A study carried out by the Brazilian Confederation of Commerce of Goods, Services and Tourism (CNC) points out that the earnings, in light of openings and closings of places of business with employment relationships, resumed growing between January and June of this year. In all, 2,252 points of sale were opened in this period.
These figures represent the highest half-year earnings growth since the second half of 2013, in addition to being the second consecutive half-year increase. Even so, it is not yet a time for celebrations, as the small increase exposed the economy's loss of momentum and uncertainties concerning the materialization of investments by the industry.
Given the current scenario of slow economic recovery and caution in investments, the CNC has reduced the forecast for opening of points of sale in the Brazilian retail. The strikes in the second quarter of the year, the weak labor market, the devaluation of the Brazilian currency, the cost pressures imposed by the faster pace of regulated prices and, especially, the high uncertainty regarding the political climate are some of the main factors inhibiting investments.
The states of São Paulo, Santa Catarina and Minas Gerais, respectively, were the ones that had the most openings of new points of sale. Meanwhile, Rio de Janeiro accounted for 45% of the closings among the states that had negative results.
The Brazilian retail crisis began in 2014, when sales decreased for the first time in 11 years. In the following two years, the situation worsened, with the trade facing actual revenue losses. Thus, the industry accumulated a 20% decrease in sales volumes in those three years. The earnings, in light of opening and closing of establishments, reflected with some lag the decrease in sales, especially in the years 2015 and 2016 and, in the first half of the last year, when the industry accumulated the loss of 226,700 points of sale throughout the country.
Information The Brazilian Confederation of Commerce of Goods, Services and Tourism (CNC)