Lower turnover for Delhaize Group in Belgium | RetailDetail

Lower turnover for Delhaize Group in Belgium

Lower turnover for Delhaize Group in Belgium

Belgian Delhaize Group's turnover has grown 15 %, of which only 2.2 remained after exchange rates, to 5.82 billion euro in the first quarter of 2015. Its Belgian like-for-like turnover dropped however.

Belgium slowly climbs back up

Belgian turnover dropped 2.4 % to 1.18 billion euro, while its like-for-like turnover dropped 2.8 %. Strikes after the announcement that the chain would close several Belgian stores were mainly the cause of the weaker results.

 

"We are implementing huge changes in Belgium, to revitalize Delhaize. Our first quarter results were impacted by price investments, discounts and marketing, but we have seen a steady turnover and market share improvement", CEO Frans Muller said.

 

Huge blow to net profit

Delhaize's American like-for-like turnover grew 2.5 %, while its total turnover grew 3.2 % to 4.36 billion dollars (3.9 billion euro). Excluding exchange rate fluctuations, Delhaize even grew 25.5 % in the US, thanks to the weak euro compared to the dollar. Southeast Europe managed a 5 % turnover increase to 768 million euro, but its like-for-like turnover did drop 0.8 %. The abysmal Greece economy is a burden on local turnover.

 

The group's underlying operational profit dropped 11.2 % to 173 million euro (including exchange rates), while its net profit even dropped 75.8 % to 36 million euro.

Questions or comments? Please feel free to contact the editors


“Urgent action needed against territorial supply constraints”

23/05/2018

(content provided by EuroCommerce) Speaking to mark the launch of the Benelux study on territorial supply constraints, EuroCommerce Director-General Christian Verschueren argued for the EU to act on big brands’ fragmentation of the European market.

Action owner 3i wants to keep chain after all

22/05/2018

Investor 3i wants to keep a hold of Action after all. Even though the owner made it seem like it was looking for a buyer, 3i now denies it.

Action owner wants to sell stake

18/05/2018

Action’s owner, investment firm 3i, aims to sell a part of the discount store chain next year. The Brits would want to sell a 35 % stake in the firm.

Belgian fund close to HEMA acquisition

09/05/2018

Belgian Core Equity holding is allegedly close to acquiring Dutch chain HEMA: a verbal agreement is apparently in place, all that is required are the signatures.

Walmart, not Amazon, will acquire Indian market leader Flipkart

07/05/2018

Despite Amazon’s attractive offer, Indian online retailer Flipkart has chosen for Walmart and (remarkably), Google owner Alphabet as the new owners of 75 % of Flipkart’s shares. The deal is said to be worth 15 billion dollar.

Alibaba's growth exceeds expectations

07/05/2018

Chinese retail group Alibaba has published better-than-expected quarterly results: turnover went through the roof, but its profit is under pressure because of increased investments.