Bottom line shows hardly any growth in 2012

Last year Rona, the Canadian DIY and builders’ merchant trading group, recorded a sales increase of 1.7 per cent to C$ 4.884 bn. However, this increase was mainly down to the existence of a 53rd week by comparison with the year 2011. In like-for-like terms sales of the consumer and trade segment were 0.3 per cent down (-1.1 per cent excluding the 53rd week). This contrasts with a 6.4 per cent increase in sales through affiliated dealers. In the fourth quarter Rona recorded sales of C$ 1.195 bn , or 2.2 per cent more – also mainly by reason of the additional week – than in the same period one year previously. Consumer and trade sales were 2.4 per cent up like-for-like, though 0.7 per cent down without the extra week. Sales through the affiliated dealers were 5.9 per cent up. The company has also announced its strategy for a restructuring operation from 2013 to 2015. Besides a concentration on streamlining the head office, this also involves the concept of proximity and satellite stores, which now account for some 20 per cent of the sales of the stores operating independently. The first neighbourhood store following the new concept opened in August 2012. It aims for a shopping basket which is 20 per cent higher on average than that achieved by the large-format DIY stores it is replacing. The stores currently operating under the Totem brand name are among those that are to be converted to the new concept. The Réno Dépôt format, which is geared to professionals and experienced DIYers, is currently being revamped as well.