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Sales at Galeria Kaufhof grow by 0.4%, METRO GROUP
17 Aug '10
4 min read
Galeria Kaufhof stands its ground in a challenging market environment
In a challenging market environment on account of the poor weather conditions, Galeria Kaufhof again demonstrated its role as the concept and system leader in the German department store sector during the first half of the year.
In H1 2010, sales at Galeria Kaufhof grew by 0.4% above prior year's level to €1.6 billion. In like-for-like terms, sales were on prior year's level. Thereby, Q1 showed a better development than Q2 due to the Easter shift.
In Germany, sales at Galeria Kaufhof increased by 0.5% to €1.4 billion. The important and high-margin Easter business had a positive impact on Q1 in 2010, but was missing in Q2 compared to prior year. Additionally, the unusually cold weather in April and May had an adverse effect. These effects impaired the sales development of the important textile categories.
In Western Europe, sales were also almost on prior year's level and came in at €0.2 billion. In Q2, textile sales in this region also suffered from the cold weather and the Easter shift. Furthermore, changes in Belgian legislation regarding seasonal sales led to a revenue shift to July.
EBIT in H1 2010 increased significantly by €37 million to €-34 million. H1 2009 included special items of €25 million. Excluding special items, EBIT increased by €12 million. In Q2, EBIT before special items also increased from €-19 million to €-15 million thanks to an improved cost and inventory management. Usually, department stores in Germany only achieve a positive result in the fourth quarter.
In a challenging market environment on account of the poor weather conditions, Galeria Kaufhof again demonstrated its role as the concept and system leader in the German department store sector during the first half of the year.
In H1 2010, sales at Galeria Kaufhof grew by 0.4% above prior year's level to €1.6 billion. In like-for-like terms, sales were on prior year's level. Thereby, Q1 showed a better development than Q2 due to the Easter shift.
In Germany, sales at Galeria Kaufhof increased by 0.5% to €1.4 billion. The important and high-margin Easter business had a positive impact on Q1 in 2010, but was missing in Q2 compared to prior year. Additionally, the unusually cold weather in April and May had an adverse effect. These effects impaired the sales development of the important textile categories.
In Western Europe, sales were also almost on prior year's level and came in at €0.2 billion. In Q2, textile sales in this region also suffered from the cold weather and the Easter shift. Furthermore, changes in Belgian legislation regarding seasonal sales led to a revenue shift to July.
EBIT in H1 2010 increased significantly by €37 million to €-34 million. H1 2009 included special items of €25 million. Excluding special items, EBIT increased by €12 million. In Q2, EBIT before special items also increased from €-19 million to €-15 million thanks to an improved cost and inventory management. Usually, department stores in Germany only achieve a positive result in the fourth quarter.
METRO GROUP
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