Strong earnings in all segments
President and CEO Klas Balkow’s comments on the second quarter 2018:
“Axfood delivered yet another strong quarter with good growth and profitability. Despite high comparison figures and the negative calendar effect from Easter, it was positive to note that all segments showed favourable performance. We summed up a record profit for a second quarter in which both Willys and Hemköp strongly improved their earnings. The strong growth in online continued, and with growing volumes comes a lower burden on earnings. ”
Second quarter summary
- Consolidated net sales amounted to SEK 12,221 m (11,925), an increase of 2.5%.
- Operating profit was SEK 545 m (487), an increase of 11.9%. The operating margin was 4.5% (4.1%).
- Net profit for the period was SEK 429 m (379), and earnings per share before dilution were SEK 2.01 (1.81).
- In June the online pharmacy Apohem was launched.
- Sara Kraft Westrell appointed as Axfood’s new Head of Corporate Communications and member of the Executive Committee. She will assume her position in October 2018.
First half summary
- Consolidated net sales amounted to SEK 23,665 m (22,564), an increase of 4.9%.
- Operating profit was SEK 980 m (884), correspond-ing to an operating margin of 4.1% (3.9%).
- Net profit for the period was SEK 767 m (688), and earnings per share before dilution were SEK 3.62 (3.28).
No significant events have taken place after the balance sheet date.
Welcome to today’s conference call where President and CEO Klas Balkow together with CFO Anders Lexmon will present the second quarter of 2018. The presentation starts at 2:00 p.m. CET and can be followed via axfood.se or by phone:
Sweden: +46 8 566 426 97, UK: +44 203 0089 807, US: +1 855 8315 947.
Axfood aspires to be the leader in good and sustainable food. Our family of companies includes the store chains Willys and Hemköp as well as Tempo, Handlar’n and Direkten. B2B sales are handled through Axfood Snabbgross, and our support company Dagab is responsible for the Group’s product development, purchasing and logistics. The Axfood family also includes Mat.se, Middagsfrid and Urban Deli as well as the partly owned companies Apohem and Eurocash. Together the Group has more than 10,000 employees and sales of nearly SEK 50 bn. Axfood has been listed on Nasdaq Stockholm since 1997, and the principal owner is Axel Johnson AB. Read more at www.axfood.se.