Jeronimo Martins Q1 performance beat both our forecasts and the market’s expectations, as the top line and profitability outperformed. The Group’s lfl sales came in at +21.2% (+50bp vs consensus). Net income grew by 59.1% yoy to €140m (+16% vs expectations). We expect Biedronka to continue to gain market share, although the sales momentum is likely to moderate gradually. Ara’s momentum is slightly softer, but we do not see any structural issues. We maintain our positive stock recommendation.