Slovak retailers have higher profit margins than Czech ones

Slovak retailers have higher profit margins than Czech ones, Finstat data show. Retail margin, the difference between price and cost of goods, was 29% in Slovakia and 26% in Czechia in 2021. After factoring in other costs, excluding labor costs, Slovak Kaufland has a gross margin of 21.8% and Czech Kaufland 17.9%. The same is the case for Tesco (20.7% vs. 15.9%), Billa (17.9% vs. 14.8%) and Lidl (17.6% vs. 17%). One of the reasons for higher retail profits in Slovakia is lower wages relative to sales.

(sme.sk)