June 16 (SeeNews) - Greek toy retailer Jumbo said that it is postponing for 2022 the launch of its Romanian online store planned for this year following a reevaluation of plans prompted by the coronavirus health crisis.
The retailer also postponed the opening of a physical store in Greece for 2022, it said in a press release on Tuesday after a general shareholders meeting.
According to the retailer, the supply chain has been disrupted violently and balances of years have been overturned, creating the estimate that - if there is no spectacular change – 2021 and possibly 2022, will also prove to be 'lost years'.
The increase in the price of raw materials was one of the many parameters of the turmoil on the markets, Jumbo added.
Moreover, the retailer said, transportation costs have increased dramatically and are expected to continue to be significantly higher than the levels before the outbreak of the health crisis.
The company operated 80 stores in Greece, Cyprus, Bulgaria and Romania and two online stores in Greece and Cyprus at the end of 2020.
At the end of 2020, Jumbo employed 1,491 in 14 hyperstores in Romania's Bucharest, Timisoara, Oradea, Arad, Ploiesti, Pitesti, Constanta, Suceava, Bacau, Braila and Brasov.
In April, Jumbo said that it targets at least 11 new store openings in Romania in the next five years, expanding its network in the country to 25 stores.
Jumbo posted a gross profit of 84.4 million euro ($102 million) in Romania in 2020, compared to 75.4 million euro a year earlier. The retailer's sales in Romania amounted to 170.1 million lei in 2020, compared to 150.8 million lei the year before.
Jumbo's sales in Romania represented some 24,51% of the group’s 2020 turnover. The Romanian market generated 31.4% of its total earnings before taxes, financial and investment results.
($=0.8249 euro)