// EG Group has reported a resilient performance for the third quarter
// Growth continued across the group’s grocery and merchandise operations
Asda owner EG Group has “delivered a resilient performance” for the third quarter as it continues to expand its foodservice outlets.
The group, which is owned by brothers Zuber and Mohsin Issa, said EBITDA increased by 10% to £390 million on a constant currency basis in the three months to September 30, 2022.
Growth continued across the group’s grocery and merchandise operations with gross profit for the quarter increasing by 5% year-on-year to £321 million thanks to Asda’s “On the Move” store conversions in the UK and Ireland and the opening of new-to-industry grocery sites.
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Foodservice operations continued to grow with a further 14 Foodservice outlets opening during the quarter – taking the total to 1,895 – with gross profit increasing by 21% year-on-year to £171 million, driven by acquisitions and new openings across Continental Europe and UK&I regions.
The group’s growth is primarily driven by growth in the US, Australia and Continental Europe, including the group’s acquisition from OMV of 285 forecourts in southern Germany.
EG Group has promoted its group general counsel and company secretary, Imraan Patel to the role of chief strategy & business officer.
Meanwhile, the group has also welcomed a new chief financial officer Michael Bradley.
EG Group co-founder and co-CEO, Zuber Issa said: “Despite these macro-economic challenges, we continued to deliver against our strategic objectives by our ongoing investment in non-fuel retail, driving further innovation and cost efficiencies with our major brand partners and finally, strengthening our convenience store proposition with the ongoing rollout of Asda ‘On the Move’ across our UK forecourt network.
“The continued hard work of our colleagues was critical in the last quarter, and we remain committed to supporting them, our customers and our communities during these challenging times.
“Looking ahead, we remain cautious about the macro-economic outlook, but are confident that we have a highly resilient business, which is well-placed to outperform the wider market.”