By Ludwig Burger
LONDON, Aug 3 – German food wholesaler Metro forecast on Monday that a sales decline in its fiscal year through September would be limited to 3.5%-5% because its business with hotels and restaurants has picked up up since May.
The gradual easing of lockdown measures related to the COVID-19 pandemic have resulted in a “far-reaching recovery” of sales to hotels, restaurants and caterers, the German group said in an unscheduled statement.
Adjusted earnings before interest, taxes, depreciation and amortisation (EBITDA) for the 2019/20 financial year would be 200 million euros ($235 million) to 250 million euros below year-earlier levels, it added.
Earnings were also developing better than expected as a result of cost cuts. Businesses in Russia and Eastern Europe would outperform Western Europe and Asia during the financial year, Metro added. ($1 = 0.8510 euros) (Reporting by Ludwig Burger Editing by Chris Reese and Alexander Smith)