THE RETAIL BULLETIN - The home of retail news
Lest we forget
HOME
RETAIL NEWS
RETAIL EVENTS
Fashion
Department Stores
Shopping Centres & Retail Parks
Home & DIY
Electricals
Health & Beauty
General Merchandise
Entertainment
Sports & Leisure
Retail Solutions
Food & Drink
Interviews
RETAIL INSIGHTS
RETAIL SOLUTIONS
ABOUT US
CONTACT US
SUBSCRIBE FOR FREE
Iceland reports a 'challenging' year

Iceland has reported that its sales and earnings both fell in the 52 weeks to 27 March after what it described as an “exceptionally challenging” year.

GENERAL MERCHANDISE

Iceland reports a 'challenging' year

Iceland has reported that its sales and earnings both fell in the 52 weeks to 27 March after what it described as an “exceptionally challenging” year.

Turnover edged down 0.5% to £2.7 billion while like-for-like sales declined by 4.4%. Iceland said the drop in revenue was mainly due to a reduction in the number of customer transactions, food price deflation and the cannibalisation effect of new store openings.

Adjusted EBITDA, excluding exceptional items, was £150.2 million compared to £202.2 million in the previous year. This was primarily a result of the sales performance, investment in the value of the product offering, additional marketing expenditure, and costs associated with the roll-out of Iceland's online business and international expansion.

Exceptional administrative expenses of £59 million were incurred in the period compared to £8 million in the prior year.

Iceland opened a net 28 new stores in the UK and Ireland in the year including six larger stores under The Food Warehouse fascia. The company ended the year with 872 stores of which 859 were in the UK.

Iceland chairman and chief executive Malcolm Walker said: “This has been an exceptionally challenging year for the group, and for the UK food retailing industry as a whole.

“In the face of food price deflation, intense competition and significant change in consumers’ shopping habits, Iceland has continued its long tradition of successful reinvention. We have done this by developing a new store format, launching new product ranges, upgrading packaging, rethinking marketing and initiating a major productivity programme.

“The benefits began to become evident in a more encouraging underlying sales and profit performance towards the end of the year, which has put us in a stronger position to face the continuing competitive challenges in the year ahead.”

Email this article to a friend

You need to be logged in to use this feature.

Please log in here

Subscribe For Retail News

RETAIL EVENTS

The Retail Design Seminar 2018
The Retail Design Seminar 2018
14 November 2018
The Cavendish Conference Centre
The Retail Design Seminar 2018
Omnichannel Futures Conference 2019
Omnichannel Futures Conference 2019
6 February 2019
Cavendish Conference Centre, London WG1 9DT
A truly omnichannel offering requires an understanding of customer behaviour across all shopping channels and how this should impact your overall business strategy
Customer Engagement Conference 2019
Customer Engagement Conference 2019
5 June 2019
Cavendish Conference Centre, London W1
The 10th Annual Retail Customer Engagement Summit
AI in Retail Conference 2019
AI in Retail Conference 2019
18 September 2019
Cavendish Conference Center, 22 Duchess Mews, London W1G 9DT
Retail marketing is changing pace rapidly by making communication across all platforms personalised, relevant, efficient, and helpful. AI not only helps shoppers find a perfect product but also pre-empts the shopping behaviour and speeds up payment.
The HR Summit 2019
The HR Summit 2019
Tuesday 8 October 2019
The Cavendish Conference Centre, London W1
The 11th HR Summit 2019, The Cavendish Conference Centre, London W1, 8 October 2019