French retailer Carrefour Group (0NPH.L, CRRFY.PK, CRERF.PK) Thursday said its sales for the first quarter, including value added tax or VAT, grew 1.3 percent from last year, driven by continued international growth, notably in Latin America.
International sales improved 3 percent to 11.55 billion euros at constant exchange rates, with an organic growth of 3.5 percent.
In Latin America, sales climbed 13.9 percent to 3.97 billion euros at constant exchange rates, with organic growth of 14.0 percent. According to the firm, negative impact of currencies accelerated the quarter due to the depreciation of the Brazilian Real and Argentine Peso against the euro.
The world's second-largest retailer by sales after Wal-Mart Stores, Inc. (WMT) said Group consolidated sales for the quarter, including VAT, was 20.83 billion euros, up 1.3 percent at constant exchange rates, and organic growth was 1.9 percent.
At current exchange rates, including petrol, sales decreased 1.3 percent from last year.
Quarterly sales in France declined 0.7 percent to 9.29 billion euros, with a negative calendar effect of 1.1 percent. The company noted that all three formats, hypermarkets, supermarkets and convenience stores, posted a resilient performance amid a challenging economic environment and despite unfavorable weather conditions. Petrol sales had a positive 0.3 percent contribution to sales.
Sales in the other European countries reflected unfavorable consumption environment, while Belgium was an exception, where sales continued to grow, the company said.
Organic sales in Asia were broadly stable, with a positive calendar effect estimated at 0.8 percent. In China, expansion continued and organic sales improved 2.4 percent.
In early March, Carrefour reported a sharp increase in profit for full year 2012, reflecting mainly capital gains from disposals, lower income tax, and a drop in non-current income and expenses. Annual sales increased in emerging markets, particularly Latin America.
In Paris, Carrefour shares closed Wednesday's trading at 20.63 euros, down 2.51 percent.
For comments and feedback: editorial@rttnews.com