Slide 1: H1 2024 Results, Q2 2024 Sales
H1 2024 Results Q2 2024 Sales July 24th, 2024
Slide 2: Key takeaways
Key takeaways Alexandre Bompard, Chairman & CEO
Slide 3: H1 2024 Key financial highlights
H1 2024 Key financial highlights €743m €40.6bn Recurring Net Sales Operating Income Driven by EBITDA and +12.1% LFL WCR thanks to continued €1.2bn target confirmed +6.2% improvement in inventories for FY24 of which Strong growth in Brazil Stable +10.8% in Q2 €580m and solid performance in France Net
Slide 4: CSR – Successful H1 2024 initiatives
CSR – Successful H1 2024 initiatives CSR and Food Partnership Transition Index with GreenYellow 107% • -49% in GHG emissions vs. 2019 (vs. -40% in H1 23) • 48,105 partner producers (vs. 35,618 in H1 23) • 329 suppliers committed to the Food Transition Pact (vs. 233 in H1 23) Photovoltaic panels over
Slide 5: H1 2024 Strategic highlights
H1 2024 Strategic highlights Private labels accounted for e-commerce GMV Unlimitail is now in 37% of food sales, increased by 30%, 13 countries, and serves +2pts vs. H1 2023 driven by Brazil ~30 active retail partners R$2.3bn run-rate Fast expansion Closing of the synergies achieved including 10 Ata
Slide 6: Financial Results
Financial Results Matthieu Malige, Group CFO
Slide 7: Q2 sales growth +10.8% LFL
Q2 sales growth +10.8% LFL (2.9)% +10.8% (0.2)% (0.8)% (1.0)% €23,377m €22,708m › France: -3.5% › Europe: -2.7% (11.7)% › LatAm: +44.5% Q2 2023 Gross LFL Expansion & Petrol Calendar Forex Q2 2024 Gross sales M&A sales H1 2024 RESULTS July 24, 2024 7
Slide 8: Stabilization of food inflation at low-single digit in Europe
Stabilization of food inflation at low-single digit in Europe 12M food inflation in Europe 20% 18% 16% 14% 12% 4.2% 10% 2.5% 8% 6% 1.4% 4% 1.1% 2% 0.8% 0% MoM food inflation in France -2% 0.1% 0.3% 0.3% 0.4% 0.4% 0.1% 0.0% 0.0% 0.2% 0.1% 0.0% -1% (0.3)% (0.3)% (0.2)% Jun23 Jul23 Aug23 Sep23 Oct23 No
Slide 9: France: Aggressive price investments & margin improvement
France: Aggressive price investments & margin improvement France Q2 2024 LFL of -3.5% H1 2024 ROI up +6.2% ROI margin up +14bps at 1.6% › Food sales down -2.7% LFL; Non-food -10.9% LFL › Strong price investment more than offset by cost › Gradual improvement of market share dynamics discipline and po
Slide 10: Europe: Price investments and adverse weather in Q2
Europe: Price investments and adverse weather in Q2 Europe Q2 LFL of -2.7% Temporary pressure on ROI › Inflation slowing down in all markets › Price investments to protect competitiveness, › Sluggish market trends particularly in Spain › Poor weather conditions strongly affecting seasonal › Integrat
Slide 11: Brazil: Strong momentum lifted by strategic initiatives
Europe Brazil: Strong momentum lifted by strategic initiatives Brazil Q2 2024 LFL of +6.0% H1 2024 ROI up +46% › Market dynamics: growing volumes & return to positive › Positive operating leverage from sales growth food inflation › Increasing contribution to profit from ex-Grupo BIG › Atacadão: succ
Slide 12: Grupo BIG: Synergies achieved – Target raised to R$3.0bn by 2025
Grupo BIG: Synergies achieved – Target raised to R$3.0bn by 2025 €414m €(65)m R$2.3bn Rapid €(85)m execution of Run-rate portfolio synergies adjustments achieved vs. dis-synergies in 2022 & 2023 (closure & sale of Further potential in Q2 2024 and initial 2025 target of identified on commercial super
Slide 13: Argentina: roughly stable ROI
Europe Argentina: roughly stable ROI Argentina Q2 2024 LFL of +233.1% H1 2024 ROI down -€1.6m › Very high inflation context › Constant attention to costs • Negative food volumes in the market › -€5m IAS 29 impact • Monthly inflation slowing down through the first half ROI - €m H1 2023 H1 2024 Variat
Slide 14: ROI margin improvement in H1
ROI margin improvement in H1 H1 2024 ROI +6.2% in €m H1 2023 H1 2024 Variation Net Sales 40,743 40,619 -0.3% Gross margin 8,074 7,898 -2.2% Price investment, evolution of the As a % of net sales 19.8% 19.4% -37bps integrated/franchised store mix SG&A (6,356) (6,122) -3.7% As a % of net sales 15.6% 1
Slide 15: Adjusted EPS
Adjusted EPS in €m H1 2023 H1 2024 Recurring operating income 700 743 Net income from associates and JVs 24 14 Non-recurring income and expenses, net (186) (126) Lower reorganization plans vs H1 2023 EBIT 538 632 Net financial expenses (276) (430) Cost of debt, net (191) (198) Relatively stable Net
Slide 16: Stable Net Free Cash Flow
Stable Net Free Cash Flow EBITDA to Net FCF in €m H1 2023 H1 2024 Variation EBITDA 1,852 1,916 64 Income tax paid (146) (209) (63) IAS 29 adjustments related to Financial result (operations-related)(1) 15 (121) (136) hyperinflation in Argentina Cash impact of restructuring items and others (26) (82)
Slide 17: Net Free Cash Flow excluding real estate
Net Free Cash Flow excluding real estate (in €m) H1 2023 H1 2024 Variation Net free cash-flow (incl. real estate) (1,684) (1,704) (21) Real estate Capex 101 96 (5) Real estate asset disposal 242 208 (34) Net real estate investment/(disposal) (141) (112) (29) Net free cash-flow (excl. real estate) (1
Slide 18: Net debt variation
Net debt variation Net FCF is returned to shareholders Net debt slightly up with acquisitions and seasonality of buybacks +€378m in €m (1,602) 284 5,418 5,040 145 915 636 June 30, 2023 LTM Net FCF Dividends(1) Share buyback Net M&A(2) Forex and June 30, 2024 Net Debt Others(3) Net Debt Notes: (1) In
Slide 19: Appendix
a © APPENDIX
Slide 20: Carrefour 2026 objectives
Carrefour 2026 objectives OPERATIONAL OBJECTIVES 2023 H1 2024 2026 36% of food sales 37% of food sales 40% of food sales Private labels (+2 pts vs H1 23) Convenience store openings +653 vs. 2022 +1,001 vs.2022 +2,400 vs. 2022 Atacadão store openings +92 vs. 2022 +102 vs. 2022 >+200 vs. 2022 ESG OBJE
Slide 21: Q2 2024 Gross sales
Q2 2024 Gross sales Change at Change at LFL Organic growth Gross sales current constant ex. petrol ex. petrol (in €m) exch. rates inc. exch. rates inc. ex. calendar ex. calendar petrol petrol France 10,112 -3.5% -4.8% -4.2% -4.2% Hypermarkets 4,702 -5.5% -7.1% -6.4% -6.4% Supermarkets 3,456 -2.4% -3
Slide 22: Q2 2024 Technical effects
Q2 2024 Technical effects Calendar Petrol Forex France -0.9% +1.2% - Hypermarkets -0.7% +0.9% - Supermarkets -1.6% +1.5% - Others, incl. convenience -0.1% +1.3% - Other European countries -1.2% -0.2% +0.4% Spain -0.7% -0.6% - Italy -1.5% +0.2% - Belgium -1.1% - - Romania -0.3% -0.1% -0.6% Poland -4.
Slide 23: H1 2024 Gross sales
H1 2024 Gross sales Change at Change at LFL Organic growth Gross sales current constant ex. petrol ex. petrol (in €m) exch. rates inc. exch. rates inc. ex. calendar ex. calendar petrol petrol France 20,112 -2.0% -3.3% -3.2% -3.2% Hypermarkets 9,509 -3.4% -5.1% -5.1% -5.1% Supermarkets 6,848 -1.2% -2
Slide 24: H1 2024 Technical effects
H1 2024 Technical effects Calendar Petrol Forex France +0.2% -0.2% - Hypermarkets +0.4% -0.7% - Supermarkets -0.1% +0.3% - Others, incl. convenience +0.3% +0.1% - Other European countries +0.1% -0.4% +0.5% Spain -0.1% -0.8% - Italy +0.3% -0.2% - Belgium +0.1% - - Romania +0.6% -0.1% -0.9% Poland -0.
Slide 25: FX impact on results
FX impact on results H1 2024 CURRENCY evolution(1) -11.7% Brazilian Real -0.2% negative FX impact on H1 2024 gross sales Argentine Peso -75.3% Romanian Leu -0.8% -130m Polish Zloty +7.2% negative FX impact on H1 2024 ROI (1) Average foreign exchange rate H1 2024 RESULTS July 24, 2024 25
Slide 26: Net sales and recurring operating income by region
Net sales and recurring operating income by region NET SALES RECURRING OPERATING INCOME Variation Variation Variation Variation H1 2023 H1 2024 at constant at current H1 2023 H1 2024 at constant at current exch. rates exch. rates exch. rates exch. rates in €m France 18,694 18,146 -2.9% -2.9% 270 286
Slide 27: Non-recurring expenses
Non-recurring expenses in €m H1 2023 H1 2024 Restructuring costs (257) (77) Lower reorganization plans Goodwill reduction following Impairment and asset write-offs (56) (84) divestment of underperforming ex-Grupo BIG stores Results from asset disposals 42 37 Other non-current items 85 (2) Non-recurr
Slide 28: Tax expense
Tax expense in €m H1 2023 H1 2024 Income before taxes 262 201 Non-recurring income and expenses, net (186) (126) Income before taxes 448 327 (excl. non-recurring income and expense) Normative tax rate(1) 27.2% 27.6% Evolution of the geographic mix Normative tax expense (122) (90) Non income-based ta
Slide 29: H1 2024 income statement
H1 2024 income statement in €m H1 2023 H1 2024 Net sales 40,743 40,619 Net sales, net of loyalty program costs 40,302 40,159 Other revenue 1,287 1,343 Total revenue 41,589 41,502 Cost of goods sold (33,515) (33,604) Gross margin 8,074 7,898 SG&A (6,356) (6,122) Recurring operating income before D&A
Slide 30: Net income, Group share, adjusted for exceptional items
Net income, Group share, adjusted for exceptional items › Given the high volatility related to hyperinflation in Argentina and to exchange rates of the Argentine peso, the application of IAS 29 generates significant and unpredictable impacts on the financial result in Argentina (mostly non- cash), a
Slide 31: Enhanced liquidity and solid balance sheet
Enhanced liquidity and solid balance sheet Debt redemption schedule (in €m) – As of June 30, 2024 › Credit Rating as of June 30, 2024: BBB stable outlook by S&P 1,977 Baa1 stable outlook by Moody’s 477 › On June 30, 2024, average bond debt 1,527 maturity is at 3.9 years 277 › January 2024: €252m equ
Slide 32: Stores under banners at end Q2 2024
Stores under banners at end Q2 2024 Cash & Soft (#) Hypermarkets Supermarkets Convenience Sam’s Club Total Carry discount France 262 1,049 4,675 153 33 - 6,172 Other European countries 470 2,219 3,425 12 99 - 6,225 Spain 204 159 1,070 - 66 - 1,499 Italy 42 405 1,017 12 - - 1,476 Belgium 40 350 323 -
Slide 33: 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