Kespro growth helps Kesko grocery to grow

Despite losing against the growth of the market (and losing market share), Kesko grocery achieves record profits of 8,5%. That is very high profitability for a grocery business. Some of the increased profitability can be attributed to the restaurant wholesale operation Kespro.,

Kespro is growing by 16,9%, even though the comparison numbers are somewhat typical (not Covid). 

Kespro operates a somewhat more profitable business than the grocery business, which grew by a meagre 0,9% (against 5% market growth). For the extraordinarily high profitability of the Kesko grocery (K-entrepreneurs not included), Kespro is only a tiny fraction: only about 14% of the entire grocery wholesale revenue for Kesko. Thus, one should put less weight on the profitability of Kespro.

Online represented 2,6% of the overall grocery business. During the third quarter, the online business turned back to growth: +3,4%.