Dufry slashes 2018 sales target on weakness in Argentina, Brazil

Airport retailer Dufry on Monday cut its full-year sales growth target as markets in Brazil and Argentina deteriorated due to economic turbulence.

The Swiss company cut its 2018 organic sales growth forecast to 2-3 percent from the 5-7 percent it was still expecting after the first half of the year, a spokesman said.

For the first nine months, sales rose 4.6 percent to 6.6 billion Swiss francs ($6.57 billion), with organic growth of 3.1 percent.

A spokesman said currency devaluations in Argentina and Brazil had crimped the purchasing power of travelers. In those South American markets, he said, travelers from the two countries make up the bulk of customers, not tourists from elsewhere.

Dufry is a global travel retailer with operations in 64 countries. The company operates over 2,200 shops located at airports, cruise liners, seaports, and other touristic locations.