EG Group revenues jump 25% to $33bn

Asda owners the Issa brothers’ EG Group has revealed its full-year revenues surged 25% to $33.04bn (£22.5bn), which it said was boosted by the contribution of recent acquisitions. For the full year ended 31 December 2022, the group’s EBITDA increased by 1.9% to $1.46bn (£1.28bn). It said its foodservice business continued to make good progress, reflecting its “unparalleled offering and continuous innovation” across its proprietary and popular third-party brands. It added its ongoing growth in Foodservice was supported by an increase in outlets globally, and 88 new openings in the year across the group, reflecting its “disciplined approach” to capital investment. In addition, EG has agreed the disposal of 26 non-core sites under the Minit Mart banner in the group’s central USA portfolio for total gross proceeds of $48m (£40m), with no impact on EBITDA of the group. Zuber Issa, CBE co-founder and co-CEO of EG Group, said: “In 2022, we delivered a highly resilient performance, despite macro-economic headwinds. We continued to expand our successful Foodservice business through disciplined investment in our unparalleled offering and ongoing innovation across proprietary and popular third-party brands. “The Grocery and Merchandise business also performed well in 2022 and customers continue to respond positively to our converted Asda On the Move convenience stores. We again made good progress in Fuel against a highly competitive backdrop across our markets, and are encouraged by our ongoing trial of ultra-fast chargers and infrastructure, evpoint, in the UK, as part of our energy transition plans to lower-carbon fuels.” He added: “As we previously stated, management is committed to further significant deleveraging and is actively exploring additional opportunities to put in place a sustainable capital structure for the Group to underpin our long-term strategy. We have made progress with our plans and taken the first steps in this process by agreeing a $1.5bn sale and lease back on a portfolio of sites on the east coast of the USA, and a $48m disposal of a number of non-core sites in our central US portfolio. “Looking ahead, we remain confident that EG is well-positioned to continue to outperform the wider market and execute on our strategic objectives. I would also like to thank our colleagues for their dedication, hard work and resilience over the past year.”