Almacenes Exito SA · BVC:EXITO
Almacenes Exito SA — Grupo Éxito — Q1 2022 Earnings Presentation
35 slides from Almacenes Exito SA's earnings presentation, May 4, 2022
Slide 1: 1Q22 Grupo Éxito Financial Results
May 4, 2022 1Q22 Grupo Éxito Financial Results “The Issuers Recognition -IR granted by the Colombian Stock Exchange is not a certification about the quality of the securities listed at the BVC nor the solvency of the issuer”.
Slide 2: Note on forward looking statements
Note on forward looking statements This document contains certain forward-looking statements based on data, assumptions and estimates, that the Company believes are reasonable; however, it is not historical data and should not be interpreted as guarantee of its future occurrence. Grupo Éxito operate
Slide 3: Agenda
Agenda • Financial and operating highlights • Performance by country • Consolidated financial results • Q&A session 3
Slide 4: Consolidated financial & operating highlights
Consolidated financial(1) & operating highlights A solid retail performance driven by higher sales and expense control despite the inflationary trend, favoured recurrent EBITDA growth (15.8%) Recurrent EBITDA 1Q22 Net Sales Omni-channel SSS(2) +20.6% +15.8%, 7.7% margin Highlights +21.9% (+35% adj b
Slide 5: ESG Strategy Follow-up
ESG Strategy Follow-up ESG initiatives to generate value: economic growth, social development and environmental protection Zero malnutrition My planet Sustainable trade • 23,960 children benefited from • 5,013 tons of material collected at • 90% of fruit and vegetables nutrition and complementary pr
Slide 6: Net Sales & SSS performance in Colombia
Net Sales (1) & SSS (1) performance in Colombia A strong 20% SSS(1) growth reflected volume gains (+7.4%), successful commercial events and improved consumption levels 1Q22 Low-cost & Other (2) Variations SSS (1) 20.0% 20.4% 15.7% 22.9% Total (1) 21.0% 20.5% 15.3% 29.2% Total MCOP 3,319,165 2,336,99
Slide 7: Performance by segment
Performance by segment Consistent growth across all segments confirmed the positive retail trend seen in previous quarters Éxito: Carulla: Low-cost & Other(2): • Sales +20.5% (1), SSS +20.4% (1) • Sales +15.3% (1), SSS +15.7% (1) • Sales +29.2% (1), SSS +22.9% (1) • “Aniversario Éxito” sales +24.5%
Slide 8: Innovation in models & formats
Innovation in models & formats Share on Colombia sales from innovation in models and formats reached 33.5% in 1Q22 Total banner 219 101 60 37 stores Total stores of new 37 model/format 19 22 25 5y expansion & +32 Full / +99 Econo +16 full / +42 Midi +40 +75 conversion potential (inc. 6 of La 14) Sha
Slide 9: Omni-channel
Omni-channel(1) Sales +8.5%, 11.8% share on total sales and 2.6M orders Total Sales Share on sales(2) Orders 1Q22 Highlights 2.6 M (+24.8%) MCOP $396K (+8.5%) 11.8% Food: Non-food: ✓ Sales +13.3% ✓ Sales +3.4% ✓ 9.6% share on sales (vs. ✓ 16% share on sales (vs. 10.2% in 1Q21) 18.2% in 1Q21) Omni-ch
Slide 10: Omni-channel
Omni-channel(1) Sales +8.5%, 11.8% share on total sales and 2.6M orders Total Sales Share on sales(2) Orders 1Q22 Highlights 2.6 M (+24.8%) MCOP $396K (+8.5%) 11.8% (vs. 13% in 1Q21) E-commerce Apps ✓ COP $117K M in sales ✓ 1.7 M active downloads ✓ 40 M visits (+7.2%) (+30.6%) ✓ 219K orders ✓ +51.2%
Slide 11: Asset and Traffic Monetization
Asset and Traffic Monetization Macro trend favored consumption, financial retail and loyalty performance Financial Retail Puntos Colombia • 209,000 cards issued (+135%) • 2.8 M cards in stock (+4%) • Loan portfolio of COP $4.1 B (+36%) ✓ 133 allied brands • Lower NPL 30 levels (mid single-digit ) •
Slide 12: Asset and Traffic Monetization: Real Estate
Asset and Traffic Monetization Real Estate: a hidden value to the Company´s share valuation Real Estate Business Viva Malls The most important complementary business 18 assets and 568k of GLA through the and contributor to margins investment vehicle in COP M 1Q21 1Q22 % Var FY 2021 763k sqm of GLA N
Slide 13: Operating Results: Colombia
Operating Results: Colombia Recurring EBITDA growth (+8.4%) and margins above pre-pandemic historic average levels from a solid top line growth and cost/expense control in COP M 1Q22 1Q21 % Var Net Sales 3,319,165 2,746,660 20.8% Other Revenue 207,846 219,366 (5.3%) Net Revenue 3,527,011 2,966,026 1
Slide 14: Operating Results: Uruguay
Operating Results: Uruguay EBITDA margin gains (+84 bps) favoured by an improved tourism season and costs efficiencies in COP M 1Q22 1Q21 % Var Net Sales 761,220 625,262 21.7% Total LC Sales (exc. CE adjustment) Other Revenue 6,797 5,524 23.0% +11.1% Net Revenue 768,017 630,786 21.8% +7.0% Gross pro
Slide 15: Operating Results: Argentina
Operating Results: Argentina A strong EBITDA margin gain of 244 bps from improved retail and real estate performance amidst operating efficiencies in COP M 1Q22 1Q21 % Var Net Sales 294,763 218,291 35.0% Other Revenue 12,243 4,182 192.8% Net Revenue 307,006 222,473 38.0% Gross profit 104,109 73,564
Slide 16: Consolidated Financial Results
Consolidated Financial Results EBITDA grew 15.8% from solid top line growth and operating efficiencies despite inflationary pressures in COP M 1Q22 1Q21 % Var Net Sales 4,375,148 3,590,213 21.9% Other Revenue 226,819 228,959 (0.9%) Net Revenue 4,601,967 3,819,172 20.5% Gross Profit 1,174,498 1,016,5
Slide 17: 1Q22 Group Share Net Result
1Q22 Group Share Net Result Positive contribution from retail offset by higher provisions of TUYA and the statutory tax rate Highlights • Positive contribution from the retail business and lower non-recurring expenses • Negative effects mainly from higher provisions due to TUYA boosted commercial dy
Slide 18: 1Q22 Debt and Cash at Holding Level
1Q22 Debt and Cash at Holding(1) Level A solid cash position driven by top line growth, increased cash flow generation to shareholders´(2) by 866.5% in thousand million COP LTM 1Q22 LTM 1Q21 Variation EBITDA 1,038 902 15.1% Operational results before WK 886 703 26.1% Lease liabilities amortizations
Slide 19: Next steps for the share buyback
Next steps for the share General Shareholders Assembly approved the buyback proposal and buyback 1. instructed the Board of Directors to regulate it proposal 2. Launch and implementation of the share buyback, if approved by the GSA Share 10 days End of Share Results review Fulfillment (T + 3) buybac
Slide 20: 1Q22 Conclusions
1Q22 Conclusions A solid retail performance, operating efficiencies and EBITDA growth (15.8%) from a consistent customer-centered strategy Consolidated • Profitable sales (+21.9%) and SSS (+20.6%(1)) growth and above CPI levels across all countries • Consistent contribution to sales from innovation,
Slide 21: Appendices
Appendices
Slide 22: 1Q22 Consolidated Financial Results
1Q22 Consolidated Financial Results in COP M 1Q22 1Q21 % Var Net Sales 4,375,148 3,590,213 21.9% Other Revenue 226,819 228,959 (0.9%) Net Revenue 4,601,967 3,819,172 20.5% Cost of Sales (3,403,740) (2,785,351) 22.2% Cost D&A (23,729) (17,286) 37.3% Gross Profit 1,174,498 1,016,535 15.5% Gross Margin
Slide 23: 1Q22 P&L and Capex by Country
1Q22 P&L and Capex by Country Income Statement Colombia Uruguay Argentina Consol in COP M 1Q22 1Q22 1Q22 1Q22 Net Sales 3,319,165 761,220 294,763 4,375,148 Other Revenue 207,846 6,797 12,243 226,819 Net Revenue 3,527,011 768,017 307,006 4,601,967 Cost of Sales (2,700,671) (500,755) (202,459) (3,403,
Slide 24: Consolidated Balance Sheet
Consolidated Balance Sheet in COP M Dec 2021 Mar 2022 Var % in COP M Dec 2021 Mar 2022 Var % Assets 16,901,179 15,695,074 (7.1%) Liabilities 8,872,702 7,780,695 (12.3%) Current assets 5,833,360 4,580,403 (21.5%) Current liabilities 6,518,400 5,398,832 (17.2%) Cash & Cash Equivalents 2,541,579 1,139,
Slide 25: Consolidated Cash Flow
Consolidated Cash Flow in COP M Mar 2022 Mar 2021 Var % Profit 85,625 100,420 (14.7%) Adjustment to reconciliate Net Income 316,693 276,101 14.7% Cash Net (used in) Operating Activities (1,319,924) (1,240,492) 6.4% Cash Net (used in) Investment Activities (57,416) (232,437) (75.3%) Cash net provided
Slide 26: Debt by Country and Maturity
Debt by Country and Maturity Net debt breakdown by country 31 Mar 2022, (millions of COP) Holding (2) Colombia Uruguay Argentina Consolidated Short-term debt 458,688 490,894 530,047 - 1,020,941 Long-term debt 716,904 716,904 - - 716,904 Total gross debt (1) 1,175,592 1,207,798 530,047 - 1,737,845 Ca
Slide 27: 1Q22 Holding P&L
1Q22 Holding(1) P&L in COP M 1Q22 1Q21 % Var Net Sales 3,322,890 2,748,799 20.9% Other Revenue 129,075 160,715 (19.7%) Net Revenue 3,451,965 2,909,514 18.6% Cost of Sales (2,696,278) (2,222,299) 21.3% Cost D&A (20,590) (14,446) 42.5% Gross profit 735,097 672,769 9.3% Gross Margin 21.3% 23.1% (183) b
Slide 28: Holding Balance Sheet
Holding(1) Balance Sheet in COP M Dec 2021 Mar 2022 Var % in COP M Dec 2021 Mar 2022 Var % Assets 14,422,470 13,275,382 (8.0%) Liabilities 7,541,065 6,522,796 (13.5%) Current assets 4,686,474 3,436,818 (26.7%) Current liabilities 5,137,135 4,075,080 (20.7%) Cash & Cash Equivalents 2,063,528 682,748
Slide 29: Store Number and Sales Area
Store Number and Sales Area Banner by country Store number Sales Area (sqm) Colombia Exito 219 612,692 Carulla 101 87,284 Surtimax 70 29,684 Super Inter 60 58,601 Surtimayorista 37 35,870 Total Colombia 487 824,131 Uruguay Devoto 59 40,116 Disco 30 35,252 Geant 2 16,411 Total Uruguay 91 91,779 Argen
Slide 30: 2022E Outlook
2022E Outlook • Top line growth benefited by innovation, omni-channel and complementary businesses • To maintain Recurring EBITDA levels at consolidated level considering inflationary pressures on expenditure • Omni-channel to represent a high-single digit share on consolidates sales • Expansion(1)
Slide 31: Grupo Éxito Strategic Pillars
Grupo Éxito Strategic Pillars Leading transformation by focusing on customer and key retail trends Omni-client Our people 4. Asset / Traffic 1. Innovation 2. Omni-channel 3. Digital Transformation 5. ESG Monetization ▪ Models & Formats ▪ E-commerce ▪ Apps ▪ Loyalty Coalition ▪ Zero malnutrition ✓ Pr
Slide 32: ESG Strategy
ESG Strategy Six pillars with clear purposes, strategic focus and contribution, aligned with Sustainable Development Goals Work towards the eradication Environmental protection Promote sustainable trade of chronic child malnutrition • Actions to manage climate practices in Colombia by 2030 change •
Slide 33: Grupo Éxito's Ecosystem
Grupo Éxito´s Ecosystem Leading retail through innovation and integration of BU´s across a comprehensive ecosystem with strong synergies #1 loyalty coalition in Colombia, +130 allied #1 shopping brands and 5.5 M clients mall operator Multi-banner and in Colombia multi-format retail structure #3 real
Slide 34: María Fernanda Moreno R. Head of Investor Relations
María Fernanda Moreno R. Head of Investor Relations +574 6049696 Ext 306560 mmorenor@grupo-Éxito.com Cr 48 No. 32B Sur – 139, Av. Las Vegas Envigado, Colombia www.grupoÉxito.com.co Éxitoinvestor.relations@grupo-Éxito.com •“The Issuers Recognition -IR granted by the Colombian Stock Exchange is not a
Slide 35: Slide 35