A modest growth in nominal retail sales is expected for 2017-2018, a trend linked to a stabilization of real consumer spending (+1.3% in 2017, +1.2% in 2018).
Retailers had a sound financial standing in 2016, backed by lowering debt and strong solvency (57%). This was achieved despite a continuous deterioration in profits as EBIT was down to 7% from 9.3% in 2011.
General retail must-have format and offer prevent the segment from major risks. Food & drugs are victims of overcapacity while experiencing rising indebtedness.