Auchan Retail sees light at the end of the tunnel

After a particularly difficult period, Auchan Retail is showing the first signs of recovery. Despite a slight decline in its two main markets, sales are rising and profitability is improving, although there is still a long way to go.

Price investments and store closures

Auchan Retail reports sales of €32.1 billion for 2025, an increase of 1.5% compared to last year. EBITDA amounted to €1.025 billion, an increase of 16.1%, while the gross margin rose by 1% to €7.374 billion (22.9% of sales). Cost control is paying off. This is good news for the group after years of negative figures.

However, sales did decline in the retailer’s two largest markets. In France, sales fell by 0.5% to €16.4 billion, due to price investments and the closure of 36 stores. In Spain, the decline was 1.4% to €4.5 billion, also due to the closure of 15 unprofitable supermarkets. Progress was made in Portugal (+7.5%), Romania (+4.3%), and Poland (+1.1%).

Transformation plan

CEO Guillaume Darrasse is continuing with his transformation plan, which includes renovating the hypermarkets—which, according to the retailer, remain an important destination—strengthening the food offering with 2,600 additional references, further developing the private label, and expanding the omnichannel strategy with a new webshop in the second half of 2026.

For its French supermarkets, the group is counting on a partnership with the Groupement Mousquetaires, whereby the stores would be operated as franchise stores under the Intermarché or Netto brand names within a new structure.