(RTTNews) - Supermarkets operator Koninklijke Ahold (AHONY.PK: News ) reported Wednesday a 22% rise in its net income for the third quarter of 2009, reflecting a 4.3% increase in sales, as volumes grew in all markets. The company also announced the launching of a three-year cost control program ending 2012.

For the third quarter of fiscal 2009, net income increased 22.1% to EUR 238 million from EUR 195 million. On a per share basis, net income totaled EUR 0.20, compared with EUR 0.16 a year ago.

Income from continuing operations surged 27.8% to EUR 239 million from EUR 187 million. Operating income edged up to EUR 265 million from EUR 261 million in the three month period of fiscal 2008.

Net sales for the quarter improved 4.3% to EUR 6.04 billion from EUR 5.79 billion. On a constant currency basis, net sales grew 2.6% year-over-year.

Commenting on the results, John Rishton said, "Volumes grew in all markets with good sales performance in the U.S., reflecting ongoing investment in value for our customers. In the Netherlands, we continued to grow market share and again delivered a strong margin reflecting effective cost management."
Rishton said that the company has launched a new EUR 350 million cost cutting program for the three years ending in 2012 to reduce store expenses, supply chain costs, and overhead across the group.

For the year-to-date period, net income slid 20.8% to EUR 629 million or EUR 0.52 a share from EUR 794 million or EUR 0.65 a share in the prior year. Sales climbed 10.8% to EUR 21.12 billion from EUR 19.07 billion, and grew 4.5% at constant exchange rates.

AHONY.PK closed Tuesday's trading session at $13.60 on the OTC market.

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by RTT Staff Writer

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