Kesko will acquire Byggarnas Partner, thus strengthening its position in the Swedish building and home improvement trade market further, especially in the Stockholm area.
“Kesko's sales in October grew by 0.4% in comparable terms. Growth was reduced by the number of delivery days, as the month had one delivery day less than the year before. Sales to K-food stores grew in the grocery trade. In the building and technical trade, growth strengthened in Sweden and in Norway” says Mikko Helander, Kesko’s President and CEO.
Sales in the grocery trade division totalled €504.3 million in October, an increase of 2.4%. Grocery sales to K-food stores increased by 6.5%. Kespro’s sales decreased by 17.2%, impacted by restrictions imposed on restaurants and events due to the Covid-19 epidemic and people working from home.
Sales in the building and technical trade division totalled €354.6 million in October, a decrease of 1.0% in comparable terms in local currencies. Sales development was impacted by the month having one delivery day less than the year before. Sales in the building and technical trade excluding the speciality goods trade decreased by 0.9% in comparable terms. Sales in Finland decreased by 3.1%, while sales elsewhere increased by 1.7%. Reported sales in the building and technical trade decreased by 14.7%. Kesko has reported Kesko Senukai as a joint venture from 1 July 2020 onwards, and consequently Kesko Senukai’s sales are not included in the reported sales for October 2020. Kesko Senukai’s sales in October totalled €84.7 million, an increase of 15.0%.
Sales in the car trade division totalled €82.2 million in October, a decrease of 4.5%.
Kesko Group's sales in euros, excluding VAT, in October 2020:
|€ million||Change, %||change, %|
|Grocery trade, total||504.3||+2.4||+2.4|
|Building and technical trade, Finland||191.6||-2.9||-2.9|
|Building and technical trade, other countries||162.9||-25.4||+1.7|
|Building and technical trade, total||354.6||-14.7||-1.0|
|Car trade, total||82.2||-4.5||-4.5|
|Common functions and eliminations||-2.1|
|Other countries, total||162.9||-25.4||+1.7|
Kesko Group's sales in euros, excluding VAT, in January-October 2020:
|€ million||Change, %||change, %|
|Grocery trade, total||4,752.3||+3.2||+3.2|
|Building and technical trade, Finland||1,846.3||+5.1||+5.8|
|Building and technical trade, other countries||1,744.4||-13.7||+3.8|
|Building and technical trade, total||3,590.8||-5.0||+5.0|
|Car trade, total||753.2||+2.4||-5.0|
|Common functions and eliminations||-17.7|
|Other countries, total||1,744.4||-13.7||+3.8|
Change % indicates the change when compared to the corresponding period of the previous year. Kesko Senukai was included in the Group’s reported sales up until 30 June 2020. From 1 July 2020 onwards, Kesko Senukai has been consolidated in Kesko’s consolidated financial statements on one line as a joint venture. Kesko issued a stock exchange release concerning the change in the consolidation method of Kesko Senukai on 17 September 2020. The comparable change % has been calculated in local currencies and excluding the impact of acquisitions and divestments completed in 2019 and 2020.
The reported sales for Kesko Group’s continuing operations include the acquisitions and divestments completed in 2019 and 2020, in accordance with the dates of completion. Acquisitions completed in 2019 comprised Sørbø Trelast AS and Fresks Group in the building and technical trade, and the Volkswagen, Audi and SEAT businesses of Huittisten Laatuauto, LänsiAuto and Laakkonen in the car trade. In 2020, the building and technical trade division has completed the acquisitions of Mark & Infra i Sverige, Carlsen Fritzøe Handel, and Bygg & Interiör, and the divestment of Konekesko’s machinery trade operations in the Baltics.
In October 2020, the number of delivery days in Kesko's grocery trade was 26, which is one day less than the year before. The number of delivery days in Kesko’s building and technical trade in Finland was 22, which is one day less than the year before. In January-October 2020, both the grocery trade and building and technical trade in Finland had one delivery day less than in the corresponding period the year before.
Kesko publishes advance information on K Group's retail sales quarterly in connection with interim reports.
Further information is available from Vice President, Group Controller Eva Kaukinen, tel. +358 105 322 338.
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