Tuesday, May 16, 2000
Royal Ahold, the food provider, generated consolidated sales (excluding VAT) over the first quarter (16 weeks through April 22, 2000) of Euro 11.0 billion, a rise of 18.1% over the 1999 first-quarter.
United States: sales up 5.0% to USD 6.4 billion
In the United States, sales increased by 5.0% to USD 6.4 billion, largely attributable to strong identical sales growth at Stop & Shop and Giant-Landover. The other U.S. chains also contributed to sales growth. Sales of U.S. Foodservice will be consolidated as of the second quarter.
Europe: sales up 11.0% to Euro 3.2 billion
In Europe, sales rose 11.0% to Euro 3.2 billion. In The Netherlands, sales were 8.2% higher and other European countries (Portugal, Spain, the Czech Republic and Poland) also contributed significantly to the sales rise. Sales of the ICA Group will be consolidated as of the second quarter.
Latin America: sales up 44.9% to Euro 1.1 billion
In Latin America, sales surged by 44.9% to Euro 1.1 billion, mainly reflecting the consolidation of La Fragua in Guatemala. In addition, Bompreo in Brazil, Disco in Argentina and Santa Isabel in Chile generated higher sales.
Asia: sales total Euro 103.3 million
In Asia, sales amounted to Euro 103.3 million, a decrease compared to the 1999 first quarter caused by the divestment at the end of last year of activities in Singapore and China.
Outlook full-year 2000
Sales and operating results are expected to improve further in all trade areas through healthy autonomous growth and acquisitions. Net earnings will rise strongly. Including the acquisition of U.S. Foodservice and excluding currency impact, it is now expected that earnings per share growth for the full-year 2000 will rise from the 15% projected earlier to 17-20%.
Editors' note: Full results for the first quarter of this year will be announced June 7, 2000.