Casino, Guichard-perrachon Sa · EURONEXT:CO
Casino, Guichard-perrachon Sa — FY2022 Earnings Presentation
37 slides from Casino, Guichard-perrachon Sa's earnings presentation, Mar 10, 2023
Slide 1: 2022 Annual results
2022 Annual results 10 March 2023
Slide 2: France highlights
France highlights Continued improvement in the business mix » Food retail: expansion in buoyant formats › Renewed growth1 for Parisian banners and convenience stores (Casino +6.6%, Franprix +3.4% and Monop' +11.2%), in line with the upturn in tourism and consumer spending in the Paris region › Succe
Slide 3: Latin America highlights
Latin America highlights Excellent performances from Assaí and Éxito Net sales EBITDA Trading profit In €m 2022 Change1 2022 Change1 2022 Change1 Éxito 4,424 +21% 362 +8% 228 +7% Assaí 10,016 +30% 689 +27% 514 +23% GPA 3,344 -32% 135 -52% (65) n.m. Latam 17,785 +9.7% 1,186 +2.8% 677 -0.5% » Assaí: a
Slide 4: France
France 4
Slide 5: Retail banners – France
1. Retail banners – France Business driven by convenience banners and expansion ESTIMATED TOTAL NET SALES, GROSS SALES UNDER BANNER (€m) AND STORE OPENINGS BY BANNER Gross merchandise volume (pre-tax Store Net sales incl. fuel) Openings Same-store 2021 2022 2021 2022 Change 2022 change Convenience &
Slide 6: Retail banners – France: Strategic priorities ramp-up
1. Retail banners – France Strategic priorities ramp-up » Return to growth in buoyant formats › H1: gradual return to growth in the various banners after Q1, which continued to see low tourist numbers › Q3: renewed momentum in Parisian banners › Q4: solid performance in Parisian and convenience stor
Slide 7: E-commerce and digital solutions
1. Retail banners – France E-commerce and digital solutions: a step ahead in the development of innovative solutions » Food E-commerce: confirmation of the validity of focusing development on home delivery and alliances with world leaders › Growth1 at +17%, outperforming the food e-commerce market,
Slide 8: Development of an offer adapted to the cost-of-living crisis
1. Retail banners – France Development of an offer adapted to the cost-of-living crisis » The Group has adapted its sales strategy to the inflationary environment › Anti-inflation basket : price of 500 products locked at less than 1€ › Fuel promotions in HM/SM (petrol coupons at 85 euro cents) › Fre
Slide 9: Cdiscount
2. Cdiscount Accelerated transformation to a marketplace model with strong growth in advertising and B2B revenues Reported Organic Key figures (in €m)1 2021 2022 growth growth Total GMV including tax 4,206 3,497 -16.8% -14.5% o/w direct sales 1,840 1,340 -27.2% o/w marketplace 1,518 1,421 -6.4% GMV
Slide 10: CSR
3. CSR A recognised CSR commitment » Climate and environmental protection › CDP score: A- (vs. B in 2021) › Reduction in Group carbon emissions: 2030 target of -38% versus 2015 for scopes 1 and 2 reached in 20221 › Ecowatt Charter – Energy savings plan: lowering temperatures in stores, switching off
Slide 11: Financial results
Financial results 11
Slide 12: Key figures
Key figures H2 trading profit stable at Group level and in the French Retail banners Change Change In €m H2 21 H2 22 Change at CER 20211 2022 Change at CER Net sales 16,069 17,707 +10.2% +4.0% 30,549 33,610 +10.0% +3.7% France Retail 7,207 7,270 +0.9% +0.9% 14,071 14,205 +1.0% +1.0% Cdiscount 1,083
Slide 13: H2 results – France Retail
H2 results – France Retail Stable trading profit in retail banners in H2, with strong growth in buoyant formats France Retail In €m H2 21 H2 22 Change 2021 2022 Change Net sales 7,207 7,270 +0.9% 14,071 14,205 1.0% Trading profit 367 341 -7.1% 530 482 -9.1% Margin (%) 5.1% 4.7% -40 bps 3.8% 3.4% -37
Slide 14: Results – E-commerce (Cdiscount)
Results - In a contracting post-Covid market, swift adjustment in the business mix and cost base E-commerce (Cdiscount) In €m H2 211 H2 22 Change 20211 2022 Change GMV2 2,215 1,712 -22.7% 4,206 3,497 -16.8% o/w marketplace sales 771 753 -2.3% 1,518 1,421 -6.4% % GMV 44.2% 53.3% +9 pts 45.2% 51.5% +6
Slide 15: Results – Latin America
Results – Latin America Excellent performance from Assaí and Grupo Éxito Change at In €m 2021 2022 Change CER Consolidated net sales 14,448 17,785 +23.1% +9.7% o/w GPA Brazil 4,184 3,344 -20.1% -31.9% o/w Assaí 6,568 10,016 +52.5% +30.0% o/w Grupo Éxito 3,695 4,424 +19.7% +20.7% EBITDA excl. tax cre
Slide 16: Underlying net profit (loss), Group share
Underlying net profit (loss), Group share Trading profit stabilised in H2, Latam impacted by financial expenses and a one-off tax charge in France Underlying net profit (loss), Group share In €m H2 21 H2 22 2021 2022 Trading profit and share of profit of equity- 766 742 1,236 1,127 accounted investe
Slide 17: Free cash flow – France scope
Free cash flow – France scope Cash generation impacted by cyclical effects on WCR In €m France (including Cdiscount & Segisor), excluding o/w: GreenYellow 2021 2022 €-98m in one-off expenses related to EBITDA 1,393 1,284 concept transformation (Hyper Frais, (-) lease payments (621) (599) Monoprix, e
Slide 18: Reduction in retail inventories in 2023
Reduction in retail inventories in 2023 After a sharp increase in 2020-2022, plan to reduce inventories by €190m in H1 2023 63 days -€190m 55 days ~45 days 46 days 2020 2021 2022 2023 » Increase in inventories since 2020 in a context of stock-outs (shortages, speculation, etc.) due to the Covid-19 c
Slide 19: Other operating income and expenses
Other operating income and expenses €145m improvement in non-recurring expenses, including €139m in France Other operating income and expenses 2021 2022 Change In €m Group (656) (512) 145 Latam (300) (336) (36) France (France Retail excluding GreenYellow + E-commerce) (309) (170) 139 GreenYellow (de
Slide 20: Debt reduction in France: €1,062m of financial debt repaid in 2022
Debt reduction in France: €1,062m of financial debt repaid in 2022 In €m €5,637m Segisor: 150 PGE1: 120 €4,575m Short-term debt2 308 60 Term Loan B 1,425 129 1,425 Bonds 3,634 2,961 At 31 Dec. 2021 At 31 Dec. 2022 » €1,062m3 of financial debt repaid in 2022 › Bond buybacks: €673m in 2022 (early rede
Slide 21: Change in consolidated net debt
Change in consolidated net debt €339m decrease in France net debt and increase in Latam debt due to the Assaí investment plan Net debt In €m 2021 2022 France including Segisor1 (4,845) (4,506) o/w: France Retail (4,365) (4,204) E-commerce (Cdiscount) (337) (302) Segisor (144) 0 Latam Retail (979) (1
Slide 22: Bond debt – France
Bond debt – France Outstanding bonds reduced from €5.1bn to €4.3bn Maturities of bond debt1 in France at 10 March 2023: €4.3bn (vs. €5.1bn at end-2021) In €m Unsecured At 31 December 2021 Secured 800 1425 558 11 460 314 220 653 509 449 525 357 400 Jun-22 Jan-23 Jan-24 Mar-24 Feb-25 Aug-25 Jan-26 Aug
Slide 23: Liquidity position – France
Liquidity position – France Group liquidity position of €2.5bn at 31 December 2022 » At 31 December 2022, the Group had: €2.5bn in liquidity at 31 December 2022 › €434m1 in cash and cash equivalents › €36m in the segregated account (cleared as of 25 January 2023) €2,008m » At that date, the Group al
Slide 24: 2023 Outlook
2023 Outlook Focus on operational improvement and debt reduction 1. Operational efficiency and development Inventory reduction plan: -€190m in the first half of the year to offset end-2022 excess inventory New cost-saving plan: -€250m in the retail banners Acceleration of the convenience store
Slide 25: Appendices
Appendices 25
Slide 26: Underlying diluted earnings per share
Appendices Underlying diluted earnings per share Underlying diluted earnings per share 2021 2022 Weighted average number of ordinary shares before 107,905,160 108,108,373 dilution Underlying net profit (loss), Group share (in €m) 89 (102) Dividends payable on perpetual deeply-subordinated (36) (47)
Slide 27: Underlying net financial expense
Appendices Underlying net financial expense 2021 2022 Interest Interest expense Total net expense Total net Net financial Lease financial Net financial Lease financial In €m expense liabilities expense expense liabilities expense France Retail (311) (150) (461) (260) (146) (406) E-commerce (38) (7)
Slide 28: Reconciliation of reported net profit to underlying net profit
Appendices Reconciliation of reported net profit to underlying net profit (continuing operations) 2021 2022 In €m 2021 Adjustments underlying 2022 Adjustments underlying Trading profit 1,186 - 1,186 1,117 - 1,117 Other operating income and (656) 656 - (512) 512 - expenses Operating profit 530 656 1,
Slide 29: Underlying non-controlling interests
Appendices Underlying non-controlling interests In €m 2021 2022 France Retail (1) 1 Latam Retail 281 142 o/w Grupo Éxito 94 53 o/w GPA and Assaí 187 89 E-commerce (Cdiscount) (8) (26) Total 272 117 Full-year Results – Friday, 10 March 2023 29
Slide 30: Consolidated net profit (loss)
Appendices Consolidated net profit (loss) In €m 2021 2022 Profit (loss) before tax (283) (334) Income taxes 86 9 Equity-accounted investees 49 10 Net profit (loss) from continuing operations (147) (314) o/w Group share (280) (279) o/w attributable to non-controlling interests 132 (35) Net profit (lo
Slide 31: Share of profit of equity-accounted investees
Appendices Share of profit of equity-accounted investees In €m 2021 2022 France Retail 33 2 o/w Mercialys 23 (1) o/w Franprix 0 (1) o/w GreenYellow (2) (3) o/w Other 11 7 Latam Retail 17 8 Total 49 10 Full-year Results – Friday, 10 March 2023 31
Slide 32: Breakdown of consolidated net debt after IFRS at 31 December 2022
Appendices Breakdown of consolidated net debt after IFRS 5 at 31 December 2022 Cash and cash IFRS 5 Net debt In €m Gross debt equivalents Net debt impact after IFRS 5 France Retail (4,625) 421 (4,204) 80 (4,124) E-commerce (316) 14 (302) - (302) (Cdiscount) Sub-total France (4,940) 434 (4 506) 80 (4
Slide 33: Change in net debt – France
Change in net debt – France Reduction of -€339m in France net debt in 2022 In €m France (including Cdiscount and Segisor) 2021 2022 Net debt at 1 January (4,051) (4,845) Free cash flow before disposal plan (110) (524) Cash financial expenses (320) (355) Dividends paid to holders of TSSDI deeply-subo
Slide 34: Consolidated income statement
Appendices Consolidated income statement In €m 2021 2022 CONTINUING OPERATIONS Net sales 30,549 33,610 Other revenue 504 394 Total revenue 31,053 34,004 Cost of goods sold (23,436) (26,109) Gross margin 7,617 7,895 Selling expenses (5,122) (5,366) General and administrative expenses (1,308) (1,413)
Slide 35: Consolidated statement of financial position
Appendices Consolidated statement of financial position In €m 31 December 2021 31 December 2022 Goodwill 6,667 6,933 Property, plant and equipment, intangible assets and investment property 7,059 7,786 Right-of-use assets 4,748 4,489 Investments in equity-accounted investees 201 382 Deferred tax ass
Slide 36: Puts included in the statement of financial position
Appendices Puts included in the statement of financial position % Value at Value at Exercise In €m capital 31/12/2021 31/12/2022 period Majority-held Franprix 45 32 Various dates franchised stores Monoprix 3 2 Various dates Casino Participations France 26 0 Cnova NCI puts 1 1 2023 GreenYellow NCI pu
Slide 37: Disclaimer
Appendices Disclaimer This presentation contains forward-looking information and statements about Casino. Forward-looking statements are statements that are not historical facts. These statements include financial forecasts and estimates and their underlying assumptions, statements regarding plans,
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