Wholesaler Metro Sees Sales Down 11.9% In Second Quarter
Wholesale giant Metro has reported a 11.9% drop in sales in the second quarter of its financial year, adding that it has come through the most recent lockdown phase 'resiliently' despite continued restrictions in the HoReCa sector.
The group noted that the drop in sales was largely due to a moderately strong Q2 last year, which was only 'slightly affected' by the imposition of pandemic-related government regulations.
The group posted sales of €5.1 billion for Q2 2020/21, with performance in Germany, France, Italy and Spain at 'above market level' and a 'continued positive performance' in Russia for the fifth quarter in a row.
Adjusted EBITDA for the period was €114 million, which was around €5 million lower than at the same time last year, Metro said.
“Since mid-March of last year, the effects of the pandemic have posed unprecedented challenges to numerous companies worldwide, and in particular to our HoReCa customers," commented Christian Baier, chief financial officer, Metro AG.
"This proves that Metro and our customers have consistently adapted to this special situation."
On an individual market basis, Metro's Germany operation was down 6.9% in the quarter, with its Rungis Express operation 'more severely affected' by restrictions, posting a 10.0% decline.
Western Europe sales fell by 21.5%, a 'significant decline' due to pandemic restrictions, while in Russia, sales in local currency were up 4.0%.
In Eastern Europe, sales in local currency were down 5.2%, although Ukraine, Romania and Turkey 'developed positively', the group said. Finally, in Asia, sales in local currency were down 3.1%.
“Although we currently have a challenging environment, our positive long-term view on the sector remains unchanged," added Rafael Gasset, Metro's chief operating officer.
"Thanks to our fine-tuned management of the pandemic and our advantageous competitive position, especially in core markets, we are well positioned. Not to forget our strong financial profile which further supports our business."