 12.1 billion, logistics cost HUF 7.5 billion, while other service-related expenses totaled HUF 94.8 billion.

Personnel-related costs increased by 13.1% to HUF 106.7 billion, reflecting the growing wage burden. In 2024, Spar employed 12,729 people, excluding franchise partner employees.

Thus, SPAR’s operating loss deepened significantly, from HUF 12 billion in 2023 to HUF 22 billion in 2024, an 83.3% increase. Similarly, the after-tax loss grew from HUF 18.3 billion to HUF 24.8 billion, a 35.5% deterioration.

SPAR opened two new supermarkets, in Békéscsaba and Hajdúböszörmény. Additionally, nine hypermarkets were renovated in cities including Budapest, Érd, Tata, Miskolc, Tatabánya, Kaposvár, and Zalaegerszeg. By the end of last year, SPAR’s network consisted of 347 stores, even after 23 store closures.

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