General merchandise stores are booming: TEDi exploded, Pepco tripled profits

According to data from the Central Statistical Office, in 2024, the turnover of domestic general merchandise stores exceeded 755 billion forints, which represents a 3.14% increase compared to 2023. Within this, the three market-leading chains were also able to grow – although not at the same rate.

Pepco operates 265 stores in Hungary and achieved sales revenue of 105.29 billion forints in 2024, which is a 10% increase compared to the previous year. Even more impressive was the increase in profits: after-tax profit nearly tripled to HUF 6.59 billion. Although the number of employees decreased, wage costs did not change, so efficiency increased.

KiK realized revenue of HUF 35.78 billion, which is still a third of Pepco’s revenue. However, profits fell: after-tax profit was HUF 1.18 billion in 2024, compared to HUF 2.3 billion a year earlier. However, the chain increased its number of employees and brought the monthly wage cost per employee to over HUF 400 thousand – even if it did not catch up with its competitors.

TEDi is currently the smallest player in Hungary of the three, but in 2024 it produced outstanding growth: its sales revenue more than doubled to HUF 8.3 billion. Even more remarkable is that the company turned a loss of HUF 4.29 billion into a profit of approximately HUF 660 million. The number of employees has almost doubled, and wage costs have also increased at a similar rate. TEDi is far ahead of the field in terms of monthly wage costs per employee: it is in the lead with a value of more than HUF 500 thousand.

Due to the financial reports of the three companies covering different periods, the data are not fully comparable, but trends are clearly visible: Pepco remains the market leader, TEDi is expanding dynamically, and KiK is showing stable but less spectacular growth. The changes in wage costs and employee numbers indicate that competition is becoming fiercer not only for customers, but also in the labor market.