Company Earnings Update | January 25, 2019 Register for Free Access P&G (NYSE: PG) 2Q19 Results: Innovation Driving Growth, Competition Remains ToughP&G reported net sales of $17.4 billion for the three months ended December 31, 2018, up 0.2% year over year. Operating income came in at $3.9 billion, down 0.6% year over year. Gross margin on net sales decreased 130 basis points to 48.9% and operating margin fell 70 basis points to 22.3%. Due to income tax charges caused by a transitional impact of the US Tax Act, diluted earnings per share were $1.22, an increase of 31.2% compared to the previous year. Management said the strong result was driven by the company’s focus on product superiority, productivity and improving its organization and culture. Read More
Company Earnings Update | January 24, 2019 Register for Free Access Ahold Delhaize (ENXTAM: AD) 4Q18 and FY18 Update: Strong Performance Prompts Narrowing of GuidanceAhold Delhaize reported a trading update for its fourth quarter and FY18: In 4Q18, net sales were €16.5 billion, up 3.0% at constant currency, roughly in-line with the consensus of €16.48 billion by StreetAccount, but lower than the 3.6% growth recorded in the previous quarter. Net consumer online sales grew 26.4% at constant exchange rates. For FY18, net sales increased 2.5% year over year at constant exchange rates to €62.8 billion. Net consumer online sales reached €3.5 billion. Read More
Company Earnings Update | January 23, 2019 Register for Free Access Carrefour (ENXTPA: CA) 4Q18 Update: Latin America Picks Up the Slack as France Is Hit by DisruptionCarrefour reported group comparable sales excluding automotive fuel were up 1.9% year over year in 4Q18, versus 2.1% growth in 3Q18 and ahead of the consensus estimate of 1.0% recorded by StreetAccount. Performance in France was weak and growth was driven by Latin America. Total sales at actual exchange rates were down 2.3% year over year, impacted by currency effects. Read More
Deep Dive | January 18, 2019 Premium Aldi and Lidl in the US: Aldi Climbs the Grocery RankingsAldi is America’s eighth-biggest grocery retailer by estimated 2018 revenues, according to Euromonitor International. It has grown revenues by an estimated CAGR of 12.7% over the past five years. After a shaky start in the U.S. market, Lidl has diversified into a range of store formats. Lidl is continuing to open stores at a steady pace, and its recent acquisition of the 27-strong Best Market Chain suggests a renewed impetus to grow its footprint in the U.S. Read More
Flash Report | January 18, 2019 Register for Free Access Walgreens Boots Alliance and Microsoft Forge Partnership to Explore Digital Health OpportunitiesDrugstore retailer WBA and technology giant Microsoft have entered into a seven-year agreement which includes developing software and technology for patient care management and retail store operations. This alliance follows close on the heels of last month’s deal with Alphabet’s life sciences business Verily to help patients manage medication. Through this partnership, WBA will be able to leverage Microsoft’s cloud services suite Azure. The suite of tools and applications uses several cutting-edge technologies, such as cloud, AI, the Internet of Things (IoT) and blockchain. Microsoft has developed a host of healthcare tools, such as a smartphone app to connect users with healthcare providers and AI-based software engines to crunch masses of patient data to help detect possible health conditions sooner. Read More
Deep Dive | January 17, 2019 Premium 10 Tech Startup Trends Reshaping Retail in 2019: Get Ready for Digital DisruptionThe retail industry has undergone a significant transformation over the past decade, and continues to evolve quickly. In 2019, the market will be defined by emerging technologies that change the way consumers interact with brands, by new engagement formats and channels, as retailers look to collaboration more with startups to future-proof their businesses. Read More
Insight Report | January 15, 2019 Premium US Holiday Comparable Sales Growth Results: A Mixed Picture So FarAs US retailers report comparable sales for the 2018 holiday season, we’re seeing a mixed bag of results. Some retailers such as Costco and Boot Barn did well, reporting strong comparable sales growth and beating consensus estimates. Retailers such as Target, Barnes & Noble and Buckle showed sequential comparable sales growth improvement, but not as strong. Comparable sales at Macy’s and L Brands weakened sequentially. Read More
Company Earnings Update | January 11, 2019 Register for Free Access Tesco (LSE: TSCO) 3Q19 and Christmas Update: Strongest U.K. Christmas Growth for a DecadeTesco, the U.K.’s biggest grocery retailer, reported results for 3Q19 (ended November 24, 2018), and the subsequent six-week Christmas period (ended January 5). For the core six-week Christmas period, Tesco grew comparable sales in its U.K. operations by 2.2%, above the consensus estimate of 1.4% from StreetAccount. The company said it outperformed the market in volume and value terms and versus the market “in all key categories: food, clothing and general merchandise.” Read More
Company Earnings Update | January 11, 2019 Register for Free Access Seven & i (TSE: 3382) 9M19 Results: Struggling at Home, Silver Lining in Overseas Convenience StoresJapan-based retailer Seven & i reported net sales of ¥4,110.6 billion for the nine months ended November 30, 2018, up 15.8% year over year. Operating income came in at ¥304.3 billion, up 2.9% year over year. Gross margin on net sales decreased by 200 basis points to 19.6% and operating margin fell by 60 basis points to 6.0%. Diluted EPS was ¥176.53, up 4.7% year over year. Below, we outline the performance of convenience store operations, superstore Ito-Yokado, food supermarket York-Benimaru and department store Sogo & Seibu. Read More
Store Tracker | January 10, 2019 Premium Reviewing 2018 U.S. and U.K. Store ClosuresIn the U.S., major retailers closed 5,524 stores and opened 3,083 stores during 2018. By sector, apparel specialist stores led the pack with 766 closures; Payless ShoeSource contributed 408 of these closures. Read More
Company Earnings Update | January 10, 2019 Register for Free Access Sainsbury’s (LSE: SBRY) 3Q19 Trading Update: Lower Holiday Promotions Weigh on Top LineDespite the declines, CEO Mike Coupe believes grocery was “solid,” general merchandise outperformed the market and that clothing “performed well” in the quarter. General merchandise sales grew “strongly” over the “key Christmas weeks” (unspecified) and outperformed the market over the quarter — but sales declined in the quarter due to cautious spending by consumers and the company’s decision to reduce promotional activity around Black Friday. Read More
Market Outlook | January 8, 2019 Premium Sector Overview: European Retail — Germany’s Shoppers Cut BackApparently alarmed by world events such as Brexit and tariff wars, and in a context of slowly climbing inflation, German consumers have retrenched their discretionary spending. Read More
Event Coverage | January 8, 2019 Register for Free Access CES 2019: Five Innovative Technology Startups From Day 2Chronolife has a device to help people with chronic or congestive heart failure (CHF) by anticipating medical emergencies with its wearable Chronolife vest. The Parcel Guard is a smart mailbox designed to prevent “porch pirates” — people who steal packages from your front porch. P&G Ventures, Procter & Gamble’s startup division, unveiled at-home skincare device Opté Precision Skincare System (Opté). Capstone Connected Home launched the Smart Mirror, a mirror integrated with Google Assistant with touchscreen capabilities. The Bread Bot, developed by Wilkinson Baking Company, a fully automated robotic bread-making machine that bakes and sells bread like a vending machine. Read More
Company Profile | January 1, 2019 Premium Seven & i Holdings (TSE: 3382) Company ProfileSeven & i Holdings Co. Ltd. was founded in 2005 through the merger of Ito-Yokado Co. Ltd., Seven-Eleven Japan Co. Ltd. and Denny’s Japan Co. Ltd. Headquartered in Tokyo, the company operates retail, food, financial and IT businesses. Seven & i Holdings operates convenience stores, superstores, supermarkets, department stores, restaurants and other operations worldwide. The company had around 21,800 stores of various types in Japan as of Feb. 28, 2018, and around 66,200 stores in other parts of the world as of Dec. 31, 2017. Read More
Flash Report | December 10, 2018 Register for Free Access Walmart Spruces Up Its Portfolio with the Acquisition of Art.comOn Thursday, December 6, Walmart published a blog post announcing it had acquired the assets of Art.com (including its catalog, intellectual property, trade name, and US operations) for an undisclosed figure. Read More
