The retail group is affected by sanctions in Russia.
(Photo: dpa)
Dusseldorf The wholesale group Metro is more confident about the current financial year. The company announced on Thursday evening that sales are now expected to grow by 9 to 15 percent compared to the previous year. Metro had previously assumed 3 to 7 percent. Business in the first half of the year developed better than expected, especially in the West segment (excluding Germany). This is primarily due to rising inflation.
Metro now expects adjusted earnings before interest, taxes, depreciation and amortization (Ebitda) to be slightly to moderately higher than the previous year (previously: at the same level as the previous year). Further escalation of the war and/or further sanctions could result in additional negative business impacts, particularly in Ukraine and Russia. In the latter country, the current sanctions are expected to lead to depressed consumer sentiment and reduced product availability in the second half of the year, according to the company.
In the East segment as well as in the West segment, sales should nevertheless grow disproportionately. For Germany, on the other hand, only disproportionately low growth is expected. In Russia, the company expects a decline compared to the previous year.
Overall, the news was well received by investors. The Metro share price rose on the Tradegate trading platform in an initial reaction by one and a half percent to the Xetra close.
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