Sligro: Worst day in over 7 yrs on weak Q3, guidance

Sligro Food

17/10/2019 08:36

** Shares in Dutch food distribution company Sligro Food
Group  SLIGR.AS  slide 10%, heading for worst day in over seven
years
    ** The company reported Q3 revenue up at EUR 605 mln and
predicted H2 decline in profits  urn:newsml:reuters.com:*:nFWN2710U8
    ** KBC Securities says sales are 3.5% below expectations and
ING describes them as "weak"
    ** ING adds most important news is the lower-than-expected
guidance and expects a downgrade of FY consensus estimates
    ** The situation in the Netherlands is particularly
worrying, KBC adds, with the decline coming mainly from losing
former Heineken  HEIN.AS  clients and a loss of a strategic wine
supplier 
    ** Slower-than-expected cost cutting, client losses,
declining consumer confidence in Belgium and the Netherlands
make it "very challenging" for Sligro to reach EBITA margin of
5% by 2021, KBC adds
    ** The stock is at the bottom of Euronext Next 150 index
 .N150 

 (piotr.lipinski@tr.com)