METRO GROUP meets sales target for short financial year and confirms EBIT outlook

17 October 2013

  • 9M 2013: METRO GROUP's sales grow by 0.9% adjusted for portfolio changes and currency effects
  • Q3 2013: improved like-for-like sales trends across all sales lines, especially in Germany
  • Share of sales from online business, delivery, franchise activities as well as own brands increased
  • Divestment of Real Romania as well as METRO Cash & Carry properties in France successfully completed

In the short financial year 2013, METRO GROUP grew according to preliminary and unaudited figures its sales adjusted for portfolio changes and currency effects by 0.9% over the year-earlier period. In the 3rd quarter 2013, the sales growth net of portfolio changes and currency effects came in at 1.8%. "We have delivered what we promised in the short financial year 2013: We reached our sales target and can confirm our EBIT guidance", said Olaf Koch, Chairman of the Management Board of METRO AG. With regard to EBIT before special items the company expects to slightly exceed the prior-year's level of € 706 million. 

In the short financial year 2013, reported sales of € 46.3 billion came in slightly below prior-year due to the still difficult trading conditions in many parts of Europe, the sale of Real Eastern Europe and negative currency effects. Hence, reported sales of € 15.5 billion in the 3rd quarter were also slightly below prior-year. However all sales lines reported an improved like-for-like sales trend. "Especially the clearly positive like-for-like sales growth of 1.0% in Q3 2013 in Germany shows that we are on the right track with regard to the customer-centric realignment of METRO GROUP. We are well-prepared and confident for the upcoming Christmas trading period", said Koch. 

METRO GROUP 9M 2012 FY 2013 Q3 2012 Q3 2013
Sales (€ billion) 47.4 46.3 15.9 15.5
Change (€) 1.5% -2.2% 0.6% -2.1%
Change (in local currency) 1.4% -1.3% -0.3% -0.2%

METRO GROUP significantly increased the share of sales from the growth drivers online business, delivery, franchise activities as well as own brands in the short financial year 2013. "By doing so, we have become more relevant to our customers at every division and grew our market share sustainably in many relevant markets", said Koch. Two important events during the 3rd quarter 2013 included the successful completion of the divestment of Real Romania and the previously announced placement of the second tranche of French METRO Cash & Carry wholesale properties via a closed end real estate fund. 

Sales development at the sales lines in short financial year 2013

METRO Cash & Carry

During the period from January to September 2013, sales of METRO Cash & Carry dropped by 2.0% to €22.6 billion (in local currency: -0.6%). Adjusted for the divestment of MAKRO Cash & Carry in the United Kingdom, sales came in roughly at the level of the prior year period. In the 3rd quarter 2013, METRO Cash & Carry generated a like-for-like sales growth in Western Europe, Eastern Europe and Asia/Africa. Regarding the improved like-for-like sales trend, Germany showed the strongest increase. Overall, food sales were significantly positive. Negative currency effects influenced the development of sales especially in Russia, Turkey, India and Japan. In terms of delivery sales, METRO Cash & Carry generated a plus of almost 20%. Own brand sales were up by almost 20%. METRO Cash & Carry opened six new stores in the 3rd quarter 2013, of which four in China in late September. 

METRO Cash & Carry 9M 2012 FY 2013 Q3 2012 Q3 2013
Sales (€ billion) 23.0 22.6 7.8 7.8
Change (€) 2.1% -2.0% 0.8% -0.3%
Change (in local currency) 1.6% -0.6% -0.6% 2.7%
Like-for-like (in local currency) 0.5% -0.5% -0.1% 0.9%

Media-Saturn

At Media-Saturn, sales in the short financial year 2013 climbed by 0.6% (in local currency +1.0%). In the 3rd quarter, sales receded slightly by 0.1% (in local currency +1.0%). In Germany, Media-Saturn has returned to the growth path with a rise in like-for-like sales of 3.1%. Owing to the challenging market situation persisting in Southern Europe and in some countries of Eastern Europe the like-for-like sales growth in Western and Eastern Europe decelerated slightly compared to the 2nd quarter. Both multichannel sales at Media-Saturn as well as strong Redcoon sales growth led to considerable online sales growth of more than 70%. The number of new store locations opened in the 3rd quarter 2013 came in at six. 

Media-Saturn 9M 2012 FY 2013 Q3 2012 Q3 2013
Sales (€ billion) 14.3 14.4 4.8 4.8
Change (€) 2.0% 0.6% 1.4% -0.1%
Change (in local currency) 2.0% 1.0% 0.9% 1.0%
Like-for-like (in local currency) -1.4% -2.0% -2.4% -1.8%

Real

Real generated sales of €7.3 billion during the period from January to September 2013. The drop in sales of 8.3% (in local currency -7.9%) is mainly attributable to the fact that Real Ukraine no longer forms part of the scope of consolidation of METRO GROUP since 1 March 2013, Real Russia since 1 April 2013 and Real Romania since 1 September 2013. The divestment of Real Poland is expected to be completed in the further course of the year. Adjusted by the already completed portfolio changes sales dropped by 2.5%. In the 3rd quarter, Real generated sales of €2.3 billion following €2.6 billion in the year-earlier period. In Germany, the like-for-like drop in sales in the 3rd quarter improved significantly to -0.4% as compared to -2.5% in the 2nd quarter. This trend improvement was in particularly attributable to the high attractiveness of the own brand assortment. 

Real 9M 2012 FY 2013 Q3 2012 Q3 2013
Sales (€ billion) 7.9 7.3 2.6 2.3
Change (€) -0.4% -8.3% -1.5% -12.3%
Change (in local currency) 0.3% -7.9% -1.7% -11.3%
Like-for-like (in local currency) 0.3% -2.0% -1.6% -1.9%
Real Deutschland 9M 2012 FY 2013 Q3 2012 Q3 2013
Sales (€ billion) 5.8 5.7 1.9 1.9
Change (€) 0.0% -1.3% -2.6% -1.0%
Like-for-like (in local currency) 0.7% -0.5% -1.7% -0.4%

Galeria Kaufhof

At Galeria Kaufhof, sales receded slightly by 0.5% during the short financial year 2013. Like-for-like, however, sales grew by 0.9%. Also in the 3rd quarter, Galeria Kaufhof increased its like-for-like sales. The sales growth amounted to 1.1% like-for-like. 

Galeria Kaufhof 9M 2012 FY 2013 Q3 2012 Q3 2013
Sales (€ billion) 2.1 2.1 0.7 0.7
Change (€) 0.1% -0.5% 1.8% 1.1%
Like-for-like (in local currency) 0.0% 0.9% 2.8% 1.1%

Store Network Development

  31/12/
2012
New Store Openings / Acquisitions 2013 Closures / Disposals 2013 30/09/
2013
Change (absolute)
METRO Cash & Carry 743 +10 -1 752 +9
Media-Saturn 942 +20 -14 948 +6
Real 421 +4 -41 384 -37
Galeria Kaufhof 137 +0 -0 137 +0
Total 2,243 +34 -56 2,221 -22
METRO GROUP is one of the largest and most international retailing companies. In 2012 the Group reached sales of around € 67 billion. The company has a headcount of more than 280,000 employees and operates around 2,200 stores in 32 countries. The Group's performance is based on the strength of its sales brands which operate independently in their respective market segment: METRO/Makro Cash & Carry - the international leader in self-service wholesale, Real hypermarkets, Media Markt and Saturn - European market leader in consumer electronics retailing, and Galeria Kaufhof department stores.