Delhaize Group (DEG), the Belgian international food retailer, announced preliminary unaudited results for the first quarter of 2013 and its decision to postpone its Capital Markets Day.
Underlying operating profit for the quarter was 214 million euros, a 13.7% increase compared to the first quarter of 2012 at identical exchange rates, and a 13.0% increase at actual exchange rates, resulting in an underlying operating margin of 3.9% (3.5% in first-quarter last year).
Quarterly revenues were 5.5 billion euros, an increase of 2.1% and 1.5% at identical and actual exchange rates, respectively. Organic revenue growth was 3.8%.
In the U.S., comparable store sales growth was 1.9% (3.0% including a +1.1% calendar impact), fueled by favorable weather conditions and continued good volume trends in the Food Lion repositioned stores and at Hannaford. This was partly offset by deflation which was however at a lower level than the previous quarter.
In Belgium, comparable store sales growth was 2.4% (0.6% including a -1.8% calendar impact) as a result of inflation and improved volume trends. In Southeastern Europe, revenues grew by 6.8% at identical exchange rates due to store openings, while consumer spending is under pressure in the region.
The company expects underlying operating profit of about 775 million euros for the full year 2013 at identical exchange rates.
The company said that it will disclose its full first quarter results on May 8, 2013.
In addition,the company said it has decided to postpone its Capital Markets Day, previously scheduled for May 8, 2013, until later in the year. This will allow the company to provide a more comprehensive update on its business and long-term strategy.
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