Home / Knowledge / News / Textiles / Sales at Galeria Kaufhof grow by 0.4%, METRO GROUP
Sales at Galeria Kaufhof grow by 0.4%, METRO GROUP
17
Aug '10
METRO GROUP reported a robust development of business during the first half of 2010. The retail company thus continued the positive trend from the first quarter: sales and earnings increased again in the second quarter.

"The economic recovery trend is consolidating; METRO GROUP is developing from a solid basis. Even if the crisis is not over yet, we see clear silver linings on the horizon in an increasing number of countries", says Dr Eckhard Cordes, CEO of METRO GROUP.

In an environment that continues to be challenging, METRO GROUP raised its H1 sales by 2.4% to €31.2 billion. Positive currency effects also contributed to this result. EBIT before special items during the first half of 2010 rose by €67 million to €470 million. The efficiency- and value-enhancement programme Shape 2012 contributed materially to this result. Against the backdrop of the robust business trend reported for the first half of 2010 METRO GROUP raises the capital expenditure budget for this year by €0.2 billion to €2.1 billion – coming back basically to the level before the crisis set in.

"The increase of the capital expenditure budget is a sign of our confidence: we are focusing more on growth and expansion again – the period of caution is over", says Cordes. The company had continued to expand strongly already during the first half of the year: the sales divisions Metro Cash & Carry, Real as well as Media Market and Saturn opened a total of 28 new stores.

All sales divisions contributed to the robust business development in the first half of 2010. In addition, the turnaround programmes at Real Germany and Metro Cash & Carry Germany resulted in positive effects. A strong sales growth was again reported by Media Markt and Saturn who continued to further extend their market leadership. Real showed clear sales and EBIT growth despite numerous price reduction rounds. Galeria Kaufhof and Metro Cash & Carry stood their ground in a challenging market environment. At the same time, the strength of the international positioning of METRO GROUP in different economic regions that allows for a balanced growth potential was demonstrated once again.

From January to June 2010, METRO GROUP generated sales of €31.2 billion (H1 2009: €30.5 billion). This corresponds to a 2.4% sales increase. The sales development in H1 was thereby supported by positive currency effects. However, price effects contributed only to a very small extent to the sales development in H1. In local currency, METRO GROUP's sales grew by 0.6%. The sales development in Q2 2010 was marked by the shift of the Easter business. Q1 benefited from the earlier timing of the Easter business; for that reason Q2 saw a contrary development. Nevertheless, METRO GROUP's sales increased in comparison to Q2 2009. Sales in Q2 2010 grew by 2.4% to €15.7 billion (Q2 2009: €15.3 billion).

Sales in Germany in H1 2010 were slightly below prior year's level, especially due to store disposals, and declined by 1.4% to €12.2 billion. Adjusted for store disposals and divestments, sales were only 0.3% below H1 2009. Q2 was materially characterised by the shift of the Easter business. In addition, the unusually cold weather conditions in April and May impaired the sales development in several categories.


Must ReadView All

Decision in UK budget to attract investment in retail: BRC

Textiles | On 24th Nov 2017

Decision in UK budget to attract investment in retail: BRC

British finance minister Philip Hammond’s announcement in his budget...

Courtesy: Shangdong Ruyi

Textiles | On 24th Nov 2017

Shangdong Ruyi to acquire major stake in Bagir

Shangdong Ruyi Technology Group Ltd, one of the leading Asian global...

Chinese e-commerce firm JD.com invests $44 mn in Tiki.vn

Apparel/Garments | On 24th Nov 2017

Chinese e-commerce firm JD.com invests $44 mn in Tiki.vn

Chinese e-commerce firm JD.com has invested $44 million in Tiki.vn, a ...

Interviews View All

Top executives
Textile industry

The foremost issue is bridging the skill gap

DK Sharma
Velocity Apparelz

We constantly communicate with employees at all levels

Kamlesh Vaghela
RK Textiles

Very few machinery manufacturers have R&D units

Urmil Arya

Sushila International, a well established textile organisation established ...

C Dhandayuthapani

MAG Solvics Private Limited was established in 1991 to design and develop...

Abhishek Pachauri

Reckon Industries adapts latest systems for manufacturing from designing...

Eamonn Tighe
Nature Works LLC

Eamonn Tighe, Fibres and Nonwovens - Business Development Manager of...

Kevin Nelson
TissueGen

Kevin Nelson, Chief Scientific Officer, TissueGen discusses the growing...

Suresh Patel
Sidwin Fabric

Sidwin Fabric is a manufacturer and exporter of polypropylene textiles and ...

Pranav Mishra
Huemn

Designers Pranav Mishra and Shyma Shetty’s Huemn is known for its...

Madhu Jain
Madhu Jain

She grew up in the walled city of Old Delhi, completed her studies, and...

Tony Ward
Tony Ward

"You have to truly understand what your client wants, know her needs, what ...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

November 2017

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
68.5%
No
12.4%
Skip
19.1%

Total Votes: 89

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
61.8%
No
30.3%
Skip
7.9%

Total Votes: 89

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
86.5%
No
10.1%
Skip
3.4%

Total Votes: 89

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
80.9%
No
9.0%
Skip
10.1%

Total Votes: 89


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search