Ahold Delhaize kicks off with good momentum; both Ahold and Delhaize Group report strong Q2 results
(Thomson Reuters ONE) -
* Ahold underlying operating income of ?355 million, up 8.0% at constant
exchange rates
* Delhaize Group underlying operating profit of ?247 million, up 12.1% at
constant exchange rates
* Ahold Delhaize merger effective on July 24, 2016
* Pro-forma historical quarterly segment data to be published on October 6
* Ahold Delhaize combined Q3 results to be published on November 17
* Capital Markets Day on December 7 in London
Zaandam, the Netherlands, August 25, 2016 - Ahold Delhaize today published
Ahold's second-quarter and half-year report for the period ended July 17, 2016,
and, as an appendix, Delhaize Group's summarized second-quarter and half-year
report for the period ended June 30, 2016.
The company, a leader in supermarkets and e-commerce with 22 market-leading
local brands in 11 countries, was formed from the merger of Ahold and Delhaize
Group. The merger was effective on July 24, 2016, after the end of both
companies' second-quarter reporting periods.
CEO comments
Dick Boer, CEO of Ahold Delhaize, said: "We have started our new chapter as
Ahold Delhaize with good momentum, with these two strong sets of pre-merger
results. Building on our solid financial foundation, common values and great
local brands, we are driving ahead with full energy to deliver even more for
customers and communities, associates and shareholders. We look forward to
continuing to shape Ahold Delhaize, with a strong commitment to delivering great
food, value and innovations for customers across our 11 markets, both in stores
and online."
Pro-forma adjustments
Starting from the third quarter of 2016, Ahold Delhaize will report its
quarterly financial performance for five business segments: The Netherlands,
Belgium, Central and Southeastern Europe and two reporting segments in the
United States. To provide a comparable base, pro-forma historical quarterly
segment information will be published on October 6, 2016. In this pro-forma
information, we will exclude the financial impact of divestments, as well as
merger transaction costs. We will include the impact of purchase price
allocation, as well as other effects, including the effects of the alignment of
corporate costs allocation and accounting policies.
As announced by Ahold and Delhaize Group on July 14, 2016, 86 stores will be
divested in the United States, as part of the approval of the U.S. Federal Trade
Commission. Proceeds from these divestments are estimated to be $174 million,
resulting in no significant divestment gain or loss. These 86 stores represented
$1.4 billion of net sales and $88 million of underlying operating income in
2015. In addition, Ahold Delhaize expects to divest another 10 stores in the
Richmond area.
In Belgium, Ahold Delhaize will divest 13 stores, as part of the approval by the
Belgian Competition Authority, as announced on March 15, 2016. These 13 stores
represented ?94 million of net sales and ?10 million of underlying operating
income in 2015. In addition, Delhaize Belgium also announced the sale of pet
specialist shop chain Tom&Co on June 27, 2016.
Outlook
We are confident that we will meet our synergy target of ?500 million on an
annual run-rate basis by mid-2019. In 2016, synergies are expected to positively
impact operating income by ?30 million in the second half of 2016.
We continue to expect ?350 million in one-off costs related to the merger, of
which ?61 million has been booked by Ahold and Delhaize year-to-date 2016 and
?80 million is expected for the second half of 2016. This excludes transaction
costs, which we continue to expect to be within ?140 million, of which
?62 million has been booked by Ahold and Delhaize in 2015 and ?15 million year-
to-date in 2016, with the remainder expected for the second half of 2016.
Our free cash flow for 2016 is expected to be ?1.3 billion, including expected
capital expenditure of ?1.8 billion, ?0.2 billion of transaction, integration
and Delhaize Belgium's Transformation Plan costs and estimated cash flows from
divestments of ?0.1 billion.
We plan to hold a Capital Markets Day on December 7 in London, where we will
provide an update on our future strategy framework for Ahold Delhaize, share
more details on integration and synergies, and give guidance on our capital
structure going forward.
Notes to this report
This report includes separate results for the second quarter and half year of
2016 for both former Koninklijke Ahold N.V. ("Ahold") and former Delhaize Group
SA/NV ("Delhaize") on a standalone basis. Koninklijke Ahold Delhaize N.V.
("Ahold Delhaize") will publish its first combined results as of the third
quarter of 2016.
Ahold and Delhaize Group are reporting on a standalone basis for the second
quarter and half year of 2016 because the July 24, 2016, effective merger date
of Ahold and Delhaize fell after the July 17 end of Ahold's first half year of
2016 and after the June 30 end of Delhaize's first half year of 2016. Ahold's
interim report is included on pages 3-24 of this document and Delhaize's summary
report on pages 25-37. The members of the Ahold Delhaize Management Board who
acted as members of the Ahold and Delhaize boards during these reporting
periods are the ones responsible for the respective standalone half-year
reports.
160825_Q216_Analyst-Presentation:
http://hugin.info/130711/R/2037122/759002.pdf
160825_Q216_Interim Report:
http://hugin.info/130711/R/2037122/758984.pdf
This announcement is distributed by Nasdaq Corporate Solutions on behalf of Nasdaq Corporate Solutions clients.
The issuer of this announcement warrants that they are solely responsible for the content, accuracy and originality of the information contained therein.
Source: Ahold Delhaize via GlobeNewswire
Unternehmensinformation / Kurzprofil:
Datum: 25.08.2016 - 06:44 Uhr
Sprache: Deutsch
News-ID 491017
Anzahl Zeichen: 6488
contact information:
Town:
Amsterdam
Kategorie:
Business News
Diese Pressemitteilung wurde bisher 263 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"Ahold Delhaize kicks off with good momentum; both Ahold and Delhaize Group report strong Q2 results"
steht unter der journalistisch-redaktionellen Verantwortung von
Ahold Delhaize (Nachricht senden)
Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).
