Ahold Delhaize: cuts guidance after US strikes hit sales
(CercleFinance.com) - Dutch-based retailer Ahold Delhaize on Tuesday cut its 2019 guidance, due to disruption caused by strikes at its US unit.
Stop & Shop's management and local unions have reached a deal, but the recent strikes will have a one-off impact on operating profit of between 90 and 110 million dollars this year, due to lower sales, a greater fall of seasonal and perishable inventory and additional supply chain costs, the supermarket group said.
As a result, Ahold Delhaize now anticipates its underlying operating margin for 2019 to be slightly lower than 2018, it said.
Its shares were down 3.4% on Euronext Amsterdam after this warning.
Copyright (c) 2019 CercleFinance.com. All rights reserved.
Stop & Shop's management and local unions have reached a deal, but the recent strikes will have a one-off impact on operating profit of between 90 and 110 million dollars this year, due to lower sales, a greater fall of seasonal and perishable inventory and additional supply chain costs, the supermarket group said.
As a result, Ahold Delhaize now anticipates its underlying operating margin for 2019 to be slightly lower than 2018, it said.
Its shares were down 3.4% on Euronext Amsterdam after this warning.
Copyright (c) 2019 CercleFinance.com. All rights reserved.