With regard to payments to suppliers, all Companies establish terms in line with the applicable legislation in each of the countries where we operate and with industry practices, which consider the financial sustainability of supply chains. In addition, there are specific programmes aimed at smaller suppliers, as detailed below.
In the three countries where we have our main food distribution operations (Portugal, Poland and Colombia), which account for over 98% of the Group’s sales volume, we have specific tools in place to ensure efficient invoice processing and to prevent late payments, particularly with regard to SMEs (Small and Medium-sized Enterprises). These tools ensure compliance with the payment terms agreed with each supplier, namely: i) electronic communication (EDI) for receiving invoices and related documents from suppliers; ii) a web portal where suppliers have access to information, including the list of invoices to be paid, with notifications in cases where clarification or action is required so that corrections and/or adjustments can be made quickly to facilitate the payment process.
To provide flexibility in liquidity management to our food distribution suppliers, we offer our smaller food distribution suppliers confirming protocols with financial institutions. These protocols allow suppliers, who so choose, to receive payment before the agreed deadlines, with a cost associated with Jerónimo Martins’ credit terms and without affecting their credit rating. By the end of 2025, these programmes were implemented in Portugal, Poland and Colombia, reaching more than 200 suppliers in each country.
Our food distribution banners also have specific programmes that promote shorter payment terms for smaller suppliers.
In Poland, since the pandemic in 2020, Biedronka has reduced the payment period to a maximum of 21 days for producers with a turnover of less than 100 million złoty (around 24 million euros). In 2025, 273 suppliers benefited from this initiative, 13 more than in 2024.
In Portugal, two programmes have been implemented. The first aims to support small and medium-sized producers of perishable goods who are members of the Confederation of Portuguese Farmers (CAP). This measure, which is unique in the Portuguese retail sector, consists of bringing forward the payment deadline to an average of 10 days, instead of the 30 days provided by law for these categories, without any financial costs for the producer. Since 2012, the year in which this prerogative was made available, around 375 suppliers have benefited from this initiative. The second programme establishes a maximum payment period of 30 days without any discount for all small and medium-sized Portuguese companies certified by IAPMEI, the Agency for Competitiveness and Innovation. In 2025, all suppliers identified as certified Portuguese SMEs benefited from this initiative.
In Colombia, Ara has implemented the “Plazos Justos” (Fair Terms) programme to reduce payment terms for smaller suppliers. This initiative is aimed at micro, small and medium-sized companies and guarantees payment in less than 45 days, with the aim of increasing their cash flow and business productivity. In 2025, around 1,290 suppliers participated in this programme.
As mentioned above, in addition to our specific payment programmes for SMEs, our payment terms are agreed with all commercial suppliers and set based on the General Supply Agreement. These terms may vary depending on the type and size of the supplier and/or the category of products supplied. For example, suppliers of fresh produce have shorter payment terms than suppliers of slow-moving non-food products.
Payment terms are classified into three categories: i) less than 30 days, ii) between 30 and 60 days, and iii) more than 60 days. In all countries where we operate, the majority of commercial suppliers – more than two-thirds (equivalent to 72% of liabilities) – are paid between 30 and 60 days from the date on which the contractual or statutory payment period begins to be calculated. Information on the proportion of suppliers paid according to the average number of days is included in note 28.2.2. “Liquidity risk”.
Payments outside this range may apply to specific agreements with suppliers (e.g., as mentioned above) or in cases where additional information may be required before payment can be made (e.g., obtaining confirmation of the supplier’s new bank accounts).
During 2025, our Companies were not involved in any legal proceedings relating to late payments to commercial suppliers.