FX.co ★ Ahold Delhaize Q1 Profit Drops, Sales Edge Up; Confirms FY24 Outlook

The Dutch retail and wholesale holding company, Ahold Delhaize N.V. (ADRND.PK, AHODF.PK), has reported a dip in its first-quarter IFRS net income, which dropped by 8.6 percent to 513 million euros, down from 561 million euros last year.

The earnings per share also experienced a slight decline from 0.57 euro to 0.54 euro compared to the same time last year. In addition, the underlying income per share from continuing operations also decreased slightly to 0.59 euro from last year's 0.61 euro.

The company's underlying EBITDA also fell by a marginal 0.8 percent from previous year's figures, standing at 1.72 billion euros. However, there was a 0.4 percent increase in group net sales up from last year's 21.64 billion euros to 21.73 billion euros in this year's first quarter. Net sales observed a rise of 1.3 percent at a constant exchange rate.

When it comes to comparable sales excluding gas, an upward trend was observed for the group, with a 1.6 percent increase. Specific regions also saw positive change, with a 0.8 percent increase in the U.S., and a 2.8 percent increase in Europe was noted as well.

Looking at forecasts for fiscal 2024, Ahold Delhaize remains hopeful and expects the underlying operating margin to match or exceed 4.0 percent - in keeping with the company's past performance. Underlying earnings per share are projected to be around the 2023 levels at the current exchange rates.