Ahold Delhaize U.S. Division Sees Sales Slow In Q4

Fourth quarter revenue across Ahold Delhaize was up slightly as comparable store sales in Europe grew, offsetting a decline in same-store sales in the company’s U.S. division.

Group net sales for the quarter were €23.0 billion ($24.65 billion), up 1.9% at constant exchange rates. Comparable store sales were up 6.5% in Europe and down 1% in the U.S. Despite the drop in same-store sales in the U.S., the company said Food Lion and Hannaford each experienced double-digit growth during the quarter.

“I am pleased to report a solid end to the year for Ahold Delhaize,” said Frans Muller, president and CEO of Ahold Delhaize. “The local brands in our strong international portfolio have been steadfast in creating value for customers by enhancing their highly personalized loyalty programs, increasing access to omni-channel offerings, and expanding their innovative own-brand assortments. In an increasingly complex world, our brands are able to deliver consistency to customers, associates and suppliers, quarter after quarter.”

U.S. net sales were €13.8 billion ($14.79 billion), a decrease of 1.5% at constant exchange rates and down 6.5% at actual exchange rates. U.S. comparable sales excluding gasoline decreased by 1%, and had a net negative impact of approximately 0.5 percentage points from weather and calendar shifts, primarily related to the timing of New Year's Eve. Strong growth in pharmacy was offset by the non-recurrence of emergency SNAP benefits, the moderation of inflation rates and lower gasoline sales. Food Lion and Hannaford continue to lead the U.S. brands' performance with 45 and 10 consecutive quarters of positive sales growth, respectively.

For the full year, Ahold Delhaize net sales were €88.7 billion ($95.1 billion), an increase of 1.9%. Online sales were up 4.6% to €9.02 billion ($9.67 billion) and comparable store sales excluding gasoline increased 3.9%.