Retail Sales – June 2022. New data from the Central Bureau of Statistics

For comparison, in May 2022, retail sales at constant prices were 8.2 percent higher than the previous year, and down 1.7 percent month-on-month.

The Central Statistics Office reported that in June this year. In annual terms, the increase in retail sales (at constant prices) was recorded by units of the following groups: “Textiles, Apparel and Footwear” (by 13.2 percent), “Pharmaceuticals, cosmetics and orthopedic equipment” (by 10.9 percent) and “Food and beverages” and tobacco products” (down 7.9 percent). The largest drop in sales was seen by entities that trade in solid, liquid and gaseous fuels – by 12.6 percent.

In turn, construction and assembly production in June 2022 increased by 5.9 percent year on year, and compared to the previous month, it increased by 5.3 percent, the Central Bureau of Statistics reported. Analysts surveyed by PAP Biznes expected a 10.8 percent year-over-year increase in construction and assembly production, and a 10.3 percent monthly increase.

The Central Statistics Office reported that the share of online sales in retail sales (at current prices) in June this year increased to 8.6 percent from 8.9 percent in May.

Last month, compared to May this year. There was a 3.2 percent drop in the value of online retail sales at current prices. The decrease in the share concerned, inter alia, “textiles, clothing and footwear” (from 22.3 percent in the previous month to 21.7 percent), and “furniture, radio and household appliances” (from 16.7 percent to 16.4 percent). The increase in the share was recorded in the “Newspapers, books and other sales in specialty stores” group (from 21.9 per cent to 22.0 per cent).

The data pertains to commercial and non-commercial establishments employing more than 9 people.

“Weak data on retail sales in June (constant prices). A slowdown in annual dynamics from 8.2% to 3.2% (below the consensus forecast). However, the most striking is the decrease compared to the previous month.”- mBank economists wrote.

“Weak” data was also mentioned in Pekao Bank economists’ commentary. “Weak data on retail sales. In June it increased 3.2% y/y, which is clearly below expectations (about 6% y/y). No extenuating circumstances, June dynamics in each category were below our assumptions.” – We read.

“Retail sales in June clearly slowed,” PKO BP economists noted. “The sale of essential goods (food, cosmetics, medicine, clothes) is still on the positive side, supported by the influx of refugees, but the decline in real income is choking off consumer spending,” the bank’s economists wrote.