As expected, the rate of growth of spending in retail shops is slowly decreasing. This was also confirmed by May results of retail revenues, which grew by 7 % (including motor segment) year-on-year. This is the lowest figure from the beginning of the year. In our opinion, the effect of the early spring is slowly fading away. The early spring accelerated purchases of seasonal goods, such as clothing, hobby articles and building materials, and improved retail results achieved in previous months. The motor segment is also experiencing a strong boom, which, in May alone, achieved revenues 8.6 % higher than last year. Especially cars were selling well, while more expensive fuels made motorists save.The decrease in the growth rate has been registered by almost all groups of retailers, with the exception of the motor segment. Nevertheless, one cannot say that the trend has changed. It is rather due to the exhaustion of the effect of the early spring.
Our view:
In our opinion, the growth of revenues will remain strong and will also continue in the months to come thanks to a solid growth rate of real wages, lower unemployment rate and overall positive expectations of consumers. The double-digit growth rates, reported by retailers at the beginning of the year, will indeed repeat only exceptionally.