Target tumbles as sales drop | X5's net profit doubles

New grocery website launches in Australia
Online grocery retailer Aussie Farmers Direct has launched a new website called 'The General Store'. Aussie Farmers Direct launched its online grocery service in 2005, however until now has specialised in fresh farm produce. The new development has seen the retailer launch a new packaged grocery offer in Melbourne this week, with a second website planned to serve Sydney soon. (igd.com)

Thai group plans to merge Metro Vietnam to Big C Thailand
Chairman of TCC Thailand, billionaire Charoen Sirivadhanabhakdi has revealed a plan to merge Metro Vietnam to Big C Thailand, according to Investment Newspaper online. TCC Group is the biggest shareholder of BigC Thailand with 97.94% shares. BigC is the Thai leading food retailer and real estate business with more than 700 trading units, including 125 grand supermarkets. (english.vietnamnet.vn)

US: Haggen loss triggers 3Q sales dip for Unified
The loss of Haggen's Southwest business contributed to a 8.7% decrease in net sales and a $2.2 million loss during the fiscal third quarter for Unified Grocers, although operating income was flat on cost controls and improved gross margins, the Los Angeles based retailer-owned cooperative said. (supermarketnews.com)

Carrefour concentrates on convenience in China
Carrefour China has said it will concentrate on convenience store development in the remainder of 2016, trying to find a new growth model for the competitive Chinese market. It reportedly plans to open 40-50 convenience stores in Shanghai in addition to around 14 Carrefour Easy stores by the end of 2016. Compared to other convenience players, Carrefour has the advantage of existing sourcing and supply chain capability for fresh products. Daily delivery from its own fresh distribution centre ensures the availability and quality of the products. (igd.com)

Walmart and Brazil firm may set up stores in India
US retail giant Walmart and one of the world’s largest food companies based out of Brazil are interested in setting up stores in India following the government’s decision to allow 100% foreign direct investment in the marketing of locally-produced food items, food processing secretary Avinash Srivastava said on Wednesday. Walmart is interested in setting up its own retail stores, but the Brazilian company may go for a local partner, he said. Though Srivastava refused to name the Brazilian company. (indianexpress.com)

Sweden: ICA H1: +3.6% driven by hypermarkets & Baltics
Sweden’s ICA has released its results for the first half of 2016, reporting that consolidated net sales increased by 3.6% to SEK 50,983m (€5.38bn), which the retailer attributed to higher volumes and price increases; while operating profit rose by 13.6% to SEK 2,093m (€220.98m). (igd.com)

Target tumbles 6.4% as sales drop, outlook cut
Target said Wednesday that its second-quarter earnings fell 9.7% to $680 million and lowered its sales estimate for the rest of the year, citing "a difficult retail environment." Adjusted earnings per share totaled $1.23, higher than the $1.13 predicted by analysts who were polled by S&P Global Capital Intelligence. Sales were down 7.2% to $16.2bn, matching the analysts' estimates. Sales at stores open at least a year, a key metric for retailers, fell 1.1%. Comparable digital channel sales grew 16%. With sales still sluggish despite its turnaround plans, Target also lowered its expectations for comparable sales in the second half of the year. In both the third and fourth quarters of 2016, Target now expects year-over-year same-store sales change in the range of -2% to 0%. (usatoday.com)

Russian retailer X5's net profit doubles
X5, Russia's second-biggest food retailer, more than doubled its second-quarter net profit as sales grew, sending its shares to a four-year high. The company, ranked second by sales to Magnit, reported a net profit of 7.95bn roubles (£95.13 million), up 107.5% on the same period last year. Marat Ibragimov, analyst at BCS, said thee company was now "one step closer to the leading position, the gap with Magnit will disappear soon". X5 had said it aimed to regain the No.1 spot on the market and double its business in the next few years. (Reuters)

SA: Massmart provides positive outlook in Interim Trading Statement
South Africa-based Massmart has published an interim trading statement for the 26 week period to June 2016 saying it expected earnings to rise strongly, despite a clear and marked slowdown in the economy of its home market. The announcement follows the company’s H1 trading update where it said total sales rose 8.7%, aided by comparable store sales growth of 6.4%, with the trading statement saying that profits before interest and tax would rise between 8.4% and 15.9%. (igd.com)

Zimbabwe: Meikles boosted by Pick n Pay banner
Conglomerate Meikles’s turnover rose by 10%, with its supermarkets division trading in line with this growth, with the division’s turnover increasing by 10% to US$395.3m. The company described the results as being ‘excellent’ given ‘a number of impediments, mainly sluggish economic conditions and deflation in food prices’. The retailer said that its customer count had increased by 7.6% during the year, helping to drive volume sales up by 12.6%, while a 3% rise in average basket size also helped improve its financial results. (igd.com)

7-Eleven network hits 60,000 store
Claimed to be the largest convenience retail chain in the world, the 7-Eleven network has just opened its 60,000th store. The company started out as Southland Ice Company in Oak Cliff, Texas, 89 years ago. In 1946, with stores open from 7am to 11pm, the name was changed to 7-Eleven. Last year, 7-Eleven opened one store every 2.5 hours – about 4000 stores. It plans to continued its worldwide expansion. 7-Eleven has opened stores in Thailand, Taiwan, South Korea, China, Malaysia, Singapore, the Philippines, Australia, Sweden, Norway, Denmark, Hong Kong, Macau, Indonesia and the UAE through area licence and master franchise agreements. (insideretail.asia)

China retail eclipses the US
China will this year surpass the US to become the world’s largest retail market according to a new report released today by eMarketer. Chinese shoppers will spend US$4.886 trillion this year, compared with $4.823 trillion in the US, according to eMarketer’s worldwide retail forecast. (insideretail.asia)

Serbia’s Univerexport to build new Distribution Centre
Serbian food retailer Univerexport has started construction work on its new distribution centre, located near Novi Sad. Most of the 30,000-square-metre area will be occupied by a warehouse that is intended for storing goods for distribution via the company’s retail and wholesale channels. (esmmagazine.com)