Metro Group has announced that it achieved record earnings of €2.4bn through fiscal 2010, with EBIT before special items up by nearly 20 per cent on the previous year.
According to the group, all sales divisions contributed to the growth, with the impact of the efficiency and value-enhancement programme Shape 2012 climbing to €527m since the start of the programme.
'We have acheived record earnings during the greatest restructuring in the company's history and at the end of a severe economic crisis,' noted CEO Eckhard Cordes. 'At the half-time of Shape 2012 we can already say that we are now stronger than before the crisis.'
Overall sales at the German retailer rose 2.6 per cent to €67.3bn, up from €65.5bn in 2009, with growth in western Europe (2.8 per cent), eastern Europe (7.1 per cent), and Asia/Africa (17.3 per cent), although German revenues fell 1.4 per cent.
Metro opened 100 new stores through fiscal 2010, entering new countries with three sales brands, including Metro Cash & Carry in Egypt, Media Markt in Shanghai and Saturn in Russia.
'We are continuing our international expansion at a faster pace and plan to open more than 110 new stores during the current year,' Mr Cordes added, with the group to focus on China, India and Russia in particular.
In the medium term, Metro noted that it is forecasting sales growth of more than 6 per cent per year, with sales set to grow by over 4 per cent in 2011, assuming an overall economic recovery and a moderate price increase.
In terms of earnings, growth of more than 10 per cent is anticipated for the coming year, although the group sounded a note of caution: 'In view of the as-yet incalculable effects of the disaster in Japan, the recent political developments in northern Africa and the Middle East as well as the continued difficult financial situation in individual European countries, the risks for a deterioration of the economic environment have increased.
'Although Shape will make a positive contribution to earnings this year, it cannot be excluded that market conditions might deteriorate and affect the targeted earnings momentum,' the group added.
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