Carrefour Sa · EURONEXT:CA
Carrefour Sa — Q4 2019 Earnings Presentation
22 slides from Carrefour Sa's earnings presentation, Jan 23, 2020
Slide 1: Q4 2019 Sales
Q4 2019 Sales January 23, 2020
Slide 2: Highlights
Highlights FOURTH-QUARTER 2019 FULL-YEAR 2019 SOLID GROWTH IN SALES, UP +3.1% LFL ACCELERATION IN SALES GROWTH TO +3.1% LFL (VS +1.8% IN 2018) Confirmation of the return to growth in Spain (+1.2% LFL), driven by a further increase in tickets Growth above +25% in sales of organic products in 2019, to
Slide 3: Carrefour 2022 Recent initiatives
01 Carrefour 2022 Recent initiatives
Slide 4: Leader in the food transition for all
Leader in the food transition for all LEADERSHIP IN FOOD TRANSITION IS CONSOLIDATED Organic products sales • Carrefour consolidates its leadership position in the food transition for all in France (€bn) • “A” ranking in Climate Change CDP (Carbon Disclosure Project) >+25% SUPPORTING AGRICULTURAL SEC
Slide 5: Construction of a sustainable and profitable growth model (1/2)
Construction of a sustainable and profitable growth model (1/2) PRIORITY TO CUSTOMER SATISFACTION • NPS® progression in all countries • NPS® progression over time contributes to the improvement in LFL • NPS® generalized and incorporated into the variable remuneration scheme (since 2019) Group’s NPS®
Slide 6: Construction of a sustainable and profitable growth model (2/2)
Construction of a sustainable and profitable growth model (2/2) PROFOUND REVAMP OF HYPERMARKETS • Reduction of underproductive non-food sales area: c.115,000 sqm at end-2019 • Continued adaptation of the non-food offer • Roll-out of specialist areas (Bio Experience in organic, Beauté Plurielle, etc.
Slide 7: Operational efficiency and financial discipline
Operational efficiency and financial discipline CONTINUED ACTIONS TO IMPROVE OPERATIONAL PERFORMANCE AND TRANSFORM ORGANIZATIONS ORGANIZATIONAL TRANSFORMATION • Collective Contractual Severance agreement finalized in French hypers (~3,000 people) • In Italy, headcount reduction plan completed with 5
Slide 8: Financial analysis
02 Financial analysis
Slide 9: Q4 2019 sales: Another quarter of growth, +3.1% LFL
Q4 2019 sales: Another quarter of growth, +3.1% LFL +1.1% -1.0% +3.1% +0.0% -0.6% +2.5% -2.4% +0.1% +€85m +0.5% -0.9% +0.7% +15.1% +1.3% France Europe LatAm Asia €21.7 €22.3 €21.7 €21.8 bn bn bn bn Q4 2018 LFL Calendar Openings Scope, Petrol Q4 2019 Forex Q4 2019 IAS 29 Q4 2019 restated ex petrol cl
Slide 10: FY 2019 sales: Accelerating growth, +3.1% LFL
FY 2019 sales: Accelerating growth, +3.1% LFL +3.1% -0.0% +1.2% -0.9% -1.2% +2.1% -2.4% -0.4% €(63)m -0.4% -0.1% -0.1% +14.6% +1.3% France Europe LatAm Asia €81.0 €82.7 €80.7 €80.7 bn bn bn bn FY 2018 LFL Calendar Openings Scope, Petrol FY 2019 Forex FY 2019 IAS 29 FY 2019 restated ex petrol closure
Slide 11: FY 2019 ROI expected at c.€2,090m
FY 2019 ROI expected at c.€2,090m Group 2019 reported ROI1 expected to be around €2,090m Up by c.+€145m at constant exchange rates (c.+7.4%) compared to 20182 France’s 2019 reported ROI1 expected to show double-digit growth Significant increase in expected 2019 ROI 1 2019 ROI includes Rue du Commerc
Slide 12: France: Tough environment marked by strikes
France Tough environment marked by strikes Convenience & Q4 - in €m Total Sales Hypermarkets Supermarkets other formats Sales inc. VAT 10,343 5,472 3,336 1,534 Total variation -2.4% -4.5% +0.0% +0.1% LFL ex. petrol ex. -0.9% -3.4% +2.2% +1.1% calendar* *Q4 2019 calendar effect is estimated at +0.1%
Slide 13: Other European countries: Another sequential LFL improvement
Other European countries Another sequential LFL improvement Q4 - in €m Total Sales Spain Italy Belgium Poland Romania Sales inc. VAT 6,446 2,732 1,320 1,122 638 633 Total variation +0.1% +1.2% -3.6% -2.4% +3.8% +4.7% LFL ex. petrol +0.7% +1.2% -2.2% -1.1% +4.7% +4.5% ex. calendar* *Q4 2019 calendar
Slide 14: Latin America: Strongly accelerating growth
Latin America Strongly accelerating growth Q4 - in €m Total Sales Brazil Carrefour Retail Atacadão Argentina** Sales inc. VAT 4,491 3,871 1,269 2,602 620 Total variation +5.4% +6.3% +7.7% +5.7% +0.2% LFL ex. petrol ex. +15.1% +7.6% +12.7% +5.5% +57.4% calendar* *Q4 2019 calendar effect is estimated
Slide 15: Asia: Growth in Taiwan
Asia Growth in Taiwan Q4 - in €m Total Sales Taiwan Sales inc. VAT 464 464 Total variation +9.6% +9.6% LFL ex. petrol ex. calendar* +1.3% +1.3% *Q4 2019 calendar effect is estimated at +0.3% in Taiwan. No petrol sales in Asia. Good performance of Taiwan: Total sales up +5.0% at constant FX • +1.3% L
Slide 16: Ambitions confirmed
Ambitions confirmed Operational targets FINANCIAL OUTLOOK €2.6bn cost • Reduction of 350,000 sqm hypermarket sales area worldwide by 2022 reduction plan on an annual basis by 2020 • -15% reduction in assortments by 2020 €4.2bn of food • Carrefour-branded products accounting for one-third of sales in
Slide 17: Appendix
<6 Appendix January 23, 2020
Slide 18: Q4 2019 gross sales
Q4 2019 gross sales Change at current Change at constant LFL Organic growth Gross sales exch. rates inc. exch. rates inc. ex. petrol ex. petrol (in €m) petrol petrol ex. calendar ex. calendar France 10,343 -2.4% -2.4% -0.9% -2.4% Hypermarkets 5,472 -4.5% -4.5% -3.4% -4.0% Supermarkets 3,336 +0.0% +0
Slide 19: Full year 2019 gross sales
Full year 2019 gross sales Change at current Change at constant LFL Organic growth Gross sales exch. rates inc. exch. rates inc. ex. petrol ex. petrol (in €m) petrol petrol ex. calendar ex. calendar France 38,861 -2.6% -2.6% -0.1% -1.4% Hypermarkets 20,021 -3.6% -3.6% -2.1% -2.6% Supermarkets 12,818
Slide 20: Q4 technical effects
Q4 technical effects Calendar Petrol Forex France +0.1% -0.4% - Hypermarkets +0.3% -0.8% - Supermarkets -0.0% +1.1% - Others, inc. convenience -0.3% -2.2% - Other European countries -0.0% -0.0% -0.2% Spain +0.3% -0.1% - Italy +0.1% +0.5% - Belgium -1.1% - - Poland +0.4% -1.5% +0.3% Romania -0.1% -0.
Slide 21: Stores under banners at end Q4 2019
Stores under banners at end Q4 2019 (#) Hypermarkets Supermarkets Convenience Cash & Carry Total France 248 1,071 3,959 146 5,424 Other European countries 455 1,798 2,646 60 4,959 Spain 205 111 810 23 1,149 Italy 51 417 608 13 1,089 Belgium 40 441 308 0 789 Poland 89 153 664 0 906 Romania 37 266 44
Slide 22: 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 materially