Kesko reported higher sales and profit for the first half of 2026 on 22 July, supported by strong technical trade performance and market-share gains across its grocery chains in Finland.
Group net sales reached €6.41 billion in January–June, up 6.5% from €6.02 billion a year earlier. Comparable net sales increased by 4.4%.
Comparable operating profit rose by €23.8 million to €296.1 million, while reported operating profit increased to €287.6 million. Cash flow from operating activities strengthened from €299.5 million to €439.9 million.
Second-quarter net sales increased by 6% to €3.38 billion. On a comparable basis, sales grew by 4.2%. Comparable operating profit reached €194 million, compared with €176.7 million during the same period in 2025.
Technical trade produced the largest improvement, but Kesko also reported a stronger competitive position in the Finnish grocery retail market.
The grocery trade division generated second-quarter net sales of €1.62 billion. Comparable operating profit was €110.6 million, down slightly from €111.3 million a year earlier.
The decrease was linked to Kespro, Kesko’s foodservice business, where sales fell by 0.6% and profit declined by €2.2 million amid challenging market conditions.
K Group’s grocery sales increased by 4.3% during the quarter. Kesko estimated that Finland’s overall grocery market grew by approximately 2%, based on figures from the Finnish Grocery Trade Association.
All Kesko grocery chains gained market share within their respective store-size segments during both the second quarter and the first half. K-Supermarket recorded the strongest increase and operates in Finland’s largest grocery store segment.
Non-food sales at K-Citymarket increased by 4.4%, with the chain also gaining market share in the category. Kesko linked the grocery performance to continued investment in prices, store quality and its retail network.
The group expects consumer grocery sales to strengthen during the remainder of 2026, while the foodservice market is forecast to remain stable. Kesko expects the grocery division’s comparable operating margin to stay clearly above 6%, despite continued investment in prices and new and existing stores.
Building and technical trade remained the main driver of Kesko’s profit improvement. Second-quarter sales in the division increased by 14.3% to €1.41 billion, while comparable operating profit rose by €20.3 million to €71.2 million.
Sales improved across all operating countries, with technical trade recording particularly strong growth. Building and home improvement sales increased by 13.7%, supported by acquisitions, and by 6.2% on a comparable basis.
Kesko’s car trade division generated net sales of €353 million, broadly unchanged from the previous year. Comparable operating profit decreased by €3.2 million to €18.4 million, although used-car and service sales increased.
Kesko has narrowed its 2026 profit guidance. It now expects comparable operating profit of between €670 million and €730 million, compared with its previous range of €650 million to €750 million.
The company expects sales and comparable operating profit to improve across all divisions and operating countries in 2026, although consumer confidence, investment activity and geopolitical tensions remain sources of uncertainty.
Kesko is also progressing with its planned €1.2 billion acquisition of Dahl’s technical trade operations in Sweden, Norway and Denmark. Regulatory reviews have started, and completion is expected by the beginning of 2027.
Kesko will publish its January–September interim report on 29 October 2026.
Editor’s note: This article is based on Kesko Corporation’s half-year financial report, published on 22 July 2026. The Finnish grocery-market growth figure is Kesko’s estimate based on data from the Finnish Grocery Trade Association. Financial figures were supplied by Kesko.
