HeadwaterCompany strategiesBuild yours

Falabella

Four strategic priorities, Long-term growth

This new stage of growth has just begun
Grupo Falabella’s CEO letter, second quarter 2026

Four strategic priorities

Falabella runs department stores, Sodimac home improvement stores, Tottus supermarkets, Mallplaza shopping centres, and Banco Falabella across seven Latin American countries. Its strategy is to run them as one ecosystem, which 38 million customers use.

1

Deepen our ecosystem advantage

  • One ecosystem. Link its stores, bank, shopping centres, and apps into one ecosystem, where more interactions let it offer more relevant experiences and drive more frequent use.
  • Stores as hubs. Use its 568 stores and urban centres in seven countries as part of the digital offer, with click and collect.

August 2026

  • The ecosystem has 38 million customers and 22 million loyalty members, and more than half of customers use two or more of its businesses.,
  • Customers interact with the ecosystem more than 56 times a month on average, and more than half of orders are picked up by click and collect.

More than half of Falabella’s customers use two or more of its businesses

Falabella’s ecosystem had 38 million customers in the second quarter of 2026, and 22 million loyalty members. Customers interact with it more than 56 times a month on average.,

38mcustomersBanco Falabella+18.2%loan portfolioFalabella Retail+10.1%revenueTottus+10.7%revenueSodimac+3.8%revenueMallplaza95mvisits in the quarter

Figures for the second quarter of 2026, on the second quarter of 2025. Sodimac’s revenue grew 10.0% including Colombia and Mexico. The shoppers show customers moving between businesses; they are not a count.

Net debt fell from 8.6 times EBITDA to 1.3

Falabella’s net financial debt stood at 8.6 times EBITDA at the start of 2023. By the middle of 2026 it was 1.3, and S&P had raised it back to investment grade, ahead of what the company calls a new stage of growth.,

8.6×1Q238.2×2Q237.3×3Q236.5×4Q235.7×1Q244.7×2Q243.7×3Q242.6×4Q242.5×1Q251.9×2Q251.8×3Q251.3×4Q251.2×1Q261.3×2Q26

Net financial debt to EBITDA at each quarter’s end.

  1. Make the businesses feed each other.

    Falabella’s first priority is its ecosystem: more than half of its 38 million customers use two or more of its businesses. We recommend measuring how often customers cross between parts of your business, and planning for it, not only for each part alone.

  2. Fix the balance sheet before the next push.

    Falabella cut its net debt from 8.6 times EBITDA in early 2023 to 1.3, and won back an investment grade rating before announcing its new growth stage. We recommend treating financial repair as part of the plan, with its own measure, before stepping up investment.

  3. Say what each business is for.

    Falabella gives each of its five businesses its own proposition, from a mobile-first bank to a multi-specialist department store. We recommend a one-line purpose for each business in a group, so they grow in different directions rather than into each other.

Sources

  1. 1. Falabella S.A. (2026). Grupo Falabella results, 2Q26. Grupo Falabella investor relations, August 2026. investors.grupofalabella.com
  2. 2. Falabella S.A. (2026). Corporate presentation, 2Q26. Grupo Falabella investor relations, August 2026. investors.grupofalabella.com

Headwater is not connected with Falabella. Falabella, Sodimac, Tottus, Mallplaza, and Banco Falabella are trade marks of their owners. Updated 29 September 2026.

All company strategies