The company runs 68 PRIM stores and 3 wholesale companies as well as 17 BiT (Blisko and Tanio) franchise stores.
The company plans to develop the Prim Market store chain based on two main standardized formats, one with a sales floor area of 400 m² and the other smaller one of approx. 300 m². The 300m² format is located in smaller ones
towns, small and medium-sized towns, in the heart of local communities, i.e. at the market square, town hall, church, school. However, the larger 400m² format is located mainly in the center of larger cities. The stores have 15 to 25 parking spaces.
The main assumptions for the company's development strategy are:
✓ further development of the operating retail units of the Prim Market chain,
✓ acquisition related to the expansion of the existing retail network,
✓ construction of new commercial facilities based on owned investment properties, as well as lease of new facilities,
✓ further changes in cost policy,
✓ optimization of consumption costs through centralization of energy resources management,
✓ further centralization of purchasing and optimization of inventory management,
✓ successive increase in the number of recipients and maximization of turnover with existing customers.
In 2023, the company's capital expenditure amounted to PLN 7 million, including the value of investments financed with leasing contracts: PLN 1.45 million. At the end of 2023, the value of remuneration with overheads amounted to PLN 59,100.7 thousand. PLN compared to PLN 55,671.9 thousand zloty. (YOY increase by 6.2%.) In 2023, the company employed on average 872 people, i.e. 31 fewer than in 2022. During this time, SPS Handel opened 3 new PRIM stores: in Ostrówek, ul. Kolejowa 46, Raczki, Plac Tadeusza Kościuszki 27 and Soboklęszczu, ul. Płońska 1.
An increase in revenue is a profit
The company ended 2023 with a positive result. Ebitda for the entire company amounted to: PLN 15,569.9 thousand. PLN compared to PLN 25,318.9 thousand PLN in 2022 – y/y decline. by 38.5%. Revenues from the sale of goods amounted to PLN 512,253.0 thousand. PLN compared to PLN 504,264.9 thousand PLN (an increase of 1.6% y/y). The increase in the company's revenues was influenced by the growth in the retail segment – PLN 326,181.7 thousand. PLN compared to PLN 309,214.6 thousand PLN at the end of 2022 (+5.5%). The company recorded a decline in turnover in the wholesale units segment – PLN 171,611.6 thousand. PLN, (- 5.5%) – sales at the end of 2022 amounted to PLN 181,604.3 thousand. zloty. Gross profit amounted to PLN 6,719.0 thousand. PLN compared to PLN 17,528.4 thousand PLN in 2022 – decrease y/y. by -61.7%. Net profit amounted to PLN 5.1 million and PLN 13.9 million in 2022. The profit was allocated to other reserve capitals (funds). At the same time, the dividend from profit from previous years amounted to PLN 8.1 million. The company decided to allocate PLN 2 million from this pool to pay the shareholders of SPS Handel.
Savings, keeping an eye on costs
In 2023, the company recorded a significant increase in the costs of material and energy consumption (+19.2%). That is why the company invests in energy-saving equipment. Lockable refrigerated shelves were used to maintain a constant temperature, and traditional light bulbs were replaced with LED ones. The number of light points within the store was reduced, light points in the windows and neon lights at night were turned off. The company uses renewable energy sources. Installing photovoltaic panels allows you to reduce electricity bills, generate the energy necessary for the operation of the facility or become partially independent from the power grid. Proper management of the rotation and condition of goods allows you to reduce the seasonal assortment that requires refrigeration or freezing, e.g. ice cream, beer or drinks. At the same time, the appropriate number of products in the store/warehouse in relation to demand allows you to reduce the number of working devices and make real savings.