Axfood's results in line with expectations

On Monday, it was time for Axfood to present its figures for the second quarter of 2018. Net sales amounted to SEK 12,221 million, which was marginal according to analysts' forecasts of SEK 12,383 million

" Axfoods delivered a strong new quarter with good growth Profitability Despite high comparative figures and the negative calendar effect of Easter, it was positive that all segments are showing good development, "commented Klas Balkow, CEO of Axfood, every quarter

"We have summarized record results for a second quarter, where Willys and Hemköp have strongly strengthened their results: strong growth in e-commerce has continued and as volumes increase, the burden of results is reduced. "

Comparable sales in the Axfood retail trade increased by 1.7%.

Operating income reached 4.5%, 0.2 percentage point higher than analysts' forecast of 4.3% according to SME Direct. According to Axfood, the margin of warm summer weather was favorable.

"The warm weather of the summer has affected the quarter in many areas and has benefited the market of cafes and restaurants, as evidenced by the strong growth of Axfood Snabbgross and the weather conditions that affected our sales ", writes Klas Balkow in the report. .

According to Klas Balkow, weather also affected crops and the supply of fruits and vegetables, which led to a sharp rise in prices in some product groups and also hampered sales.

"At the same time, we are seriously looking at the negative impact of the weather on Swedish food production," he writes.

Axfood's net profit amounted to SEK 422 million, 2% higher than the analyst estimate of SEK 414 million according to SME Direkt.

The report did not drop the market in flavor and the stock rose from an increase of 3.8 percent just before the report was released to less than 0.2 percent. one hundred and ten minutes after the presentation of the report.