Dufry (SIX: DUFN) 1Q19 Results: Higher Depreciation Costs Weigh on Operating Margin, Maintains FY19 Guidance

Executive Summary

• Dufry reported 1Q19 total sales of CHF 1.88 billion, up 3.4% year over year and above the consensus estimate of CHF 1.86 billion recorded by StreetAccount.
• The company reported diluted EPS of CHF (2.20), compared to CHF (0.89) reported in the prior year’s quarter and below the consensus estimate of CHF 1.06.
• Dufry maintained its earlier mid-term organic growth guidance of 3-4%, and equity free cash flow generation in the range of CHF 350-400 million for 2019.