EG Group Reduces Debt – following sale of UK and Ireland Forecourts

EG Group Reduces Debt – following sale of UK and Ireland Forecourts
EG Group's Issa brothers

The EG Group has reported reducing its debts following the sale of UK and Ireland forecourts to ASDA earlier this year for almost £2 billion (£1.98bn). The sale combined with proceeds from the sale of non-core US assets, have allowed for the repayment of almost £4 billion of the group’s debt.

Growth in gross profit during Q3 came mainly from foodservice, grocery and merchandise. The Group’s Foodservice gross profit increased by 24% to $221m for the quarter, boosted by increased sales activity and improved margins across UK&I and Continental Europe, and driven by increased footfall, particularly across the Benelux region.

Zuber Issa and Mohsin Issa, CBE co-founders and co-CEOs of EG Group, said: “We continued to deliver upon our key strategic priorities in Q3, including growing gross profit in our foodservice, and grocery and merchandise businesses. In particular, foodservice – which continues to represent a significant growth opportunity globally – delivered a standout performance with gross profit up 24% in Q3, driven by increased revenues, as customers responded positively to our evolving and compelling proposition.”

Also in Q3, the Issas did a “ground-breaking deal” with Tesla to purchase their latest ultra-fast charging units. They said this demonstrated how they continue to progress their strategy on EVs and alternative fuels, as reported in Forecourt Trader.