EU: Carrefour Q4 sales jump
French retailer Carrefour reports revenue growth of 3.1% for its fourth and final quarter of 2019. While strikes in France impacted sales negatively, accelerated sales in Brazil boosted overall growth.
After launching its "profound transformation plan" in 2018 - a five-year plan to increase profits through e-commerce and other initiatives - it announced that it is still on track. With US$24 billion in total sales, Carrefour also announced some new moves looking forward.
Published on Thursday, the supermarket's quarterly report reveals not only momentum in sales for its final quarter, but also provides an overview of the entire year of 2019 in sales.
In a statement, CEO Alexandre Bompard said that 2019 "marks an important milestone for the group. Carrefour posted solid and profitable growth. Our transformation plan is bearing fruit".
Within this plan, it outlines a commitment to a slew of business practices in a growth model to compete against Amazon. Such touchpoints for the plan include keeping in line with carbon tracking processes and targeting customer satisfaction and sales.
Hypermarkets saw the toughest environment this quarter with a 3.4% dip in sales. For 2022, it says it wants to reduce hypermarket sales and up non-food items in its French hypermarkets.
In contrast, the retailer noted a big jump in sales in Latin America. With the highest quarterly growth in the last five years, Carrefour reported a rise of 7.6% in Brazil. E-commerce and non-food items drove the increase. Argentina also saw continued growth as it welcomed new leadership in Q4.
More generally, 2019 brought more sales in e-commerce and organic foods.