Carrefour to Buy Back 500 Million Euro Share Buyback after Strong Q1 Sales
Carrefour announced it would buy back up to 500 million euros of its shares this year, reflecting confidence in the success of its turnaround plan following strong Q1 results.
Europe's largest food retailer - Carrefour, has last month agreed to buy Brazil's third-biggest food retailer - Grupo BIG for around $1.3 billion, also maintained its financial and operational targets under its 'Carrefour 2022' strategic plan (a five-year plan launched in January 2018 to cut costs and boost e-commerce investment).
"Our confidence in the success of our transformation plan, as well as in our ability to generate high cash flow, is further strengthened. In line with our capital allocation policy, we are seizing the opportunity offered by current market conditions to announce a share buyback“, Chairman and Chief Executive Alexandre Bompard commented.
The buyback will be Carrefour's first in more than a decade, but the decision is backed by strong Q1 results. First quarter sales reached 18.56 billion euros, marking like-for-like growth of 4.2% and reflecting robust food sales in the key markets of Brazil, France and Spain.
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