Japan: Seven & i posts 12.5% increase in revenue
Seven & i Holdings has released a strong set of annual results (ending 28 February 2019), posting a 12.5% increase in operating revenue to JPY6,791.2bln (US$60.7bln), with operating income up 5.1% to JPY411.5bln (US$3.7bln). Revenue from its domestic CVS operations grew modestly at 2.9%, with existing stores rising for the eighth consecutive year at 1.3%. Sales at the retailer's main supermarket banner, Ito Yokado, was flat at 0.1% YoY. It ended the fiscal year with 159 stores across Japan, five fewer than the previous year. Further closures are expected, with the retailer forecasting to end FY2020 with 157 stores as it continues to reform and restructure the business. While total convenience store sales in the U.S. for the fiscal year ending 31 December 2018 increased 27.4% to JPY3,993.2bln (US$35.7bln), thanks to the acquisition of Sunoco stores. Gasoline sales was up 47%, and existing store sales increased 1.9%.
Source: retailanalysis.igd.com
Russia: X5 Retail Group reports 15.3% net retail sales growth in Q1 2019
Total net retail sales growth remained strong at 15.3% y-o-y (16.4% y-o-y, incl. VAT), in roubles (RUB) driven by: 5.0% increase in like-for-like (LFL)(1) sales; and 10.3% sales growth contribution from a 15.1% rise in selling space. X5’s LFL sales growth accelerated q-o-q to 5.0% y-o-y in Q1 2019 from 3.7% in Q4 2018, driven primarily by improved traffic. LFL sales growth was positive for all X5 formats. X5’s LFL traffic and basket growth accelerated q-o-q to 2.7% and 2.2% y-o-y respectively in Q1 2019 from 2.2% and 1.4% y-o-y in Q4 2018. Net retail sales for X5’s core formats Pyaterochka and Perekrestok increased by 16.3% and 20.3% y-o-y, respectively. Karusel’s net retail sales decreased by 1.4% y-o-y in Q1 2019 due to the closure of one hypermarket and the transfer of two stores to Perekrestok, in line with the format’s strategy of optimising its store portfolio. X5 added 348 net new stores in Q1 2019.
Source: x5.ru
Holland: Albert Heijn awarded the most sustainable supermarket
Albert Heijn has been recognised as the most sustainable supermarket chain in the Netherlands for the third time in a row. The announcement was made during the Sustainable Brand Awards 2019 in Amsterdam. Albert Heijn CEO, Marit van Egmond, said: "We have been committed to people, animals, and the environment for years. We do this together with our growers and farmers, suppliers and other partners. Fortunately our efforts are being recognised again."
Source: esmmagazine.com
South Africa: Shoprite cuts chairman Wiese's voting influence
South African grocer Shoprite is to buy back deferred shares held by its chairman Christo Wiese to simplify its voting structure but substantially curbing Wiese’s influence in the company he helped turn into an African powerhouse. Besides ordinary shares, Shoprite’s capital structure includes deferred shares which carry about 32.3% of the voting rights at Shoprite. The deferred shares are held by Weise’s investment vehicle, Thibault Square Financial Services Proprietary Ltd. Under the deal, Titan - another one of Wiese’s entities - will receive 20mln new ordinary shares from Shoprite, in exchange for deferred shares which Shoprite will buy for 265,000 rand ($18,836.41) and cancel, the retailer said in a statement. The proposed deal will see Wiese’s voting interest reduced to 17.8% from 42.3%, while his direct shareholding will increase to 17.8% from 14.8%, Shoprite said.
Source: reuters.com
US: Trader Joe's & Southwest Airlines among America's best employers
Healthy grocery chain Trader Joe's has officially been dubbed the best large sized employer in 2019. Forbes released its annual list of best employers with the California-based grocer and Southwest Airlines claiming the top two spots of large companies this year. To determine the list, Forbes used data from Statista, who surveyed 30,000 workers anonymously at businesses with a least 5,000 employees. Trader Joe's said it attributes its employee satisfaction success to its consistent attention toward the basics, which includes pay, benefits and positive work vibes.
Source: foxbusiness.com
US: Stop & Shop's management and local unions agree to tentative terms; Ahold Delhaize gives update on guidance following strike
Stop & Shop, an Ahold Delhaize company, announced a tentative agreement of terms with five local unions (UFCW Locals 1445, 1459, 919, 371, and 328) which allowed Stop & Shop’s 31,000 associates in New England to return to work on Monday. The strikes had affected 246 of Stop & Shop’s 415 stores and lasted 11 days, having started on April 11, 2019. “I am pleased that Stop & Shop’s management and the five local unions have tentatively reached a fair and responsible contract in which all Stop & Shop associates are offered pay increases, eligible associates have continued excellent health coverage and eligible associates have ongoing defined benefit pension benefits”, said Frans Muller, CEO of Ahold Delhaize. “I know that both Stop & Shop management and its associates are proud to welcome customers back and look forward to taking care of them every day.”
Source: aholddelhaize.com
US: Amazon, Walmart & ShopRite participating in SNAP online purchasing pilot
Thanks to a two-year pilot launched by the U.S. Department of Agriculture’s Food and Nutrition Service, Supplemental Nutrition Assistance Program (SNAP) participants in New York state can now select and pay for their groceries online. Learnings from the pilot are expected to shape future efforts to expand online purchasing in SNAP. The system being piloted enables online purchasing only by SNAP households with electronic benefit transfer (EBT) cards issued by New York. The pilot will test both online ordering and payment. SNAP participants will be able to use their benefits to buy eligible food items, but will not be able to use SNAP benefits to pay for service or delivery charges.
Source: progressivegrocer.com
US: Sprouts Farmers Market to open first New Jersey store, hires 150 employees
Sprouts Farmers Market is set to showcase its first New Jersey store on June 5. With opening day approaching, the specialty grocer is making arrangements to meet the growing local demand for fresh, natural, and organic goods, including the hiring of 150 employees. The new location weighs in at 33,000 square feet. It also features an open store layout that highlights fresh departments, like wholesome grains, nuts, sweets, and produce, and in-house perks like a butcher, a variety of fresh and prepared deli items perfect for grab-and-go meals, freshly baked goods, and more, much like other Sprouts locations.
Source: delimarketnews.com
US: Raley’s implements computer-generated order, inventory management system
Raley’s is implementing Itasca’s Magic computer-generated ordering and inventory optimization and DSD-receiving solution to all of its locations after a successful pilot in a few stores that saw a decrease in out-of-stocks and a reduction in excess inventory, leading to in an increase in sales. The Itasca Magic system forecasts consumer demand along with sales, and in return uses sophisticated algorithms to order the right quantity of the right products. Magic is a field-proven software solution that optimizes the replenishment and management of store-level inventory for all departments.
Source: progressivegrocer.com
U.S. Grocers commit to HFC-free stores
In time for Earth Day, an Environmental Investigation Agency (EIA) initiative identifying U.S. retailers committed to reducing hydrofluorocarbons (HFCs) has identified Ahold Delhaize USA, Aldi U.S., Whole Foods Market, Sprouts Farmers Market and Target as standout leaders in this regard. The companies are profiled in a web platform that provides a map of U.S. supermarkets employing climate-friendly cooling and highlights specific company actions in three key areas: adopting technologies, refrigerant management, and engaging in technical and policy dialogue.
Source: progressivegrocer.com