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Retail

Metro AG Posts 2.4% Growth In Like-For-Like Sales In FY 2018/19

By Dayeeta Das
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Metro AG Posts 2.4% Growth In Like-For-Like Sales In FY 2018/19

German wholesaler Metro has posted a 2.4% growth in like-for-like sales in its financial year 2018/19, in line with its guidance range of 1% - 3%.

The company's total sales increased by 1.5% to €29.9 billion during the fiscal year.

It also reported strong fourth-quarter results with like-for-like sales up 2.5%, and a total sales growth of 3.9% to €7.6 billion.

'Fully Focused Wholesaler'

Olaf Koch, chairman of the management board of Metro AG, said, "In the past financial year, we accelerated our sales growth as a result of our transformation into a fully focused wholesaler. 

"Eastern Europe, excluding Russia, and Asia again saw strong growth. Western Europe, with the exception of Germany, has improved compared to the previous year."

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Regional Performance

In Germany, the company saw a marginal 0.3% growth in like-for-like sales, while in the rest of Western Europe like-for-like sales grew by 1.3%, driven by strong perfromance in France, Spain, and Portugal.

In Eastern Europe, barring Russia, sales grew 3.4% to €7.2 billion, while Asia saw a sales growth of 5.7% to €4.5 billion.

Growth Drivers

The wholesaler attributed its growth to strong performance in its HoReCa and trader channels.

The company's delivery business also grew successfully during the fiscal year, the company said.

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Metro's recently-launched B2B online marketplace, MetroMarkets, increased its offering to include around 65,000 non-food items from 70 partners within a span of one month.

Outlook

Confirming the company's EBITDA outlook for the financial year 2018/19, Koch added, "After the sale of the majority stake in Metro China, our core customer groups HoReCa and trader will account for 70%1 of sales. We are very satisfied with this strategic progress."

© 2019 European Supermarket Magazine – your source for the latest retail news. Article by Dayeeta Das. Click subscribe to sign up to ESM: The European Supermarket Magazine.

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