Royal Ahold posts positive second quarter results
Amsterdam - Royal Ahold enjoyed a good second quarter, the Dutch supermarket chain said in its quarterly report released on Tuesday.
Consolidated net sales amounted 6.4 billion euros (9.13 billion dollars), higher than the 5.78 billion euros during the same period in 2008 but lower than the 6.55 billion euros analysts had expected.
Compared to the second quarter of 2008, net sales increased 11.5 per cent or 3.9 per cent at constant exchange rates.
Ahold said its European market share grew by providing customer value while retaining profit margins.
In the Netherlands, net sales increased 7.8 per cent to 2.2 billion euros.
Store closures in the Czech Republic and Slovakia however resulted in lower net sales of 383 million euros, a drop of 6.8 per cent or 0.7 per cent when adjusted for exchange rate differences.
The Dutch food retailer said investments in price and promotions by its US supermarkets Stop & Shop and Giant-Landover were instrumental in increasing local market share.
Net sales of Stop & Shop/Giant-Landover amounted 4.1 billion dollars, up 2.8 per cent, in the second quarter. By contrast, lower gasoline prices resulted in lower net sales that were down 0.4 per cent, for Giant-Carlisle. (dpa)