Romania’s largest retailer Metro Cash & Carry falls below 1bn euros

Metro Cash & Carry Romania, the largest retailer on the Romanian market, saw its nine-month sales fall below the one billion-euro mark, according to ZF estimates based on results reported by the Metro group.
Estimates are based on the 11-12% share the Romanian network held within the sales and overall number of Metro Cash & Carry stores in Eastern Europe in 2008.
The operator recorded 7.94 billion euros in sales in the first nine months of this year, down almost 15% against the similar period of 2008. In the region, Metro Cash & Carry operates a 206-store network in 13 countries, 24 of which in Romania. The sales decline in the region became steeper in Q3, to -17.2%.
Not considering exchange rate fluctuations recorded by the currencies of Eastern European countries, the chain’s sales in the region saw a 2.6% rise in Q3.
“The economy has been very slow to restart in Eastern Europe. However, the exchange rate depreciation has also slowed down. The capital exodus and the decline in demand for exports to Western Europe continue to affect the economies of these countries. The retail sector in the region could not be cut off from the economic woes and has so far undergone significant contractions after the two-digit growth rates recorded in 2008,” reads the Metro group report.
At group level, Metro sales in the region were down 13% in Q3, to 11.2 billion euros.