European grocery giants Metro, Delhaize and Ahold have bucked the retail gloom as better than expected second quarter sales lifted shares.
German retailer Metro, which operates the Real grocery chain as well as its eponymous brand, revealed in its second quarter results that international expansion helped to increase sales, leading it to post better than expected results for the six months to June 30. Group sales rose 7.1 per cent to 31.7 billion (£25.18 billion) – an improvement on Metro’s 6 per cent growth target for the year.
EBITDA before special items rose 7.2 per cent to 1.1 billion (£873.7 million), while international sales climbed 11.1 per cent to 19.2 billion (£15.25 billion).
Brussels-based Delhaize, which issued a profit warning last month, revealed its second quarter operating profit fell 8.3 per cent compared with the same quarter last year, excluding acquisitions and sales. But shares in the retailer, whose brands include Le Lion in Belgium and Food Lion in the US, rose after net income increased 43 per cent to 116.3 million (£92.3 million).
Shares also rose at Dutch retailer Ahold, whose fascias include Albert Heijn in the Netherlands and Stop & Shop and Giant in the US, when it beat analysts’ expectations. Net sales in its second quarter slid 0.8 per cent but increased 7.3 per cent at constant exchange rates.
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