By
Reuters
Reuters
Published
Jul 24, 2009
Jul 24, 2009
Kesko second quarter profit halves, outlook gloomy
By
Reuters
Reuters
Published
Jul 24, 2009
Jul 24, 2009
HELSINKI, July 24 (Reuters) - Finnish retailer Kesko (KESBV.HE) saw second-quarter earnings halve year-on-year as customers reined in spending, and the firm said its outlook for the next 12 months was gloomy.
Kesko - www.kesko.fi |
Kesko's April-June operating profit sank 50 percent to 42.7 million euros ($60.7 million), with the drop cushioned by 6.3 million euros in net one-time gains thanks to property divestments.
A Reuters poll of 10 analysts had called for a profit of 42 million euros.
Net sales slumped 16 percent to 2.1 billion euros.
"The smaller year-on-year operating profit ... is due to a weakened demand in the building and home improvement trade, the car and machinery trade, and the home and speciality goods trade," Kesko said in a statement.
Kesko said that, due to the weak economy, underlying net sales and operating profit would weaken over the next 12 months.
"As a result of the weakening of the real economy, the outlook for the near future remains uncertain," it said.
(Editing by John Stonestreet)
© Thomson Reuters 2024 All rights reserved.
Tags :
Retail