In their basket: The Chinese filled the Brazilian market. Good news for Cossas Bahia
Between its economic and activity rebuilding process, the Bahia Casas Won the external power.
The arrival of more brands from foreign tools and electronics manufacturers, especially Chinese, helps to work at low prices and protect the margin – consumption with high interest rates and suffering from more traditional credit offer.
“The competition among the retailers is very rational. We don’t seem to be trying to rise or try to grow up,” said CEO Renato Franklin of Casus Bahia. Executive’s interviewer of this week’s episode In your basket.
Entrance of Chinese brands Newcomer Jovi from cell phonesHad a significant impact with low prices and innovative products. Franklin explained that “Brazilian V gains a little worse and preferred, as other countries are a little worse than expectation. Stress in Brazil gives us a little more negotiations.”
The executive said that it would have an impact on income by profitability: “The total income does not increase, because you sold the mobile phone to 9 899, now it sells for about $ 700. But in practice you will sell the same money to make the same money,” said Franklin.
Financial reconstruction and external recovery
This new offer comes at a time when Dynamic Cassas Bahia is dedicated to its financial restructuring. In 2024, the company went through A Extrajudial recovery process, re -negotiating with banksR new conditions for a $ 4.3 billion loan.
“The reconstruction of the debt we made last year was a decisive movement to take a short -term stress. We did not go to the judge to ask for a break, discussed with the lenders and approved the agreement, which gave us stability to focus on operation,” said Franklin.
This movement is very important to ensure that there are time and conditions to reorganize the company without immediate danger.
On the operational side, one of the main pieces of credit is the support of the credit, by the FIDC structure, it is less weighted on the balance.
Credit grant previously reached Million 600 million from $ 800 million to $ 850 million per month.
Franklin explained that “Credit is growing slightly more than expected. We have a record of 1 billion in Black Friday. All these are very relevant because it contributes to the company’s margin improvement.”
For Franklin, credit also plays a key role in brand expansion, as it expands the address market and creates a reliable customer base returning to new purchases.
Although I am still looking to do what I have to do, it is hopeful about the future of CEO Cassas Bahia in 2025.
“We want to continue on the way of operational capacity and cost reduction. It allows us to take advantage of the possibilities that arise in the challenge of challenging,” said Franklin.
