DUESSELDORF (dpa-AFX) - Ceconomy AG (MTAGF.PK, MTTRY.PK) reported that its second-quarter loss attributable to shareholders of the company was 292 million euros or 0.81 euros per share, compared to net income of 28 million euros or 0.08 euros per share in the previous year.
Group EBIT was negative 368 million euros, compared to positive 19 million euros last year. The latest-quarter results included earnings effects in connection with the reorganization and efficiency program and earnings effects from companies accounted for using the equity method.
Adjusted for effects and portfolio changes, Group EBIT was negative 131 million euros, compared to positive 26 million euros in the prior year.
The decline was essentially attributable to the negative sales development of the stationary business coupled with a negative margin development resulting from the closure of the majority of its stores in March.
Group sales for the second-quarter declined 7.7 percent to 4.6 billion euros from last year. Adjusted for currency and portfolio change effects, sales fell by 6.6 per cent. On a like-for-like basis, Group sales recorded a decrease of 6.2 per cent compared to the prior-year period.
The decline in the second quarter was attributable to the negative sales performance of the stationary business due to the closure of the majority of stores in March as a result of Ceconomy the requirements of national governments against the spread of coronavirus.
For financial year 2019/20 the company expects a decline in total sales adjusted for exchange rate effects compared to the previous year.
For financial year 2019/20 the company expects EBIT to decline significantly, not taking into account the earnings effects from companies accounted for using the equity method. This is expected to include a positive effect between 5 million euros to 15 million euros due to the introduction of IFRS 16.
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