ANP
News from the NOS•
Despite high inflation, the Ahold supermarket group, Albert Heijn’s parent company, sees its profits rise. Net profit increased 13 percent in the last quarter to nearly 600 million euros.
Globally, the supermarket group’s turnover increased by nearly 21%. This is largely due to the appreciation of the dollar. Ahold gets two-thirds of its turnover from the US and that turnover, translated into euros, is significantly higher due to exchange rates. Apart from this effect, sales increased by more than 9 percent.
Thanks to these good results, the company has again raised expectations for the whole of 2022.
‘Huge attack’
Frans Muller, the group’s chief executive, understands that it can be unfortunate for his shoppers in stores that the company is exceeding expectations in times of high inflation. “I understand that sentiment. It is up to us to explain it well. The profit comes mainly from America. We have left a nice feather in Europe.”
Muller points out the decline in profit margins in European supermarkets. Normally, for every euro spent by a customer, the company keeps more than 4 cents of profit. In the last quarter, it fell to 3.4 cents. “This is a huge burden for a retailer where the margins are small.”
He says profits are needed to be able to invest and create more jobs.
High margins
Ahold believes that even some of the major suppliers have to bear the pain of high inflation on their own, partly taking the price increases on their own. This isn’t happening enough at the moment in large food producers, she says, pointing to high profit margins.
“I expect more cooperation in the chain,” says Frans Muller. “For example, from large suppliers, they have more space to work with. They have profit margins of between 15 and 19 percent. I expect them to do their part to keep things as good as possible for customers.”
Unilever, among others, previously announced that turnover has increased and the prices of its products have increased by 12%.
