Delhaize Group Reports Operating Profit Increase of 5.7% in the Third Quarter of 2009
NOV 5, 2009 - 02:15 ET
FOR: DELHAIZE GROUP
BRUSSELS, BELGIUM--(Marketwire - November 5, 2009) -
+-------------------------------------------------------------------+ | Financial Highlights Third Quarter 2009 (at identical exchange | | rates) | |-------------------------------------------------------------------| | » Revenue growth of 1.9% (4.8% at actual exchange rates) | |-------------------------------------------------------------------| | » Comparable store sales evolution of -1.3% in the U.S. while | | volume trends continued to improve for the third consecutive | | quarter | |-------------------------------------------------------------------| | » Strong comparable store sales growth of 4.6% in Belgium, | | resulting in a significant market share increase | |-------------------------------------------------------------------| | » Solid operating margin remained stable at 4.6% (increased to | | 4.7% at actual exchange rates) | |-------------------------------------------------------------------| | » Operating profit increase of 2.1% (5.7% at actual exchange | | rates) | | | |-------------------------------------------------------------------| | Upgrading guidance range | |-------------------------------------------------------------------| | » Solid year-to-date results support the increase of operating | | profit growth expectations to be between 1% to 4% instead of 0% | | to 3% (at identical exchange rates and including the 53rd week in | | 2008) | | | | » CEO Comments | | | | Pierre-Olivier Beckers, President and Chief Executive Officer of | | Delhaize Group, commented: "In the third quarter of this year, | | Delhaize Group demonstrated once again its ability to operate | | successfully in a challenging environment. While, as expected, | | price pressure in the U.S. continued to impact sales, we were | | encouraged to see that targeted promotions and outstanding store | | execution resulted in improving volume trends for the third | | consecutive quarter. In addition, Delhaize Belgium realized an | | outstanding sales performance supported by its ongoing price | | efforts and by a very successful marketing campaign. This | | resulted in the largest market share jump in a number of years. | | Also, our Greek operations maintained strong momentum and posted | | solid results." | | | | "At the same time, our operating margin remained strong due to | | continued improvements in inventory management, the strength of | | our private brand program and effective cost management. We are | | on track with our plans to improve our cost structure by EUR 100 | | million this year." | | | | "Although we are mindful of the volatile environment, we remain | | confident in our operating companies' resilience and our plans | | for the rest of the year. Our results for the first nine months | | of the year give us the confidence to upgrade our earlier | | communicated guidance of 0 to 3% operating profit growth to 1 to | | 4% at identical exchange rates and including the 53rd week in | | 2008." | | | | » Contacts | | | |Guy Elewaut: + 32 2 412 29 48 | |Geert Verellen: + 32 2 412 83 62 | | | |Amy Shue (U.S. investors): +1 704 633 8250 (ext. 2529) | |Barbera Hoppenbrouwers (media): + 32 2 412 86 69 | | | +-------------------------------------------------------------------+
This announcement was originally distributed by Hugin. The issuer is
solely responsible for the content of this announcement.
Press release in PDF format: http://hugin.info/133961/R/1352749/327400.pdf
Copyright © Hugin AS 2009. All rights reserved.

Printer Friendly Copy