Slide 1: Full Year Results
FULL YEAR RESULTS March 5*, 2014
Slide 2: Financial Results
FINANCIAL RESULTS Pierre-Jean SIVIGNON
Slide 3: 2013 preliminary remarks
2013 preliminary remarks • Reorganization of the partnership in Turkey: Reclassification of expenses and income related to discontinued operations on the "Net income from discontinued operations" line in the income statement in 2012 and 2013 in accordance with IFRS 5 • Implementation on January 1st
Slide 4: Strong growth in 2013 earnings
Strong growth in 2013 earnings 2012 Change at Change at (in €m) pro forma (1) 2013 (2) constant rates current rates Net sales 75,673 74,888 +2.0% -1.0% Net sales ex. petrol 67,481 66,911 +2.5% -0.8% Gross margin 16,671 16,847 +4.4% +1.1% EBITDA (3) 3,642 3,669 +4.3% +0.7% EBITDA margin 4.8% 4.9% ROI
Slide 5: Robust organic growth
Robust organic growth 2013 sales variation (in €bn and %) +2.3% +2.3% +0.1% +2.0% 77.4 -0.4% 77.2 €bn €bn -1.0% 75.7 €bn -3.0% 74.9 €bn 2012 Organic 2013 organic Petrol Acquisitions/ 2013 net sales Currencies 2013 net sales growth net sales effect Disposals at constant net sales ex petrol ex petrol
Slide 6: Faster organic growth in 2013
Faster organic growth in 2013 Regional organic ex petrol growth in 2012 and 2013 (in %) +12.5% +12.3% +2.2% +2.3% +1.0% +1.0% +0.2% 2012 2013 -1.6% -2.5% -2.8% France Europe Latin America Asia Group 6
Slide 7: Solid growth in gross margin
Solid growth in gross margin Change at Change at Change at Change at (in €m) H2 2012 H2 2013 constant rates current rates 2012 2013 constant rates current rates Net sales 38,910 38,442 +2.6% -1.2% 75,673 74,888 +2.0% -1.0% Gross margin 8,763 8,861 +5.4% +1.1% 16,671 16,847 +4.4% +1.1% Gross margin 2
Slide 8: Operating costs under control
Operating costs under control Change at Change at Change at Change at (in €m) H2 2012 H2 2013 constant rates current rates 2012 2013 constant rates current rates Operating 7,373 7,396 +4.4% +0.3% 14,546 14,610 +3.7% +0.4% and asset costs As a % of sales 18.9% 19.2% +30bp 19.2% 19.5% +30bp • Good con
Slide 9: France: 3rd consecutive half of improved profitability
France: 3rd consecutive half of improved year-on-year profitability (in €m) H2 2012 H2 2013 Change 2012 2013 Change Net sales 18,347 18,491 +0.8% 35,341 35,438 +0.3% ROI 648 717 +10.7% 922 1,198 +29.9% ROI margin % 3.5% 3.9% +40bp 2.6% 3.4% +80bp • ROI of €1.2bn, up almost 30% or +80 bp in operating
Slide 10: Other Europe: Improved profitability in H2
Other Europe: Improved profitability in H2 (in €m) H2 2012 H2 2013 Change 2012 2013 Change Net sales 10,180 10,044 -1.3% 19,786 19,220 -2.9% ROI 350 352 +0.1% 503 388 -22.8% ROI margin % 3.4% 3.5% +10bp 2.5% 2.0% -50bp • Improved performance in H2 in a challenging environment – Improved gross margin
Slide 11: Other Europe: Improved profitability in H2
Other Europe: Improved profitability in H2 Change in Recurring operating income margin (in €M and %) 3.5% 3.4% 1.6% 3,4% 350 3,5 352% 2012 153 0.4% 2013 36 H1 H2 11
Slide 12: Latin America: Very strong growth in sales and profitability
Latin America: Very strong growth in sales and profitability Change at Change at Change at Change at (in €m) H2 2012 H2 2013 constant rates current rates 2012 2013 constant rates current rates Net sales 7,295 6,833 +12.7% -6.3% 14,174 13,786 +13.0% -2.7% ROI 376 409 +28.1% +8.8% 607 627 +18.6% +3.2%
Slide 13: Asia: Rise in sales, continued expansion in China
Asia: Rise in sales, continued expansion in China Change at Change at Change at Change at (in €m) H2 2012 H2 2013 constant rates current rates 2012 2013 constant rates current rates Net sales 3,087 3,074 +2.7% -0.4% 6,373 6,443 +2.6% +1.1% ROI 69 33 -49.4% -52.2% 179 131 -25.8% -27.0% ROI margin % 2
Slide 14: Personal Financial Services and Insurance
Continued development in Personal Financial Services and Insurance Net Banking Income Recurring Operating Income (1) (in €m and %) (in €m and %) +7.8% -0.7% +1.4% -7.1% 1,160 -5.9% 1,091 1,076 399 396 -6.4% 371 €m €m €m €m €m €m 2012 NBI Organic 2013 NBI Currencies 2013 NBI 2012 ROI Organic 2013 ROI
Slide 15: Very significant increase in net income from continuing operations
Very significant increase in net income from continuing operations (in €m) 2012 2013 Recurring operating income 2,124 2,238 • Capital gains of €425m from disposals Non-recurring items (660) 144 • Significant decrease in net non-recurring expenses (asset impairment, transformation EBIT 1,465 2,382 pr
Slide 16: Stable operating working capital
Stable operating working capital Operating Working Capital (in days of COGS) 2012 2013 pro forma Clients 2 2 Inventories 34 35 Slight changes in inventories and supplier payment terms which offset each other Suppliers -66 -67 Total -30 -30 Stable operating working capital 16
Slide 17: Significant pick-up in investment
Significant pick-up in investment Investments (in €m) 2012 2013 pro forma 1,032 France(1) 637 409 Other Europe 309 Latin America 308 457 Asia 251 261 • Strong pick-up in maintenance and remodeling investments, Total 1,504 2,159 particularly in France • Further expansion in Latin America and Asia (1)
Slide 18: Resilient free cash flow excluding exceptionals
Resilient free cash flow excluding exceptionals (in €m) 2012 2013 Gross cash flow excluding exceptional items (1) 3,073 3,044 Change in operating working capital 145 76 Other changes in working capital (405) (359) Capital expenditures (1,504) (2,159) Change in net payables to fixed asset suppliers (
Slide 19: Further decrease in net debt
Further decrease in net debt (in €m) 2012 2013 Opening net debt (at December 31st) (6,911) (4,320) Free cash flow 765 26 Acquisitions (209) (57) Disposals 159 542 Others 114 2 Discontinued activities 1,961 493 Cash flow after investments & disposals 2,790 1,005 Dividends paid by parent company (137)
Slide 20: Improved liquidity position
Improved liquidity position Debt redemption schedule as of December 31st 2013 • Bond issuances (in €m) Maturity before – €1bn in May 2013 (maturity 2019) bond buy-back in H1 2013 with a 1.75% coupon New bond issuances in 2013 1 250 • Bond buy-back – €1.3bn of nominal repurchased on 2014, 2015 1 000
Slide 21: Proposed dividend of €0.62 per share
Proposed dividend of €0.62 per share • Proposed dividend of €0.62 per share will be submitted at the Annual General Meeting on April 15th, 2014: – Payout of 46% of Net income, Group share, adjusted for exceptional items in line with our policy – Payable in cash or shares 21
Slide 22: Conclusion
<6 FULL YEAR RESULTS March 5%, 2014 CONCLUSION
Slide 23: Growth momentum in 2013
Growth momentum in 2013 • Strong growth in Group earnings • Improvement in all formats in France, rebound in profitability in other European countries in the second half • Remarkable sales increase in Latin America and faster organic growth in Asia • Growth in Recurring operating income of +9.8% at
Slide 24: Appendices
APPENDICES March 5th, 2014
Slide 25: Income statement 2013
Income statement 2013 (€m) 2012 2013 % change Sales, net of taxes 75,673 74,888 -1.0% Sales, net of taxes and loyalty 75,021 74,299 -1.0% Other revenues 2,309 2,375 +2.9% Total revenues 77,330 76,675 -0.8% Cost of goods sold -60,659 - 59,828 -1.4% Gross margin from current operations 16,671 16,847 +
Slide 26: Adjusted net income
Adjusted net income €m 2012 2013 Variation Net income from continuing operations, Group share 150 949 x 6.3 Restatement for non recurring income and expenses (before tax) 660 (144) Restatement for exceptional items in net financial expenses 284 175 Tax impact (1) (178) (42) Restatement on share of i
Slide 27: Earnings per share
Earnings per share € per share 2012 2013 Net income from continuing operations 0.22 1.37 Net income from discontinued operations 1.62 0.45 Net income, Group share 1.84 1.82 Adjusted net income, Group share 1.30 1.34 Weighted average number of shares (million) pre-dilution (1) 682.6 694.9 (1) The pot
Slide 28: Stores under Group banners at year-end 2013
Stores under Group banners (incl. franchisees and partners) at year-end 2013 Hypers Supers Convenience Cash & Carry TOTAL France 234 949 3,458 138 4,779 Spain 172 118 166 0 456 Belgium 45 438 246 0 729 Italy 58 394 654 19 1,125 Poland 88 139 408 0 635 Romania 25 81 56 0 162 Other 87 486 265 0 838 Ot
Slide 29: Disclaimer
Disclaimer This press release 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
Slide 30: Full Year Results
FULL YEAR RESULTS March 5*, 2014