Strong sales growth for Carrefour

Carrefour achieved robust sales growth in 2023, thanks to strong progress for its private labels and online sales. Belgium is among the group’s outperformers, but still operates at a loss.

Satisfied customers

2023 was a strong year for the French retailer, as comparable sales grew 10.4 % to 94.1 billion euros and net profit grew 7.6 %. Carrefour points to the strong progress of its private label sales, which already account for 36 % of food sales (an increase by three basis point), and the 26 % growth of its e-commerce business to 5.3 billion euros in sales. The Net Promotor Score, which measures customer satisfaction – a key parameter for top executive Alexandre Bompard – rose by four basis points.

In France, the retailer was able to sharply improve its operating margin: on comparable sales growth of 4.7 %, operating profit went up 18.5 % thanks to cost savings and efficiency exercises. Carrefour’s market share remained stable.

Positive dynamics

The Belgian branch performed particularly strongly, with comparable revenue growth of 9 % in a competitive market. “After a difficult 2022, Carrefour is reaping the benefits of its recovery strategy, with key indicators in the green”, the press release reports. Volumes and market share are up, but the retailer is not yet making a profit here yet.

Dynamics were also positive in Italy (+ 3.1 %), Romania (+ 7 %) and Spain (+ 5.8 %). Polish sales were slightly under pressure due to falling consumer purchasing power and the impact of the war in Ukraine, while Latin American sales rose 23.5 % as operating result there fell due to costs related to the integration of Grupo Big.

The group is rolling out its Carrefour 2026 strategic plan and reckons that conditions will be slightly more favourable in 2024, with slowing inflation and a recovery in the purchasing power of European consumers. This year, the Belgian branch should also return to profitability, CEO Geoffroy Gersdorff points out in an interview with RetailDetail.