On 25 September 2019, METRO AG announced that it would be examining efficiency programmes. The specifics of the examination with regard to the execution and scope of the potential measures will be clarified over the next few months.
- Development of an efficiency programme under way
- One-time expenses of around €60 to 80 million in 2019/20
- Long-term annual savings in the mid-double-digit million range
On 25 September 2019, METRO AG announced that it would be examining efficiency programmes. METRO AG continues to advance its development into a 100% wholesale company. A successful concentration on professional customers in the HoReCa (hotels, restaurants, catering businesses) and Traders segments coupled with the pronounced localisation of the business models will serve as the foundation for ongoing like-for-like growth and a stronger growth dynamic.
This focus will offer efficiency-enhancing potential, for example through the pooling of expertise and the automation of processes. In addition to its crucial corporate functions, METRO AG will in the future therefore concentrate even more strongly on activities that represent true added value for the customers. To this end, the company announced on 25 September that it would be reviewing efficiency programmes for administrative structures, processes and business activities. These measures relate primarily to METRO AG’s central administration.
The specifics of the examination with regard to the execution and scope of the potential measures will be clarified over the next few months in consultation with the employee representatives, the management and the staff. The employees were notified of the process today. One-time expenses totalling around €60 to 80 million are anticipated for financial year 2019/20. This is offset by long-term savings in the mid-double-digit million range, of which a figure in the low double-digit millions is expected to be realised in financial year 2019/20.
METRO is a leading international wholesale company with food and non-food assortments that specialises on serving the needs of hotels, restaurants and caterers (HoReCa) as well as independent traders. Around the world, METRO has some 24 million customers who can choose whether to shop in one of the large-format stores, order online and collect their purchases at the store or have them delivered. METRO in addition also supports the competitiveness of entrepreneurs and own businesses with digital solutions and thereby contributes to cultural diversity in retail and hospitality. Sustainability is a key pillar of METRO’s business. METRO has been the European sector leader in the Dow Jones Sustainability Index. The company operates in 36 countries and employs more than 150,000 people worldwide. In financial year 2017/18, METRO generated sales of €36.5 billion. In September 2018 METRO AG initiated the divestment process for the food retail chain Real with its 34,000 employees.