What were Jerónimo Martins’ main financial highlights in 2025?
In 2025, Jerónimo Martins delivered solid financial performance and maintained a strong balance sheet.
Group sales reached €35,991 million (approximately €36 billion), EBITDA came in at €2,480 million, and net profit was €646 million. The Group ended the year with 147,709 employees and a market capitalisation of €12.7 billion on Euronext Lisbon. CAPEX totalled €1,197 million and the store count surpassed 6,500 locations.
EBITDA grew 11.1%, above sales growth, with the EBITDA margin reaching 6.9% – an increase of 22 basis points versus the prior year. Net earnings advanced 7.9% to €646 million. At year-end the Group held a net cash position (excluding capitalised operating lease liabilities) of €866 million, preserving the robustness of the balance sheet. Consolidated pre-tax ROIC stood at 20.1% (20.0% in 2024), with the banners protecting their returns on invested capital despite intensifying competition.
Cash flow in the year, before dividend payments, amounted to €537 million.
How did the banners perform in 2025, and what drove its results?
Performance across banners reflected disciplined execution in a challenging and competitive environment.
In the year it celebrated its 30th anniversary, Biedronka surpassed the €25 billion mark for the first time – sales grew 5.9% in złoty (7.5% in euros) with like-for-like growth of 1.9%. EBITDA increased by 9.8% (+8.1% in local currency), with the margin reaching 7.9% (vs. 7.7% in 2024). Performance across banners reflected disciplined execution in a challenging and competitive environment.To address low basket inflation, rising wage costs and weak food consumption dynamics, Biedronka focused on cost efficiency and additional productivity measures. Biedronka expanded beyond Polish borders for the first time, entering Slovakia, where it closed the year with 15 stores and one distribution centre, becoming the first banner in the Jerónimo Martins Group to internationalise itself.
In Portugal, Pingo Doce sales grew 5.3% to €5.3 billion, with a like-for-like increase of 4% (excluding fuel), fuelled by the ready-made food segment. The banner remodelled 52 stores, opened nine new locations, and closed one. Sales at Recheio grew 3.0% to €1.4 billion (LFL 3.0%), with Q4 sales increasing by 4.2%.
Local-currency sales for Ara grew 17.4% (LFL 5.8%), reaching €3.2 billion (+13.2% in euros). Ara expanded its network to 1,653 locations, including 225 openings and the integration of former Colsubsidio stores.
Hebe operated throughout the year in an environment marked by intense and increasing price competition, which led the banner to register deflation in its basket. Sales grew 5.7% in local currency (7.4% in euros, to €626 million) with LFL of 1.0%. Hebe opened 16 stores in Poland plus two in the Czech Republic.
What were the main market challenges in Poland, Portugal and Colombia in 2025?
Across markets, food consumption remained subdued, with households strongly focused on price and promotions. While food inflation was relatively low, cost inflation – particularly labour – remained elevated, intensifying competitive pressure.
In Poland, food inflation averaged 4.7% for the year (2.8% in Q4), with a downward trend observed from September onwards, with the price index falling to 2.4% in December.
In Portugal, as in Poland, consumers remained highly focused on price and promotions. Pingo Doce maintained its strong commercial activity and made significant progress in the conversion of its store network to the All About Food concept, strengthening its focus on ready meals and fresh produce. Food inflation averaged 2.8% in 2025 in Portugal.
In Colombia, households faced another challenging year. Ara maintained its very high promotional intensity alongside everyday low prices, operating with low basket inflation throughout the year, below the country's food inflation rate. Food inflation in Colombia averaged 5.2% for the year.
How much did the Jerónimo Martins Group invest in 2025, and how was that capital allocated?
In 2025, the Group's global investment programme totalled €1.2 billion. Two new distribution centres were started in Poland, one of them automated.
CAPEX was reported at €1,197 million, allocated to store openings, refurbishments, and logistics infrastructure across all geographies. In Colombia, sustainability-linked investment was also notable: the Group drew the final tranche of a €21 million IFC (World Bank) ESG-linked loan to support Ara's expansion with the construction of two distribution centres in the regions of Bogotá and Cali with EDGE-Advanced Green certification.
The Group also continued to increase the weight of sustainability-linked instruments in its financial portfolio, which reached approximately 29% at year-end. Three new sustainability-indexed loans were taken out, tied to objectives such as monitoring social impacts, waste recovery rates, and the implementation of a deposit return and recycling system in Biedronka stores.
Across the Group, €361.1 million was invested in employee recognition measures. Additionally, €40 million was endowed to the Jerónimo Martins Foundation for social support to employees, their families and, as a complement, to the most vulnerable groups of society.
How many stores did the Group open in 2025, and what does that say about its growth strategy?
The Group opened 448 new stores in 2025 – more than one per day – and refurbished 281, expanding its global network beyond 6,500 locations. The breakdown by banner reflects a clear strategy of geographic breadth and format diversification:
Biedronka made 152 net additions in Poland, plus 200 refurbishments and five new Biek micro-fulfilment centres (28 in total at year-end);
Ara in Colombia expanded to 1,653 locations, with 225 openings including integrated former Colsubsidio stores;
Pingo Doce opened nine new stores, and Hebe opened 18 (13 net additions), including two in Czechia.
The pace indicates that organic expansion – rather than acquisitions – remains the primary growth lever, with Colombia representing the most dynamic frontier for volume growth, while Poland continues to deepen market penetration and extend the network into Slovakia.
What is the proposed dividend or shareholder distribution relating to 2025 results?
The Board of Directors proposed to shareholders, at the general meeting scheduled for 26 April 2026, a gross dividend of €0.65 per share – an increase of approximately 10% compared to the prior year. In total, the proposal was to distribute €408.5 million. This represents a payout of approximately 50% of consolidated ordinary profit (or approximately 58% of consolidated net profit), excluding the effects of certain non-recurring items.
What were the main sustainability achievements and ESG priorities in 2025?
In 2025, Jerónimo Martins became the first multinational food retailer worldwide to achieve a triple A score from CDP across Climate, Water and Forests assessments.
The Group's scope 1 and 2 carbon emissions decreased by 18.4% compared to 2021 (the base year), and more than 2,700 locations are now equipped with photovoltaic panels. Over half of the Group's total energy consumption comes from renewable sources.
By year-end, Jerónimo Martins was listed in over 180 international sustainability indices, with 57 investors and analysts closely monitoring its ESG performance.
On the social side, around €91 million was allocated to direct support – both monetary and in-kind – to over 2,200 entities, and the Group allocated €40 million to the Jerónimo Martins Foundation, which aims to support employees and their families, as well as vulnerable social groups in the areas of social emergency response, health and education.
744 new Private Brand launches were registered across food distribution companies in 2025, targeting different lifestyles, needs and expectations, including dietary restrictions (lactose/gluten intolerance), active lifestyles, vegan/vegetarian and organic preferences.
How does the 2025 Annual Report address ESRS/CSRD reporting requirements?
The 2025 Annual Report is the Group's second full disclosure under ESRS/CSRD. The 2024 report was explicitly described as the first in which JM disclosed sustainability policies, practices and performance according to the CSRD requirements, replacing a fifteen-year-old five-pillar corporate responsibility structure.
The Group conducted its first double materiality assessment in 2023, in accordance with the preliminary version of CSRD/ESRS requirements, and reviewed it in 2024 in accordance with the final ESRS standards and EFRAG guidance published in May 2024. Of 145 Impacts, Risks and Opportunities (IROs) 10 were asesessed as material for the Jerónimo Martins Group, in accordance with its internal thresholds, namely the ranges applied in the corporate risk management processes.
The 2025 report continues to publish detailed ESRS indicator tables (covering ESRS 2 general disclosures and sector-specific standards such as E1 Climate Change, social and governance topics), uses the double materiality framework as its backbone, and aligns disclosures with EFRAG guidance. Sustainability-linked financing – at approximately 29% of the financial portfolio – further embeds CSRD ambitions into its business strategy.
What is the outlook for gross margin vs operating cost inflation?
Low food inflation combined with high cost inflation – particularly labour – continued to pressure margins in 2025. Despite this, banners protected profitability through cost discipline, productivity gains and volume growth.
Biedronka's experience was illustrative: basket inflation was low and turned negative in the final quarter of the year, yet EBITDA margin still improved to 7.9% from 7.7%, thanks to cost efficiency measures and additional productivity initiatives.
For Ara, the strong margin performance reflects not only sales growth, but also work initiated in 2024 to protect the gross margin and limit the impact of inflation on costs.
Looking forward, the Group's approach is to offset wage and operational cost inflation through volume growth (gaining market share), strict cost discipline, productivity gains and private brand investment. The Group's policy of everyday low prices creates structural pressure on gross margins, but high volume throughput and tight cost management are expected to compensate.
How much did energy savings and renewables contribute to cost efficiency?
Investment in renewable energy and energy efficiency continued to deliver both environmental and cost benefits.
The Group continued to invest significantly in installing solar panels across stores and distribution centres, replacing refrigeration systems with natural or low Global Warming Potential gases, and reinforcing responsible practices throughout the value chain. Despite expansion and strong sales growth, scope 1 and 2 carbon emissions decreased by 18.4% compared to 2021. More than 2,700 locations are now equipped with photovoltaic panels.
Over half of the Group's total energy consumption comes from renewable sources, rising to more than 60% when considering electricity consumption only. The renewable energy programme therefore serves a dual purpose: it reduces carbon emissions (helping meet ESRS E1 and science-based targets) and structurally lowers energy costs relative to grid-purchased electricity – a material efficiency lever for a Group operating over 6,500 stores with high refrigeration energy demands.
Where can I find the Forest Positive Report 2025?
Investment in renewable energy and energy efficiency continued to deliver both environmental and cost benefits.
The Group continued to invest significantly in installing solar panels across stores and distribution centres, replacing refrigeration systems with natural or low Global Warming Potential gases, and reinforcing responsible practices throughout the value chain. Despite expansion and strong sales growth, scope 1 and 2 carbon emissions decreased by 18.4% compared to 2021. More than 2,700 locations are now equipped with photovoltaic panels.
Over half of the Group's total energy consumption comes from renewable sources, rising to more than 60% when considering electricity consumption only. The renewable energy programme therefore serves a dual purpose: it reduces carbon emissions (helping meet ESRS E1 and science-based targets) and structurally lowers energy costs relative to grid-purchased electricity – a material efficiency lever for a Group operating over 6,500 stores with high refrigeration energy demands.