The 100th anniversary year should be good for Migros in terms of turnover. The boss of the orange giant, Mario Irminger, expects an increase in sales. However, layoffs are expected to continue.
“Migros’ turnover in 2024 is expected to be higher than the 32 billion francs of the previous year,” Mario Irminger said in an interview published on Monday in CH Media newspapers. The boss of the orange giant expects operating results to be “as good, or even better, than in 2023”.
As a reminder, the major distributor presented a profit of only 175 million in 2023, one of its worst results. “A year ago, we had to carry out very significant special depreciation. This will no longer be the case this time. From a purely operational point of view, we are doing a little better in terms of profitability”, explains Mr. Irminger.
In 2025, however, due to the strategy of lowering prices, sales will be reduced by 500 million. “At the same time, we should sell more in volume. This means that supermarket sales should remain stable. Online sales in the non-food sector will continue to grow strongly,” assures the Migros boss. However, Migros will suffer significant losses this year following the sale of its specialist markets.
The orange giant began the biggest transformation in its history in 2024, announcing in February the elimination of 1,500 positions. Some 726 positions have already been lost so far. In his interview, Mr. Irminger suggests that there will be further layoffs in 2025.
Since January 1, the VAT exemption has been lowered from 300 to 150 francs in order to combat shopping tourism. Good news for the president of the general management of the Federation of Migros Cooperatives (FCM), who would however have liked an additional turn of the screw. “A reduction to 50 francs would have been ideal,” he says.
Migros is celebrating its 100th anniversary this year. On this occasion, the orange giant transforms its name into “Thank you” to “thank the Swiss population for their loyalty”, according to a press release published Monday. The logo will be partially adapted.
This article was automatically published. Sources: ats/awp
