1. News
August 11, 2022

Ahold Delhaize records 6.4% growth in net sales for Q2 2022

The company suspended its intention to offer a sub-IPO for bol.com in the second half of the year.

Dutch multinational retailer Ahold Delhaize has reported €21.4bn in net sales for the second quarter (Q2) of the fiscal year 2022 (FY22), up by 6.4% from the same period of FY21.

The company’s net sales for the quarter increased by 7.7% in the US and 4.2% in Europe at constant rates.

Ahold Delhaize saw an online sales growth of 6.1% and a 4.8% net consumer online sales rise at constant rates, driven by strong performance in the US during the three-month period.

The company’s operating income increased by 0.5% to €895m, while its underlying operating income dropped by 2.9% to €880m in Q2 2022.

Its operating margin fell by 0.2 percentage points (pts) to 4.2% and its underlying operating margin also declined by 0.4pts to 4.1% in Q2 2022, compared with the same period of the prior year.

Ahold Delhaize’s IFRS-reported net income in the quarter was €603m and its diluted earnings per share (EPS) were €0.60, up by 5.7% from a year earlier.

Ahold Delhaize president and CEO Frans Muller said: “I am pleased to report we had a strong second quarter. Our overall results confirm the strength and breadth of our brand portfolio.

“Our brands’ unparalleled understanding of customers, broad assortments and product offerings, as well as the stickiness of food-at-home consumption, are giving us the opportunity to play to our strengths and support customers in a challenging environment.”

Ahold Delhaize expects its underlying operating margin for FY22 to be at least 4.0%, in line with its historical profile.

The company also expects its underlying EPS to grow at a mid-single-digit rate relative to FY21.

Muller added: “Despite the expectation that challenging times remain ahead, I am confident that our brands are on the right path to support customers and deliver on our goals.

“Our half-year results exceeded our expectations. We have positive momentum going into the second half of the year.”