By Dimitrios Kontos
Koninklijke Ahold Delhaize NV (AD.AE) reported Wednesday a 54% rise in third-quarter net profit, citing strong performance in the U.S., where its brands have gained market share.
The Dutch retailer, which has brands in 11 countries, made a net profit of 362 million euros ($419.4 million) for the period compared with EUR235 million a year earlier.
Net sales increased 7.4% to EUR15.13 billion, driven by strong growth in consumer sales from the online businesses, the company said.
Operating profit reached EUR545 million for the quarter compared with EUR388 million a year earlier.
Ahold Delhaize said that it will start a new, EUR2.0 billion share buyback program for 2018, following the completion of its EUR1.0 billion program for 2017.
The company backed its guidance for full-year underlying operating margin to be around 3.9%. It also confirmed that it expects its free cash flow for 2017 to be around EUR1.6 billion.
It added that it expects free cash flow for 2018 to increase and anticipates that capital expenditure to rise to EUR1.9 billion, as it will continue to invest in growth.
Write to Dimitrios Kontos at [email protected]