25 February 2022
The Weekly

El Palacio de Hierro ended the 2021 financial year with a year-on-year growth in sales of 46.4%, to 37,215mn Mexican pesos (€1,620mn). The company has thus exceeded the level of sales prior to the pandemic, with an increase of 6.2% compared to 2019. The company's accumulated operating flow (ebitda) reached 4,285mn pesos (€186mn), four times more than in 2020.



According to data from the National Association of Self-Service and Department Stores (Antad), the nominal increase in the sector's sales to same stores was 13% and 15% if total stores are considered. El Palacio de Hierro increased its sales by 36.4% in the fourth quarter. Only in the fourth quarter of the year did El Palacio de Hierro recovered the level of sales prior to the pandemic, with a year-on-year growth in sales of 36.4% and an increase of 20.7% compared to 2019. The company has accelerated its digital business in the last financial year; income through the online channel by 43% in 2021. In addition, the company has also diversified its income with the launch of the Palacio Contigo program, through which it reinforced digital sales. During the year, El Palacio de Hierro incorporated new product delivery options for its customers through its click&collect and pick-up network. Palacio de Hierro invested more than 2,000mn pesos (€87mn) in 2021 in the remodeling of its Perisur and Santa Fe stores, in addition to the start of construction of its new Coyoacán store within the Mitikha shopping center, to open during the third quarter of 2022.