Swedish retailer ICA Gruppen has reported a stable third quarter with good profitability, driven by strong performance from the Rimi Baltic chain.
ICA Gruppen also experienced an increase in footfall across all four store formats, helping it grow ahead of the market.
Consolidated net sales for the quarter increased by 6.5%, reaching SEK 39.4 billion (€3.43 billion), while operating profit, excluding items affecting comparability, was slightly higher than last year at SEK 2.1 billion (€182.7 million).
ICA Sweden
ICA Sweden achieved stable performance with increased market shares and growth in e-commerce.
Price investments led to a weaker operating margin, partly offset by improved efficiency and lower costs, the company noted.
Operating profit at ICA Sweden amounted to SEK 1.2 billion (€104.4 million).
CEO of ICA Gruppen, Nina Jönsson, commented, “The third quarter provided volume growth, increased market shares in the quarter for all ICA’s store formats for a total of 12 consecutive months, as well as favourable profitability for the group as a whole, where Rimi Baltic had a really good quarter.
“Food prices remained stable, but prices continued to be of great importance. At the same time, we can see a degree of optimism among customers – who also consider values other than price. We continue to strengthen our joint offering at the same time as we are taking important steps in our sustainability work.”
Quarterly Highlights
The Rimi Baltic chain saw earnings growth of 38.3% compared with the same period in 2023, to SEK 297 million (€25.8 million), as it focused on efficiency enhancements, product range, and campaigns.
Apotek Hjärtat delivered another strong quarter with earnings of SEK 241 million (€21 million) and higher market shares.
E-commerce sales at Apotek Hjärtat now account for nearly 12% of its total sales.
ICA Bank generated sales worth SEK 738 million (€64.2 million), up from SEK 709 million (€61.7 million) in the year-ago period.
However, the bank’s earnings declined compared with the previous year due to high claims costs for ICA Insurance.
