Ahold Delhaize reports solid third quarter performance with continued momentum
November 17 2016 - 12:44AM
Ahold Delhaize reports solid third
quarter performance with continued momentum
- Net sales increased by 64.2% to €13.9 billion (up
64.6% at constant exchange rates)
- Net income increased by 24.9% to €236 million (up
25.3% at constant exchange rates)
- Pro forma net sales increased by 2.6% to €14.5
billion (up 2.9% at constant exchange rates)
- Continued strong online sales growth, with pro
forma net consumer sales up 25.1% at constant exchange rates
- Price pressure from ongoing deflation in the U.S.
offset by volume growth
- Pro forma underlying EBITDA margin of 6.4% (Q3
2015: 6.3%)
- Pro forma underlying operating margin of 3.5% (Q3
2015: 3.5%)
- Integration is on track, detailed updates at
Capital Markets Day in London on December 7, 2016
Zaandam, the
Netherlands, November 17, 2016 - Ahold Delhaize, a leader in
supermarkets and e-commerce with market-leading local brands in 11
countries, today published third quarter results.
Dick Boer, CEO of Ahold Delhaize, said:
"We are pleased to announce a solid performance in our first full
set of quarterly results since completing our landmark merger in
July.
"Despite challenging conditions in
certain markets, Ahold Delhaize has delivered growth in sales and
in underlying operating income on a pro forma basis which reflects
the strength and resilience of our great local brands, as well as
our continued focus on delivering cost efficiencies across our
businesses while driving top-line growth.
"Customers again responded positively
to our brands' continued commitment to quality, innovation and
service across our markets. In the Netherlands, we achieved a
seventh consecutive quarter of volume growth driven by the
continued strong momentum at Albert Heijn. Customers valued its
innovative proposition and promotional campaigns. Our online
businesses bol.com and ah.nl also delivered another quarter of very
strong sales growth. In Belgium, we generated savings from the
Transformation Plan, with an almost doubling of our pro forma
underlying operating income. In Central and Southeastern Europe,
Ahold Delhaize grew comparable store sales in Greece and Romania
and improved margins.
"The trading environment in the U.S.
remained challenging with ongoing price deflation and competitive
pressures in the market. The program to improve the customer
proposition at Ahold USA, together with the strengthening of
the Stop & Shop store network in the New York Metro area
resulted in volume growth. At Delhaize America, both Food Lion and
Hannaford continued to experience positive comparable sales and
volume growth. Third quarter sales growth was impacted by increased
retail price deflation, mainly at Food Lion as a result of a more
intense competitive environment. Food Lion continued with its
"Easy, Fresh & Affordable" initiative which performs according
to plan.
"Ahold Delhaize made significant
progress in our first quarter together and we are continuing to
carry out our post-merger integration plans. I look forward to
presenting these with more detail at our Capital Markets Day on
December 7th in London."
Ahold Delhaize Analyst Presentation
Q3 2016_161117
Ahold Delhaize Interim Report Q3 2016_161117
This
announcement is distributed by Nasdaq Corporate Solutions on behalf
of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely
responsible for the content, accuracy and originality of the
information contained therein.
Source: Ahold Delhaize via Globenewswire
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