Hemköp is Axfood’s rising star

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Axfood operating income increased by eleven percent in 2014 and Hemköp’s result increased over 30 percent.

“The result for 2014 was once again Axfood best ever. All units reported good results. Meanwhile, sales and market shares increased. Our strategy with attractive customer offers together with high efficiency and good cost control has proven to be just right,” comments CEO Anders Strålman.

Sales per segment 
MSEK Q4 2014 Q4 2013 Full year 2014 Full year 2013
Hemköp 1 454 1 438 5 510 5 578
Willys 5 416 5 209 20 974 20 394
Axfood Närlivs 1 648 1 596 6 597 6 489
Dagab 6 949 6 569 26 330 25 509
Övrigt1 1 306 1 286 5 225 5 120
Internal turnover
Dagab -5 538 -5 308 -21 123 -20 622
Axfood Närlivs -1 -1 -3 -7
Övrigt -1 256 -1 239 -5 026 -4 939
Total 9 978 9 550 38 484 37 522

“The aggressive investments in the future has continued with many start-ups, renewal of a large number of stores and further development of the new business system. The digital customer program is an important strategic investment in the future to boost sales further by strengthening customer relationships and offerings,” says Anders Strålman.

  • Willys continues to report strong earnings and stable sales growth. Not least the holiday shopping season was a great success.
  • Hemköp reported its best ever result with a very good sales development in comparable stores.
  • Axfood Närlivs had a good result according to Axfood, given the costs of implementing the new ERP system. A long hot summer together with strengthened promotional offers favored the positive development. During the period, the agreement with EMAB was extended and expanded agreement signed with Statoil.

Axfood say they now see the result of the investments they’ve made in recent years in both the new business system, in stores and in new customer programs. Several of these projects were completed during the year, which means that the rate of investment now will be adjusted to more normal levels.
“In 2015 we will focus on modernizing the stores and to have an aggressive rate of establishment of eleven new stores. Capital expenditures in 2015 are estimated at 700-800 million, “says Strålman.

Stores turnover
MSEK Q 4 2014 %,) Comparable units %1} Full year 2014 %,J Comparable units %’>
Hemköp 1 433 1,0 3,7 5 426 -1,3 2,3
Hemköp franchise 1 557 3,9 4,0 6 017 0,7 3,1
Hemköp total 2 990 2,5 3,9 11 443 -0,3 2,8
Willys total 5 416 4,0 2,1 20 974 2,8 0,3
Totalt

8 406

3,4

2,7

32 417

1,7

1,1

 

Changes in store structure 2014
Dec 2013 New establishments Aquisitions Sales and closures Converted stores Dec 2014
Hemköp 69 2 1 -3 -1 68
Willys11 183 7 1 191
Total own operated 252 9 1 -3 259
Hemköp franchise

111

1

2

-3

111

share of Willys Hemma

47

5

52