Metro reported its profit attributable to the shareholders for the first-quarter rose to EUR232 million from the previous year's EUR124 million, with earnings per share improving to EUR0.64 from EUR0.34 in the previous year.
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"In the first quarter of 2017/18 we achieved a positive development in sales and EBITDA excluding earnings from real estate transactions, despite a lower number of sales days than in the previous year.
"In addition, Metro Wholesale's earnings were impacted in particular by the decline in sales in Russia and negative currency effects," said Chairman Olaf Koch. "Overall, we achieved our earnings targets in the first quarter and remain committed to our guidance for financial year 2017/18."
Earnings before interest, taxation, depreciation and amortisation, excluding earnings contributions from real estate transactions, for the first quarter of 2017/18 rose to EUR608 million from EUR565 million in the same period of the previous year. Reported EBITDA reached EUR608 million, flat with the prior year.
Sales for the first-quarter increased 0.2% to EUR10.11 billion from the previous year. The company reported like-for-like sales growth of 0.8% compared to the previous year performing solidly in a challenging market environment.
Metro Wholesale's delivery business and Real's online business continue to record significant growth: in the first quarter of 2017/18, Metro Wholesale's delivery sales increased by more than 28% compared to the previous year, reaching 16% share of total sales. Real's online sales grew by about 45% to 2% share of sales.
For financial year 2017/18, Metro expects to see a slight rise in overall sales, despite the persistently challenging economic environment.
The company aims for its growth rate to at least match the 1.1% growth achieved in financial year 2016/17. The main growth driver will be Metro Wholesale.
Metro expects the like-for-like sales development to slightly surpass the 0.5% growth delivered in the reporting year 2016-17. Metro Wholesale is expected to make a significant contribution to this growth.
Metro said it is confident of its ability to significantly improve earnings at constant currency.
It said it expects EBITDA excluding earnings contributions from real estate transactions to increase by approximately 10% compared to the previous year's result of EUR1.44 billion, with both segments contributing to the increased earnings. ■