Finland’s poor financial situation and the general development of the trade sector caused a decline in S Group’s sales for January–September in comparison to the previous year. Sales decreased by 3.9 per cent, totalling 8,009 million EUR.
The sales of S Group’s largest sector – grocery trade – stood at 4,857 million EUR in Finland in January–September; a decline of only 0.7 percent compared to the previous year. The lower price policy has resulted in a positive flow in market trade, while increasing the proportion of domestic food sold by S Group.
“The lower price policy, which was introduced at the beginning of the year, has considerably increased the grocery trade’s customer and sales volumes. We have done really well in the grocery trade because euro-denominated sales have also improved better than the entire industry has”, says Taavi Heikkilä, CEO of SOK.
The sales volumes of the hospitality business and automotive trade and accessories have increased by about 1 percent in comparison to the previous year. Hotel and restaurant sales stood at 594 million EUR, and sales in the automotive trade were 234 million EUR. Automotive sales are carried out by some S Group co-op stores.
In the ABC sector, restaurant sales have been at a good level, and sales increased by 2.0 percent compared to the previous year. The entire sector’s sales in January–September stood at 1,229 million EUR – a 10.0 percent decline in comparison to the previous year. S Group says the decline is explained by lower fuel prices than in the previous year.
The consumer goods trade decreased, which was in line with the general progress in the sector. Overall, S Group’s consumer goods sales decreased by 7.3 percent to 888 million EUR.