Metro Group has posted sales of €45 billion for the first nine months of the year, a -1.2% decline on the same period last year, according to accounts just filed.
The German retail and wholesaling group’s domestic business posted sales roughly in line with last year (-0.3%), however its International (-1.8%) and Eastern Europe (-9.9%) both saw declines. Its Western Europe business was marginally up (+0.7%).
In Asia/Africa, however, the group posted a strong performance, with sales up 18.1% to €3.2 billion.
In terms of Q3, its Metro Cash & Carry operation posted a sales decrease of -1.3% in the third quarter of the year, while its Real hypermarket operation saw sales decline -8.2% due to the sale of its Real Eastern Europe business. In Germany, Real declined by -3.7%.
The period saw the group sell its Galeria Kaufhof business to Hudson’s Bay, a process that is still awaiting competition approval. It is expected to close in September 2015.
In a statement, Metro Group said, “For financial year 2014/15, Metro Group expects to see a slight rise in overall sales of continuing operations, despite the persistently challenging economic environment. In like-for-like sales, METRO GROUP foresees a slight increase that will follow the 0.1% gain in the previous year.”
Meanwhile, according to Bloomberg, Metro has agreed to buy Classic Fine Foods Group, a Singapore-based supplier of gourmet products, for as much as $328 million to expand its wholesale business.
Private-equity company EQT will sell the business for an enterprise value of $290 million and an additional payment of as much as $38 million depending on its performance. Classic Fine Foods distributes high-end items to hotels and restaurants in 25 cities, mostly in Asia.
© 2015 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.
