Performance evaluation of European grocery retailers: a financial statement analysis

摘要

The objective of this paper is to analyse the financial statements of European grocery retailers to determine how their unique business model, strategies and characteristics explain the differences and similarities in their financial structure and performance. A total of 37 European grocery retailers from 14 European countries were classified into three clusters, namely: hypermarkets/supermarkets, convenience stores, and discount stores. A detailed financial statement analysis for the three clusters of retailers was conducted to identify the differences and similarities among various types of retailers. Besides, asset structure, capital structure, liquidity and profitability have been examined to determine if they depend on retailers' specific business models, strategies, and characteristics. With the exception of the capital structure which appears to be homogeneous, our results reveal substantial differences regarding the financial structures of the various clusters. Finally, the profitability of the different clusters is achieved in various ways depending on their specific business model and strategy.