Edeka Nord Sees Solid Sales Growth In FY2020
Edeka Nord has reported a 13.9% year-on-year growth in consolidated sales to €3.5 billion in its financial year 2020. Its consolidated profit amounted to €34.0 million.
The company attributed this growth to strong sales in its wholesale and meat processing divisions, driven by the pandemic.
Independent merchants of Edeka Nord reported a like-for-like sales increase of 9.6 % during the financial year.
'Challenges Of The Corona Pandemic'
Stefan Giese, managing director of Edeka Nord, said, "Thanks to the structure of our cooperative business model, we were able to react innovatively and flexibly to the challenges of the corona pandemic.
"Negative consequences were particularly evident from the severe restrictions in the numerous tourist areas and the closed catering areas in the markets. However, we have jointly assumed the responsibility and presented ourselves as a reliable grocer in the region."
Turnover in Edeka Nord GmbH meat processing plant amounted to €366.6 million for 2020, up from €334.0 million in 2019.
The company's new intralogistics system became fully operational, enabling the retailer to supply poultry and fresh fish via the meat plant.
Edeka Nord generated a turnover of €279.4 million from direct operations, registering a year-on-year decline of 12.3%.
In 2020, Edeka Nord employed around 4,472 people. It opened nine new stores, relocated six and expanded eight outlets during the year.
In 2021, Edeka Nord plans to invest in advanced logistics and modern IT infrastructures to improve efficiency.
It is also pushing ahead with the privatisation of Edeka Nord SB-Warenhaus GmbH and the integration of the Real stores into its operations.
It aims to strengthen independent entrepreneurs and is continuously developing sales concepts.
The retailer intends to open new outlets under the Naturkind brand in the medium term.
The company has adopted a comprehensive sustainability strategy, which will see the retailer switch to renewable energy to meet its energy requirements at all logistics centres.
It is also strengthening its organic product range and expanding collaboration with regional farmers in a long-term and sustainable manner.