D&S Fourth Quarter Results

SANTIAGO, Chile, Feb. 26 /PRNewswire-FirstCall/ -- Distribucion y Servicio D&S S.A. (NYSE: DYS; Latibex: XDYS) announces earnings for the fourth quarter and full year 2007.

Highlights Period January-December 2007

-- 23.7% increase in net profit to Ch$52.681 million (US$106.0 million)
representing 2.8% of revenues, an increase of 40 bp. in net margin
compared to the previous year.
-- 24.7% increase in EBITDA to Ch$157,451 million (US$316.9 million).
EBITDA margin increased 140 bp. to 8.3% of revenues.
-- Operating income up 38.0% to Ch$97,096 million (US$195.4 million):
Operating margin increased by 120 bp. to 5.1% of revenues.
-- Gross income up 7.7% to Ch$147,269 million (US$296.4 million). Gross
margin increased 90 bp. from 27.5% in 2006 to 28.4% in 2007.
-- Net revenues up 4.6% to Ch$1,905,780 million (US$3,835.4 million).
-- 5.9% nominal increase in total store sales, 3.9% nominal increase in
same store sales.
-- Financial debt as of December 31, 2007 amounts to US$1,103.0 million,
51.8% short term.
-- Net income for the period = Ch$8.08/share; Ch$484.79/ADR; US$0.98/ADR

Highlights IV Quarter 2007

-- 28.5% increase in EBITDA, which totaled $46,846 million (US$94.3
million). EBITDA margin increased 180 bp. to 9.0% of revenues.
-- Operating income up 35.4% to Ch$30,999 million (US$62.4 million).
Operating margin increased by 140 bp. to 5.9% of revenues.
-- Gross income up 8.8% amounting to Ch$147,269 million (US$296.4
million). Gross margin increased by 60 bp. to 28.2% of revenues.
-- New store openings: 13 new stores have been added compared to the
closing of the fourth quarter 2006. Of these, 7 are Express by LIDER
supermarkets, 4 Hiper LIDER hypermarkets and 2 stores of the new
warehouse concept, Superbodega Acuenta. All this accounted for a net
increase of 28,020 m2 of sales area, equivalent to an increase of 6.1%
in total sales area at December 31, 2007 compared to the same date in
2006.
-- Net income for the quarter = Ch$2.76/share; Ch$165.54/ADR; US$0.33/ADR

Figures in this report are expressed in US$ Millions, drawn from figures in Chilean pesos restated by the CPI at December 31, 2007 and converted into dollars using the observed exchange rate for the same date (1US$=Ch$496.89).

IV Quarter Consolidated Results

2007
Ch$ mn. US$ mn. % of Rev.
Sales 427,156 859.7 81.8%
Other Income 95,241 191.7 18.2%
Net revenues 522,397 1051.3 100.0%
Cost of sales 375,128 755.0 71.8%
Gross Income / Margin 147,269 296.4 28.2%
Recurring Operating Expenses 99,872 201.0 19.1%
Start-up Expenses 551 1.1 0.1%
Total Operating Expenses (SG&A) 100,423 202.1 19.2%
EBITDA 46,846 94.3 9.0%
Depreciation 15,847 31.9 3.0%
Total Operating Expenses 116,269 234.0 22.3%
Operating Income 30,999 62.4 5.9%
Financial Expenses (8,688) (17.5) -1.7%
Other Non-operating Income (Expenses) (2,942) (5.9) -0.6%
Monetary Correction 132 0.3 0.0%
Non-Operating Income (11,498) (23.1) -2.2%
Income before Tax 19,501 39.2 3.7%
Income Tax (1,509) (3.0) -0.3%
Minority Interest (4) (0.0) 0.0%
Income 17,989 36.2 3.4%
Amortization of Goodwill - 0.0 0.0%
Net Income 17,989 36.2 3.4%

2006
Ch$ mn. US$ mn. % of Rev.
Sales 422,399 850.1 83.1%
Other Income 86,194 173.5 16.9%
Net revenues 508,593 1023.6 100.0%
Cost of sales 373,240 751.2 73.4%
Gross Income / Margin 135,353 272.4 26.6%
Recurring Operating Expenses 98,616 198.5 19.4%
Start-up Expenses 271 0.5 0.1%
Total Operating Expenses (SG&A) 98,886 199.0 19.4%
EBITDA 36,467 73.4 7.2%
Depreciation 13,566 27.3 2.7%
Total Operating Expenses 112,452 226.3 22.1%
Operating Income 22,901 46.1 4.5%
Financial Expenses (6,307) (12.7) -1.2%
Other Non-operating Income (Expenses) 789 1.6 0.2%
Monetary Correction 1,214 2.4 0.2%
Non-Operating Income (4,305) (8.7) -0.8%
Income before Tax 18,596 37.4 3.7%
Income Tax 665 1.3 0.1%
Minority Interest (2) (0.0) 0.0%
Income 19,260 38.8 3.8%
Amortization of Goodwill - 0.0 0.0%
Net Income 19,260 38.8 3.8%

Var. %
Sales 1.1%
Other Income 10.5%
Net revenues 2.7%
Cost of sales 0.5%
Gross Income / Margin 8.8%
Recurring Operating Expenses 1.3%
Start-up Expenses 103.7%
Total Operating Expenses (SG&A) 1.6%
EBITDA 28.5%
Depreciation 16.8%
Total Operating Expenses 3.4%
Operating Income 35.4%
Financial Expenses 37.7%
Other Non-operating Income (Expenses) 472.8%
Monetary Correction -89.1%
Non-Operating Income 167.1%
Income before Tax 4.9%
Income Tax -326.7%
Minority Interest 140.8%
Income -6.6%
Amortization of Goodwill
Net Income -6.6%

For an extended version visit our website www.dys.cl

First Call Analyst:
FCMN Contact:

Source: Distribucion y Servicio D&S S.A.

CONTACT: Alejandro Droste, Chief Financial Officer, 56-2-484 7754,
adroste@dys.cl; Miguel Nunez S., Finance Manager Retail, 56-2-484 7754,
mnunez@dys.cl; or Loreto Bradford, Investor Relations Officer, 56-2-484 7757,
lbradford@dys.cl

Web site: http://www.dys.cl/

2008-02-26 18:36:50 0298948 PRNEWSWIRE