Carrefour Sa · EURONEXT:CA
Carrefour Sa — Q3 2018 Earnings Presentation
19 slides from Carrefour Sa's earnings presentation, Oct 17, 2018
Slide 1: Q3 2018 Sales
Q3 2018 Sales October 17th 2018
Slide 2: Q3 Highlights
Q3 Highlights Strong momentum in the roll-out Acceleration in sales growth: +2.1% LFL of the Carrefour 2022 transformation plan Continued roll-out of the omnichannel offer Better momentum in France, driven by an improved Acceleration of the revamp of the in-store commercial commercial performance in
Slide 3: Strong momentum in the roll-out of the Carrefour 2022 transformation plan
STRONG MOMENTUM IN THE ROLL-OUT OF THE CARREFOUR 2022 TRANSFORMATION PLAN 3
Slide 4: Continued roll-out of the omnichannel offer in all countries
Continued roll-out of the omnichannel offer in all countries Q3 achievements Status to date / Outlook ● Launch of the single website in Italy ● All countries with a single merchant website by the end of the year ORDER after Brazil, Poland and Romania in H1 ● Deployment of solutions for online order
Slide 5: In-depth revamping of in-store commercial proposition on track
In-depth revamping of in-store commercial proposition on track PRICE COMPETITIVENESS ● Commercial investments continued in the third quarter REVAMPING OF ASSORTMENTS ● Optimization of assortment through ● Promoting a responsible and accessible simplification to concentrate on high-rotation product o
Slide 6: Acceleration of expansion of growth formats
Acceleration of expansion of growth formats CASH & CARRY ● Brazil: − Q3: +4 Atacadão − YTD: +14 new Atacadão − Target: +20 new Atacadão per year in 2018 and beyond ● Argentina: − +12 new conversions to Maxi by end October − FY 2018 target : 16 conversions CONVENIENCE STORES ● Q3: 126 new stores ● YT
Slide 7: Continued progress on partnerships; purchasing alliances enter operational phase
Continued progress on partnerships; purchasing alliances enter operational phase Key partnerships Purchasing alliances moving forward Scope Latest developments Major French national brands: Launch of the operational negotiations conducted by "Envergure" implementation of the "Envergure" for both Car
Slide 8: All components of the efficiency plan on track
All components of the efficiency plan on track EFFICIENCY PLAN Organization Cost savings Capex Inventory transformation -39% in H1 All plans signed in H1 and €520m achieved in H1 Continuous efforts implementation well on track: Selectivity and France: productivity efforts • Exit of the ex-DIA stor
Slide 9: Act for Food: A global campaign to promote the food transition for all
Act for Food: A global campaign to promote the food transition for all Global campaign launched in September and rolled out in every country ● France 9 commitments including: − 100% of fresh, eggs and milk branded Carrefour − Support for conversion by farmers to organic Bio sourced in France farming
Slide 10: 2018 Q3 Sales
2018 Q3 SALES 10
Slide 11: Q3 LFL sales: Acceleration vs the first half
Q3 LFL sales: Acceleration vs the first half LFL ex petrol ex calendar H1 2018 Q3 2018 Trend France -0.1% +1.6% Europe -1.5% -1.5% Latam +6.4% +9.7% Asia -3.9% -2.8% Group total +0.7% +2.1% Q3 2018 SALES 11
Slide 12: Total Q3 2018 Sales: Accelerating sales, up +2.7% at constant exchange rates
Total Q3 2018 Sales: Accelerating sales, up +2.7% at constant exchange rates Change in Q3 2018 Sales – (in €m and %) +2.1% -1.0% +1.2% -0.7% +1.3% +2.7% -5.5% -2.8% €21.7 bn +9.7% -2.8% €21.1 bn +1.6% -1.5% France Europe LatAm Asia Q3 2017* LFL Calendar Expansion Other Petrol Q3 2018 Forex Q3 2018 e
Slide 13: France: Improvement of LFL in Q3 in all formats
France: Improvement of LFL in Q3 in all formats (in €m) Total Sales Hypermarkets Supermarkets Other formats France LFL ex petrol ex calendar Sales inc. VAT (€m) 10,096 5,183 3,291 1,622 2.0% 1.5% 1.6% 0.5% -0.1% Total variation +2.1% +0.3% +3.2% +6.1% -0.2% -0.9% LFL ex petrol ex Q1 Q2 Q3 Q4 Q1 Q2 Q
Slide 14: Other European countries: Stable LFL trend in Q3 vs H1
Other European countries: Stable LFL trend in Q3 vs H1 (in €m) Europe Spain Italy Belgium Poland Romania Sales inc. VAT 5,802 2,472 1,258 1,045 494 534 Europe LFL ex petrol ex calendar (€m) 3.4% 0.9% 0.6% Total variation -1.6% -1.7% -5.7% -1.3% +2.1% +6.1% -0.8% -1.5% 0.4% Variation at constant -1.3
Slide 15: Latin America: Continuing strong sales momentum
Latin America: Continuing strong sales momentum Carrefour (in €m) LatAm Brazil Retail Atacadão Argentina Sales inc. VAT 3,612 3,040 980 2,061 572 (€m) LatAm LFL ex petrol ex calendar Total variation -15.8% -12.5% -17.4% -10.0% -29.7% 9.7% 7.8% 8.4% 6.9% Variation at constant 5.9% +11.7% +8.1% +2.2%
Slide 16: Asia: Improving trends
Asia: Improving trends (in €m) Asia China Taïwan Sales inc. VAT (€m) 1,577 1,032 545 Asia LFL ex petrol ex calendar Total variation -3.4% -7.6% +5.7% -3.0%-3.0% -2.8% -4.0% -3.9% Variation at constant FX -2.6% -6.6% +6.0% -4.2% -4.7% LFL ex petrol ex calendar* -2.8% -4.8% +1.4% Q1 Q2 Q3 Q4 Q1 Q2 Q3
Slide 17: The Group benefits from a solid balance sheet
The Group benefits from a solid balance sheet Credit Rating as at September: BBB+ negative outlook (S&P), Baa1 stable outlook (Moody’s) Successful refinancing operations conducted in the first half, for an amount exceeding €900m On March 27, 2018, issuance On June 5, 2018, of $500 million non-diluti
Slide 18: Financial highlights and outlook
Financial highlights and outlook The continuing revamp of the omnichannel commercial proposition and financial discipline, in line with the Carrefour 2022 transformation plan, strengthen the Group’s growth potential and Free Cash Flow generation. The group confirms all its targets, notably: − A cost
Slide 19: Disclaimer
DISCLAIMER This presentation contains both historical and forward-looking statements. These forward-looking statements are based on Carrefour management's current views and assumptions. Such statements are not guarantees of future performance of the Group. Actual results or performances may differ m