Retailer Ahold Delhaize has published a strong set of second quarter 2017 results, with higher year-on-year results for sales and income.
Net sales for the three-month period increased by 67.3 per cent to €16.1bn, up 64.6 per cent at constant exchange rates, while net income soared 68.2 per cent to €355m.
According to the group, these results were driven by an improvement in sales and merger synergies resulting in higher margins.
"We are pleased to report a strong set of results," said Dick Boer, CEO of Ahold Delhaize. "Sales improved across the board and the group underlying operating margin increased by 30 basis points to 3.9 per cent as merger synergy savings continued to track ahead of projections.
"A year after the merger between Ahold and Delhaize, the integration of the two companies is fully on track and delivering results as we continue to focus on strengthening our local brands through our Better Together strategy," he added. "We look toward the second half of the year with confidence and expect our underlying operating margin for the full year 2017 to be broadly in line with the first half of the year, with €220m net synergies for 2017."
Meanwhile, Ahold Delhaize has revealed that Jack Stahl has decided to step down from its supervisory board due to other business-related commitments in the US.
Stahl, who has served on the supervisory board since 24 July 2016, was chairman of the Audit, Finance and Risk Committee and a member of the Governance and Nomination Committee. Prior to the merger of Ahold and Delhaize, he was a member of Delhaize Group's Supervisory Board since 2008.
"Jack has been a committed and valued supervisory board member," said Mats Jansson, chairman of Ahold Delhaize's supervisory board. "First at Delhaize Group and, after the merger, at Ahold Delhaize. A veteran of the consumer-goods industry, Jack played a key role throughout the merger process and in shaping Ahold Delhaize. I would like to thank him for his continued support and efforts. The Supervisory Board will miss his professionalism, dedication, insight and sense of humor."
Supervisory board member René Hooft Graafland has agreed to take over Stahl's duties as chairman of the Audit, Finance and Risk Committee.