METRO returns with a profit and plans to pay a dividend - financial expert analyzes the business figures

METRO returns with a profit and plans to pay a dividend - financial expert analyzes the business figures

According to a report by www.finanzen.net, the wholesaler METRO returns to the black after two years of losses in a row. The company plans to pay a dividend to shareholders again, but expects earnings to be at zero for the current financial year, which could jeopardize the dividend payment. Despite the uncertain dividend development, the share price is rising.

However, the group's business figures disappoint analysts as the target for adjusted operating profit in the new financial year is lower than expected. The planned dividend is largely based on one-off gains from the sale of the India business. The METRO share has lost significant value in recent years, which is worrying investors.

Despite the resumption of the dividend and the forecast increase in sales, expectations for the coming financial year are cautious. The board expects sales to stagnate in Russia and below-average growth in Germany. In addition, the board expects a possible decline in adjusted operating profit of up to 100 million euros.

The investments in digitalization and the expansion of the delivery business should help increase the group's sales to over 40 billion euros by 2030. Nevertheless, the future prospects for METRO and its shares remain uncertain as the challenges include huge cost increases and uncertain dividends.