Ceconomy Q3 Sales Down - Quick Facts

Ceconomy AG (MTAGF.PK,MTTRY.PK) reported that its third-quarter sales declined 8.4 per cent on a currency- and portfolio-adjusted basis to around 4.1 billion euros, reflecting the effects of the Corona crisis and was exclusively related to the COVID-19 lockdowns in April and partly in May.

Adjusted EBIT was negative 45 million euros, compared to negative 43 million euros in the prior year.Savings from the reorganization and efficiency program also had a positive effect on earnings.

Adjusted EBIT was negatively impacted by the decline in sales in the stationary business due to the store closures in April in combination with a lower gross margin for the full quarter.

For the full year, Ceconomy now expects only a slight decline of total sales adjusted for currency effects compared to the previous year. In addition, the company expects an EBIT between 165 million euros and 185 million euros, not taking into account the earnings effects from companies accounted for using the equity method.

On Wednesday, Ceconomy said that it may reduce up to 3,500 full-time jobs in the next 24 to 36 months, primarily in foreign European countries, due to implementation of new operating model.

MediaMarktSaturn was also reviewing the store portfolio throughout Europe, due to drop in customer frequencies as a result of the COVID-19 pandemic.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
The U.S. Food and Drug Administration approved Boehringer Ingelheim Pharmaceuticals, Inc.'s Pradaxa (dabigatran etexilate) oral blood thinning medication for children. Pradaxa is the first FDA-approved blood thinning medication that children can take by mouth. The only other approved blood thinning medication for children is given by injection. Amazon.com Inc.'s two-day Prime Day event is happening now with more than 2 million deals on offer. The e-commerce giant's biggest shopping extravaganza of the year started June 21 at 3 a.m. EDT and runs for 48 hours, through June 22. Prime Day 2021 will feature the largest number of deals ever offered in the seven year history of the Prime Day Celebrations. New deals are being launched throughout The European Commission announced Tuesday that it has opened a formal antitrust investigation to assess whether Google has violated EU competition rules by favoring its own online display advertising technology services in the so called "ad tech" supply chain, to the detriment of competing providers...
Follow RTT