Moody's has updated its outlook on the European retail industry to 'positive' from 'stable', as operating conditions for retailers affected by the pandemic starts to improve as a result of the vaccine rollout and easing of COVID-19 restrictions.
In food retail, Moody's said that demand will ease compared to prior lockdown highs, but a reduction in associated costs will support profitability in the sector.
Moody's is expecting adjusted EBITDA for the retailers it rates to rise by around 10% this year, compared to 2020, it said in a report, Outlook moves to positive as operating conditions improve.
