Revenues at French retailer Fnac Darty grew 1.9 per cent to €7.42bn during 2017, according to the group’s first set of annual results since the merger between Fnac and rival appliance and electronics retailer Darty last year.
Recurring operating income grew 23 per cent from €165m to €203m on a pro forma basis. In July French regulators gave Fnac the green light to takeover Darty in a deal that created one of the country’s biggest bricks-and-mortar retailers.
Fnac, which sells books, electronics and DVDs, was seeking to build bigger scale in order to better compete with the rise of online retailers such as Amazon. The integration of Darty is progressing quickly and as a result Fnac Darty said in its annual results it expects to achieve its objective of €130m in cost savings by 2018 – a year earlier than previously anticipated.
Alexandre Bombard, chief executive, said:
The 2016 results of Fnac Darty are very solid and show strong growth. All the indicators are green. The force of our business model and the robustness of our financial situation are essential assets at this time the group starts its history.