Slide 1: Full Year Results
<6 FULL YEAR RESULTS
Slide 2: Financial Results
FINANCIAL PIERRE JEAN SIVIGNON Deputy Chief Executive Officer, RESULTS Chief Financial Officer
Slide 3: Further Profit Growth in 2015
FURTHER PROFIT GROWTH IN 2015 Variation at Variation at constant current (in €m) 2014 2015 (1) exch. rates exch. rates Net sales 74,706 76,945 +4.1% +3.0% Net sales excluding petrol 67,237 70,244 +5.5% +4.5% Gross margin 17,049 18,019 +6.4% +5.7% EBITDA (2) 3,803 3,955 +6.7% +4.0% EBITDA margin 5.0%
Slide 4: 3.0% Growth in Organic Sales in 2015
3.0% GROWTH IN ORGANIC SALES IN 2015 2015 sales variation (in €bn and %) +0.6% +3.0% +2.5% +4.1% -1.1% +3.0% +2.4% €77.7 €76.9 bn €76.9 bn -1.4% bn €74.7 bn 2014 LFL Openings/ 2015 Petrol Acquisitions/ 2015 Currencies 2015 net sales Closings ex. petrol impact Disposals net sales at impact net sales
Slide 5: Fourth Consecutive Year of Growth for Carrefour
FOURTH CONSECUTIVE YEAR OF GROWTH FOR CARREFOUR Organic ex. petrol sales growth from 2012 to 2015 (in %) +3.0% CAGR CUMULATIVE c +2.5% +10.6% +3.9% +2.3% +1.0% 2012 2012 2013 2015 2014 2015 5
Slide 6: Gross Margin Holds Up Well
GROSS MARGIN HOLDS UP WELL Gross margin Gross margin (in €m) (As a % of net sales) +6.4% at constant exch. rates +60bp Further improvement 17,049 18,019 in gross margin as a result of action plans and growth cin sales volumes, 22.8% 23.4% particularly in Latin America Marge commerciale en M€ 2014 20
Slide 7: Good Control of Operating Costs
GOOD CONTROL OF OPERATING COSTS Operating costs Operating costs (in €m) (As a % of ex. petrol sales) Operating costs under control +6.1% +20bp in France and stable at constant exch. rates 13,070 in other European countries 12,373 18.4% 18.6% Wage and energy inflation in Latin America and Asia Coûts
Slide 8: Evolution of Asset Costs
EVOLUTION OF ASSET COSTS Asset costs Asset costs (in €m) (As a % of ex. petrol sales) +7.4% +20bp at constant exch. rates Continuing maintenance and renovation program 2,505 2,289 3.4% 3.6% Coûts d'actifs en M€ 2014 2015 8
Slide 9: France: Solid Performance
FRANCE: SOLID PERFORMANCE Net sales ROI Organic growth (1) Operating margin Further organic sales growth 3.7% 3.6% proforma (2) 3.4% Gross margin 2.6% 3.3% holds up well +1.0% +1.2% +1.1% 1.19 €bn 36.3 Proforma operating margin €bn up 10bp -1.6% 2012 2013 2014 2015 (1) Organic ex. Petrol, ex. calend
Slide 10: Other European Countries: Further Increase in Profitability
OTHER EUROPEAN COUNTRIES: FURTHER INCREASE IN PROFITABILITY Net sales ROI ROI up 33.4%, Organic growth (1) Operating margin 70bp improvement in operating margin 2.9% Improved sales trend in H2 2.5% 2.2% 2.0% 567 +1.2% €m Increased profitability in all 19.7 countries €bn -0.3% Continued action plans
Slide 11: Latin America: Another Year of Strong Growth
LATIN AMERICA: ANOTHER YEAR OF STRONG GROWTH Net sales ROI Strong sales growth Organic growth (1) Operating margin in Latin America despite a more difficult environment +18.1% 4.9% +15.7% 4.7% 4.5% Gross margin +12.5% +12.3% 4.3% Improvement 14.3 705 €bn €m +23.5% increase in ROI (at constant exch.
Slide 12: Asia: Repositioning of the Operating Model in China, Growth in Taiwan
ASIA: REPOSITIONING OF THE OPERATING MODEL IN CHINA, GROWTH IN TAIWAN Net sales ROI Organic growth (1) Operating margin Robust gross margin 2.8% 2.0% 1.5% 13 €m Repositioning of our +2.2% 0.2% operating model in China +0.2% -1.8% 6.7 €bn Resumption of growth -9.5% in Taiwan 2012 2013 2014 2015 (1) O
Slide 13: A Well-Balanced Footprint with Several Growth Engines
A WELL-BALANCED FOOTPRINT WITH SEVERAL GROWTH ENGINES Breakdown of Breakdown of 2015 net sales 2015 ROI Solidity in France 19% Recovery in Europe 29% 8% 47% Growth in Latin America 47% 1% 23% Repositioning of the operating model 26% in China and return to growth in Taiwan France Europe ex. France As
Slide 14: Drop in Net Interest Expenses
DROP IN NET INTEREST EXPENSES (in €m) 2014 2015 2014: Mainly due to capital gains linked to the asset contribution for Recurring operating income 2,387 2,445 the creation of Carmila Net income from associates and joint ventures 37 44 2015: Mainly due to restructuring ROI including associates and joi
Slide 15: Growth in Adjusted Net Income, Group Share
GROWTH IN ADJUSTED NET INCOME, GROUP SHARE (in €m) 2014 2015 Income before taxes 2,010 1,717 Income tax -709 -597 Effective tax rate 35.3% 34.8% Net income from continuing operations 1,300 1,120 Minority share of net income from continuing operations -118 -143 Net income from continuing operations,
Slide 16: Consistency in Investment Policy: €2.4bn in 2015
CONSISTENCY IN INVESTMENT POLICY: €2.4bn IN 2015 Breakdown of 2015 Breakdown of 2015 Continued program to bring stores investments by region investments by nature up to standards 22% 15% 22% Multi-format expansion, as illustrated by Atacadao 45% 9% 37% 26% Investments in IT simplification and omni-c
Slide 17: Stabilization of Investments, in Line with the Sector
STABILIZATION OF INVESTMENTS, IN LINE WITH THE SECTOR Comparative evolution of investments as a % of net sales 2012 - 2015 Sector Carrefour 5 4 3 2 1 2012 2013 2014 2015 Source : Annual reports and Bloomberg for 2015 estimates 17 Sector : Auchan, Ahold, Casino, Tesco, Walmart
Slide 18: Free Cash Flow of Close to €1bn in 2015
FREE CASH FLOW OF CLOSE TO €1BN IN 2015 (in €m) 2014 2015 Gross cash flow (excluding discontinued operations) 2,504 2,733 Change in working capital 19 81 Capital expenditures -2,411 -2,378 Change in net payables to fixed asset suppliers -17 136 Asset disposals (business related) 124 104 Impact of di
Slide 19: Sharply Improved Free Cash Flow in 2015
SHARPLY IMPROVED FREE CASH FLOW IN 2015 Change in free cash flow (continuing operations, excluding exceptional items) (in €m) Increase of 153 €m 62 €m +287 €m -93 €m -64 €m 951 229 €m €m 664 €m Free cash flow from Change Change Change Impact of exceptional Others(1) Free cash flow from continuing Gr
Slide 20: Drop in Net Debt in 2015
DROP IN NET DEBT IN 2015 Net debt (in €m) 347 €m 98 €m 390 €m Drop in net debt of 4,954 €m 951 €m 408 €m 208 €m 4,546 €m 394 €m 310 €m Opening Dividends Dividends Cost of net Free cash flow Disposals of Disposal of Exceptional items Closing net debt paid by paid to non- financial debt investments wi
Slide 21: Improved Credit Rating and Extended Debt Maturity
IMPROVED CREDIT RATING AND EXTENDED DEBT MATURITY Debt redemption schedule (in €m) On February 3rd 2015, issuance of a 1,250 €750m bond with a maturity of 10.3 years and a 1.25% coupon 1,000 1,000 1,000 1,000 750 667 On June 12th 2015, €644m of bonds reached maturity 279 At end 2015, the average bon
Slide 22: Increase in Proposed Dividend: €0.70 per Share
INCREASE IN PROPOSED DIVIDEND: €0.70 PER SHARE Dividend of €0.70 proposed to the General Shareholder’s Meeting on May 17th, 2016 Payout of 45% of adjusted net income, Group share, in line with our distribution policy Payment in shares or in cash 22
Slide 23: Conclusion
<6 CONCLUSION
Slide 24: Continued Growth Momentum in 2015
CONTINUED GROWTH MOMENTUM IN 2015 Strong sales growth Sales up 3.0% on an organic basis Growth on an already strong base in 2014 Solid profit growth +7.0% growth in Recurring Operating Income at constant exch. rates and +11.5% proforma +7.1% growth in adjusted net income, Group share Strong improvem
Slide 25: Appendix
<6 APPENDIX
Slide 26: 2015 Income Statement
2015 INCOME STATEMENT Variation at (in €m) 2014 2015 current exch. rates Net sales 74,706 76,945 +3.0% Net sales, net of loyalty 74,097 76,393 +3.1% Other revenues 2,221 2,464 +10.9% Total revenues 76,318 78,857 +3.3% Cost of goods sold -59,270 -60,838 Gross margin 17,049 18,019 +5.7% SG&A -13,281 -
Slide 27: Recurring Operating Income
RECURRING OPERATING INCOME 2014 Variation at Variation €m Restated 2015 current exch. rates proforma1 France 1,271 1,191 -6.4% +1.8% Other European countries 425 567 +33.4% +34.2% Europe 1,697 1,758 +3.6% +9.9% Latin America 660 705 +6.9% +23.5% Asia 97 13 -87.0% -87.6% Emerging countries 757 718 -5
Slide 28: Adjusted Net Income, Group Share
ADJUSTED NET INCOME, GROUP SHARE €m 2014 2015 Variation Net Income from continuing operations, Group share 1,182 977 -17.4% Restatement for non recurring income and expenses (before tax) -149 257 Restatement for exceptional items in net financial expenses 3 65 Tax impact (1) -10 -159 Restatement on
Slide 29: Earnings per Share
EARNINGS PER SHARE € per share 2014 2015 Net income from continuing operations 1.67 1.35 Net income from discontinued operations 0.09 0.00 Net Income, Group share 1.77 1.36 Adjusted Net Income, Group share 1.47 1.54 Weighted average number of shares pre-dilution (in millions) (1) 707.4 723.1 (1) The
Slide 30: Stores under Banners at End 2015
STORES UNDER BANNERS (INCL. FRANCHISEES AND PARTNERS) AT END 2015 Hypermarkets Supermarkets Convenience Cash & Carry TOTAL France 242 1,003 4,263 142 5,650 Spain 173 126 419 718 Belgium 45 441 267 753 Italy 59 441 583 18 1,101 Poland 84 153 576 813 Romania 29 110 53 192 Other 99 825 566 1,490 Other
Slide 31: 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