French retailer Carrefour has announced a slight increase in sales for 2011, due in large part to positive growth recorded in the company's emerging markets.
Overall sales rose by 0.9 per cent to €81.3bn, assisted significantly by growth in emerging markets, including Asia and Latin America, of 7.4 per cent.
Current operating income fell by 19.2 per cent to €2.18bn, as a result of poor performances by the group's domestic hypermarkets and the effects of the crisis in Greece, but net debt was reduced by more than €1bn to €6.9bn.
Despite the success of the group's store conversion plan, with its new Carrefour Planet stores outperforming non-converted stores, overall results have been lower than expected, forcing the company to scale down its conversion plan for 2012.
Carrefour's chairman and CEO, Lars Olofsson, described 2011 as a 'year of mixed results'. In 2012, he said that the group would aim for 'consistent lower prices, more targeted promotions, and a considerably enhanced Carrefour-branded offer', as well as developing its alternative distribution systems.
'Carrefour will accelerate its multi-channel strategy,' Oloffson stated, 'by multiplying the number of Drive pick-up points in France and growing its presence in e-commernce while continuing its expansion in its key emerging markets.'
