Belgian retailer Delhaize has reported better-than-expected second-quarter profit, and raised its sales and earnings forecasts for the full year.
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The company, which does most of its business in the US, posted earnings before interest and tax (EBIT) of €189.7m (US$212.0m), compared to €207.6m a year earlier. Analysts had expected, on average, EBIT down 9.7% to €187m, reported Reuters.
The retailer’s second-quarter sales fell by 12.5% to €4.6bn. Same-store sales at Delhaize’s US operations increased 0.7% in the second quarter. Sales at the company’s Belgian operations rose 8.7% to €911.9m.
Delhaize, which has been hit by tough conditions in the US market, said improving sales in the US and cost cuts would lead to higher-than-expected results this year.
The company said it now expects full-year sales growth of between 2.0% and 3.5%, compared to its previous estimate of 1.5-3.0%.
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By GlobalDataDelhaize also forecast a 15 to 20% rise in full-year earnings before goodwill and exceptionals, at constant exchange rates.
