Spain's DIA Group Posts €5bn In Sales In First Half
Spanish retail group DIA has posted gross sales under banner of €5.04 billion in the first half of the year, which is a 12% increase in local currency terms compared to the same period last year.
The retailer said that the growth was due to an 'ongoing improvement in the commercial offer at the company’s ten commercial banners in the countries in which it operates', as well as an 'ongoing investment in prices'.
In Iberia, sales were up 3.4% to €3.34 billion, with Spain seeing a rise of 3.7% to €2.94 billion. In Argentina, Brazil and China, the increase amounted to 26.7% in local currency.
“The sales trend accelerated in every market in Q2 2016, with positive comparable sales growth in the second quarter and year-to-date in all DIA countries despite the challenging business conditions," said Ricardo Currás, chief executive of DIA Group.
"The plans to improve the commercial proposition for our customers combined with significant price investments in a tough environment are paying off."
Commenting on its performance, Barclays European Food Retail Equity Research said, "Overall we are pleased to see the clearly positive Iberian LFL sales in 2Q following 13 quarters of declines, some of which were very significant. Management seems confident that positive LFL sales can continue for the coming quarters and that cash generation will continue to be strong."
© 2016 European Supermarket Magazine – your source for the latest retail news. Article by Stephen Wynne-Jones. To subscribe to ESM: The European Supermarket Magazine, click here.