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Ahold says SNAP cuts are slowing U.S. sales growth
['Mark Hamstra']
supermarketnews
Ahold Delhaize said cuts to the Supplemental Nutrition Assistance Program reduced the company’s U.S. sales growth in the second quarter and will have an ongoing impact through 2026.
The company reported U.S. comparable-store sales gains of 0.8% for the second quarter, and net sales gains of 1.4%, to about $15 billion, at constant exchange rates.
Other factors that are slowing sales growth relative to a year ago included lower egg prices and pharmacy pricing changes related to the Inflation Reduction Act.
SNAP sales account for about 5.3% of Ahold Delhaize’s total sales in the U.S., the company said.
The SNAP cuts, pharmacy pricing challenges, reduced egg prices and a calendar shift together combined to reduce sales growth about 1.7% in the quarter, the company said.