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Groupe Casino: First Half 2019 Results and Second Quarter 2019 Net Sales

Acceleration of activity growth in France for all banners

Confirmation of full-year 2019 profit and cash flow objectives,
in line with rapid progress in cost reductions

Acceleration of debt reduction: new net debt target in France of less than €1.5bn
at end-2020 and beyond, with non-payment of the dividend in 2020

  • Consolidated net sales up +3.5%1 on an organic basis to €17.8bn in first-half 2019
    • In France, faster same-store growth in the second quarter, at +0.7% (a +0.7pt increase vs. Q1), and at +2.5% over two years (up +1.2pt vs. Q1)
    • Cdiscount: sharp acceleration in growth of gross merchandise volume (GMV) of +13.0%2 in Q2 2019
      (vs. +9.2%2 in Q1) with a marketplace share in GMV at 40.1% (up +3.5pts)
    • In Latin America, strong growth maintained (+10.1%4), led by Assaí in Brazil
  • Consolidated trading profit excluding tax credits3 up +12.9%4 to €347m4
    • France trading profit of €151m, with +11bps growth in retail margin, with the additional rents relating
      to the disposal plan more than offset by the net reduction in costs
    • Cdiscount EBITDA margin up +96bps, in connection with the marketplace share
    • GPA trading profit up +7.0% on an organic basis, excluding tax credits
  • Rapid progress made on strategic priorities in France
    • €60m worth of cost savings achieved (head office, store and logistics costs) and 2019 target raised to €130m (from an initial target of €100m)
    • Disposal and closure plan of loss-making stores (so called “Rocade Plan”): 15 hypermarkets already sold,
      €52m full-year gain in trading profit secured and disposal proceeds of €233m (€150m net of closure costs); confirmation of the objective of €90m secured recurring annual gains as at end-2019
    • Ongoing expansion on buoyant formats (30 stores opened in H1 and 50 more planned in H2)
    • Strong E-commerce growth of +28% and extension of the Amazon offer to Paris, its suburbs and other major French cities in H2 2019
    • Acceleration in the new energy businesses (GreenYellow project pipeline representing 350MWp
      at 30 June vs. 150MWp at 31 December) and data (RelevanC net sales up +38% to €24m)
  • Sale of Via Varejo on 14 June 2019 and launch of a major project to simplify the structure in Latin America
  • 2019 full-year objectives confirmed in France. The reduction in CAPEX and inventory plans (down €105m
    in the first semester) are consistent with the cash flow generation target of €0.5bn for the year
  • Acceleration of the debt reduction plan to reach net debt in France of less than €1.5bn at end-2020
    and maintain this level over time
    , thanks to the achievement of the €2.5bn disposal plan of which €2.1bn have been signed and to non-payment of the dividend in 2020, representing a total saving
    of around €500m from dividends over 18 months

In €m
H1 2018 H1 2019 Reported
change
Organic
change
4
H1 2018
incl. IFRS 16
H1 2019
incl. IFRS 16
Net sales 17,787 17,841 +0.3% +3.5% 17,787 17,841
EBITDA 772 663 -14.0% -8.6% 1,200 1,127
Trading profit 437 347 -20.7% -12.1% 517 437
Trading profit excl. tax credits 337 347 +2.9% +12.9% 417 437
Underlying net profit (loss), Group share5 46 (16) n.m. n.m. 36 (35)
Net debt (5,441) (4,738) +703   (5,383) (4,698)
o/w France (4,019) (2,901) +1,117   (4,009) (2,894)

First-half 2019 highlights

  • Cost saving plan: savings delivered ahead of schedule and annual objective raised from €100m
    to €130m

The Group initiated a cost saving plan designed to generate at least €200m in savings by 2020. Savings
of €60m were achieved in first-half 2019
: (i) optimisation of (banner and corporate) head office expenses
and store costs (saving of €29m); (ii) better purchasing conditions for goods not for resale (saving of €16m);
(iii) synergies on logistics between banners (saving of €15m). In the second half, the Group expects to achieve €70m in additional savings, raising the total for the year to €130m (for an initial target of €100m) taking into account the progress made on H1 action plans ahead of schedule.

  • Rocade Plan: recurring €52m annual improvement in trading profit secured and €90m objective confirmed

At the end of 2018, the Group launched a plan for the disposal and closure of loss-making stores (Rocade Plan). To date, 56 stores have been disposed of, of which 39 integrated stores including 15 hypermarkets,
and 118 stores have been closed, including 56 integrated stores.
These transactions represent a €52m gain
in trading profit on a full year basis for integrated stores and €27m for the master-franchisees in which
the Group has a 49% interest (i.e. €13m gain in Group share of net profit). Non-recurring costs of €85m have been incurred in connection with the plan (€35m in H2 2018 and €50m in H1 2019) and are largely covered
by disposal proceeds of €233m.
The roll-out of the plan will continue in the second half, to meet the objective of a €90m total gain in trading profit on a full-year basis.

  • Acceleration in buoyant formats, E-commerce and digital solutions

Store openings in buoyant formats continued, with close to 30 new premium and convenience stores opened
in H1 2019.
50 new store openings are planned in H2 in these formats.

Activity was once again dynamic in the priority segments, with sales of organic products up +7.8%5
and E-commerce up +11.5%1. During the first half, gross sales under banner in food E-commerce rose by +28% to €187m, driven notably by the partnership with Amazon. The partnership has been expanded in three areas: extension of Monoprix product delivery to additional major provincial cities, integration of 3,500 Casino
private-label products on the platform and roll-out of Amazon Lockers in 1,000 stores, with deployment scheduled from H2 2019.

Cdiscount’s non-food E-commerce experienced +11.0%6 organic growth in GMV, led by the increasing contribution of the marketplace to GMV (40.1% in Q2 2019) and solid growth in B2B monetisation revenues
(which doubled between Q2 2018 and Q2 2019) and B2C (+41% between Q1 2019 and Q2 2019 of which Cdiscount Voyage and energy).

  • Growth in the Group’s new businesses: energy, data and data centres

GreenYellow consolidated its leadership in the decentralised photovoltaic systems market by more
than doubling its solar projects pipeline in six months, from 150MWp at end-2018 to 350MWp at 30 June 2019. New energy performance contracts were signed and the solutions platform was enhanced with the deployment of the first network of ultra-fast electric vehicle charging stations in France.

3W-relevanC’s data business posted 38% growth in the first half, led by core transaction data analytics
for advertising campaigns.

The ScaleMax data centre business was launched in the first half of 2019 with the installation of a first centre
in a Cdiscount warehouse with a current capacity of 10,000 cores.

  • Sale of Via Varejo and launch of a project to simplify the Group’s structure in Latin America

The disposal process of Via Varejo was completed on 14 June 2019 with the sale of GPA’s stake in Via Varejo
for a total disposal price of €615m.

On 27 June 2019, a project was launched to simplify the Group’s structure in Latin America, notably
by combining all of its activities in the region under GPA and migrating GPA shares to the Novo Mercado, which is a liquid segment offering access to an extended base of international investors.

After examination by a committee of independent directors, on 24 July 2019, GPA’s Board of Directors approved the launch of an all-cash tender offer for Éxito shares at a price of COP 18,000. GPA's filing of its offer will take place after Éxito's approval of the agreements giving Casino sole control over Segisor (the holding company that controls GPA) and allowing it to purchase Éxito's stake in Segisor based on the price of BRL 109 per GPA share. On the same day, Casino’s Board of Directors approved the purchase offer at a price of BRL 109 per share, which was submitted to Éxito’s Board of Directors for review.

  • Progress on the asset disposal plan and acceleration of debt reduction in France

The Group continued to roll-out the plan for the disposal of non-strategic assets during the first half. Total disposals signed to date represent €2.1bn, for an objective of €2.5bn at end-Q1 2020 at the latest. Of these amounts, €1.5bn have already been received (including €380m in H1 2019). Transactions still to be completed concern the sale of store properties to the Apollo fund for €374m, due to close by October, and the sale of Vindémia to GBH for €219m, due to be close once the deal has been reviewed by the competition authorities.

The Group intends to accelerate its debt reduction and is targeting net debt in France of less than €1.5bn
at end-2020, to be maintained sustainably at this level in subsequent years,
taking into account
(i) non-payment of the interim dividend in 2019 and any dividends in 2020; (ii) completion of the disposal plan scheduled by the end of Q1 2020, and (iii) the objective to generate €0.5bn in annual cash flow in France before interest and dividends.

  • Others

On 23 May 2019, Casino has been informed by its reference shareholder, Rallye, of the launch of a safeguard procedure relating to respectively Rallye and its mother companies. These procedures do no relate
to Casino Group, nor its operations, nor the ongoing execution of its strategic plan (cf. note 2 “significant events” in the half year financial report).

Second-quarter 2019 sales

In the second quarter of 2019, Group net sales came to €8,988m, an increase of +1.1% in total. The currency and fuel effects had unfavourable impacts of -1.6% and -0.2% respectively over the period, while the calendar effect had a positive impact of +0.3%. On a same-store basis, consolidated net sales rose by +2.3%7, driven by
a dynamic +3.8% growth in Latin America and an increase of +0.7% in France, including E-commerce (Cdiscount).

In France, sales were up +0.7% on a same-store basis (an acceleration of +0.7pt vs. Q1 and +1.2pt over two years to +2.5%). All banners recorded an improvement, notably Géant hypermarkets (+1.6%) and Casino Supermarkets (+1.4%). Monoprix and Franprix maintained positive customer traffic trends and saw a gradual improvement in net sales, as the impact of the “yellow vests” in Paris came to an end. The sales dynamic
was favourable, with continued growth in the buoyant organic and food E-commerce segments.

Cdiscount picked up pace in the second quarter, posting organic growth in GMV of +13.0%2. This performance was driven by the growing marketplace share, now representing 40.1% of GMV, a year-on-year increase
of +3.5 pts, which was supported by Fulfillment’s rapid progress (+57%). B2C services maintained a very strong growth dynamic during the quarter (+41% in Q2 vs. Q1 2019), led by the extension of the offering
to include travel and health. The platform continued its international expansion, with delivery now available
in 25 countries
.

In Latin America (GPA Food and Éxito), sales rose by +3.8% on a same-store basis and by +8.8% on an organic basis. Up +5.6% in total, net sales were impacted by an unfavourable currency effect of -3.9%. GPA Food posted same-store growth in sales of +3.4% and organic growth of +10.3%. Assaí continued to record very strong gains, of +8.1%8 on a same-store basis and +23.2% on an organic basis thanks to the success of its sales model and ongoing expansion. Sales at Multivarejo slowed during the quarter, notably reflecting the unfavourable basis of comparison created by the World Cup in 2018. E-commerce recorded growth of more than +37% and continued to expand strongly, with the introduction of new delivery services and the increased penetration of the Meu Desconto app (9.2 million downloads). Sales accelerated at Éxito compared with the first quarter.

First-half 2019 results9

Consolidated net sales amounted to €17,841m in H1 2019, representing an increase of +3.5% on an organic basis (excluding fuel and calendar effects) and a change of +0.3% in total.
In France, the change in H1 net sales was -2.9% in total, -1.6% on an organic basis and +0.5% on a same-store basis, with positive trends in Géant hypermarkets (+1.0% same-store growth) and in convenience stores
(+3.1% same-store growth).

E-commerce (Cdiscount) achieved strong momentum, with an increase in GMV of +11.0%10 on an organic basis, driven by the growing contribution of the marketplace, which accounted for 40.1% of GMV in Q2 2019,
and by robust growth in monetisation revenues.

Sales in Latin America rose by +10.1% on an organic basis and +4.9% on a same-store basis, supported
by the very good performance of Assaí (+24.5% organic growth).

Consolidated trading profit came to €347m, down -12.1% on an organic basis and -20.7% in total, reflecting
an unfavourable basis of comparison due to the seasonality of tax credits in Brazil (€100m in H1 2018
for €112m for the full year). Excluding tax credits, consolidated trading profit was up +12.9% on an organic basis and +2.9% in total.

In France, trading profit amounted to €151m, up +22.3% on an organic basis and +11.3% in total. Trading profit for the retail business reached €121m, an organic increase of +19.5%. The €60m in cost savings achieved
in the first half and the positive impact of the Rocade plan (+€6m) more than offset the negative impacts related to additional rents (-€29m), the exceptional “bonus for purchasing power”11 (-€10m) and payroll and energy-related cost inflation (-€10m). France trading margin stood at 1.7%, an increase of +43bps on an organic basis.

Cdiscount trading margin improved by +83bps on an organic basis, thanks to growth in the marketplace share and in revenue from monetisation initiatives.

Trading profit in Latin America came to €214m, representing an organic increase of 2.1% excluding tax credits.

Underlying net financial expense and net profit, Group share12

Underlying net financial expense for the period was almost stable at -€213m vs. -€206m in H1 2018.

Underlying net income of continuing activities, Group share declined in H1 2019 to -€16m vs. €46m in H1 2018. The change was due to the high level of tax credits in Brazil in H1 2018 and to an increase in income tax expense relating in particular to the transformation of the CICE into a taxable exemption from social security contributions.

Consolidated net profit/loss, Group share

Consolidated net profit/loss, Group share came to -€232m in H1 2019 (vs. -€64m in H1 2018), reflecting
non-recurring expenses related to the Rocade plan and the disposal plan.

Financial position at 30 June 2019

France cash flow from operations (cash flow from continuing operations less gross CAPEX) excluding
the Rocade plan improved by €46m in the first six months  of the year, thanks to net cost reductions (offsetting additional rental expense), a decrease in gross CAPEX in line with the annual objective of €350m,
and a decline in non-recurring expenses.

Inventories, whose reduction underpins the annual working capital improvement target of €200m, decreased by €105m thanks to action plans (reduction of cash-draining references, pooling between banners, and careful management of promotional inventories). The result was an improvement in working capital
of around €100m vs. the average first-half seasonality effect since 2015 (-€247m vs. -€350m). The €200m target
is therefore confirmed.

France free cash flow13 increased with the asset disposal plan and the Rocade plan came to €133m. These results are in line with the objectives, enabling confirmation of the full-year target of €0,5bn in free cash flow (excluding the disposal plan and Rocade).

Net debt in France declined by €1.1bn to €2.9bn at 30 June 2019, vs. €4.0bn as of 30 June 2018, thanks to the asset disposal plan. Between 30 June 2018 and 6 August 2019, the Group will have achieved a significant reduction in its gross debt of €1.2bn, through the €348m bond redemption and €128m in bond buyback in H2, as well as the upcoming €675m bond redemption in August 2019.

At 30 June 2019, Casino Group consolidated net debt14 stood at €4.7bn vs. €5.4bn a year earlier.

Casino in France2 has €4.4bn in liquidity, composed of a gross cash position of €1.7bn and lines of credit available at any time worth €2.7bn. The drawdown of a portion of the credit lines offsets the decrease
in the outstanding amount of commercial paper15. At 30 June 2019 €150m had been drawn down.

Casino is rated B1 (negative outlook) by Moody’s since 31 May 2019 and B (negative watch) by Standard
& Poor’s since 28 May 2019.

2019 Perspectives16

The Group confirms its full-year profit and free cash flow objectives for France:

  • +10% growth in trading profit (excluding property development)
  • At least €2.5bn from the disposal plan by Q1 2020 and a reduction in debt
  • €0.5bn in free cash flow1 excluding disposals and Rocade plan

The Board of Directors will propose to the 2020 Annual General Meeting the non-payment of dividend in 2020
for the 2019 fiscal year and has also decided not to pay a 2020 interim dividend for the 2020 fiscal year.

This would represent a total saving of around €500m17 at end-2020, taking into account the absence of interim dividend decided for 2019 fiscal year.

In light of its cash flow objectives and its €2.5bn disposal plan, which is expected to be completed by Q1 2020, the Group is targeting net debt in France of less than €1.5bn at end-2020 and foresees to maintain it under
this level over time
.

Payments to holders of TSSDI deeply-subordinated bonds will be maintained.

The Group also recalls the objectives of its subsidiaries:

  • Cdiscount: strong improvement in EBITDA
  • GPA: an improvement in EBITDA margin of +30-40bps for Assaí and +30bps for Multivarejo
  • Éxito: an improvement in EBITDA margin


 

The presentation of the 2019 half-year results is available on the Casino Group corporate website (www.groupe-casino.fr/en)



 

APPENDICES – HALF-YEAR RESULTS

Consolidated net sales by segment – H1 2019

Net sales
Excluding IFRS 16
In €m
H1 2018 H1 2019 Organic change
France Retail 9,310 9,044 -1.6%
Latam Retail 7,601 7,908 +10.1%
E-commerce (Cdiscount) 876 889 -0.5%
Group total 17,787 17,841 +3.5%

Consolidated EBITDA by segment – H1 2019

EBITDA
Excluding IFRS 16
In €m
H1 2018 H1 2019 Organic change
France Retail 307 296 +1.9%
Latam Retail 472 366 -17.9%
E-commerce (Cdiscount) (7) 2 n.m.
Group total 772 663 -8.6%

Consolidated trading profit by segment – H1 2019

Trading profit
Excluding IFRS 16
In €m
H1 2018 H1 2019 Organic change
France Retail 136 151 +22.3%
Latam Retail 324 214 -29.3%
E-commerce (Cdiscount) (23) (18) +32.5%
Group total 437 347 -12.1%


 

Underlying net profit – H1 2019

Excluding IFRS 16
In €m
H1 2018 Restated items 2018
Underlying
H1 2019 Restated items H1 2019
Underlying
 
Trading profit 437 0 437 347 0 347  
Other operating income
and expense
(137) 137 0 (308) 308 0  
Operating profit 301 137 437 39 308 347  
Net finance costs (155) 0 (155) (159) 0 (159)  
Other financial income
and expenses
18
(94) 43 (51) (7) (47) (54)  
Income taxes19 (24) (39) (63) (47) (27) (74)  
Share of profit
of equity-accounted investees
11 0 11 (0) 0 (0)  
Net profit
from continuing operations
39 141 180 (174) 234 60  
o/w attributable to minority interests20 107 26 133 52 24 76  
o/w Group shares (68) 115 46 (226) 210 (16)

Underlying net profit corresponds to net profit from continuing operations, adjusted for (i) the impact of other operating income and expenses, as defined in the "Significant accounting policies" section in the notes
to the consolidated financial statements, (ii) the impact of non-recurring financial items, as well as (iii) income tax expense/benefits related to these adjustments.

Non-recurring financial items include fair value adjustments to equity derivative instruments
(such as total return swaps and forward instruments related to GPA shares) and the effects of discounting Brazilian tax liabilities.


 

Income statement including IFRS 16 impact – H1 2019

 
In €m
H1 2018 IFRS 16
impact
H1 2018
incl. IFRS 16
H1 2019 IFRS 16
impact
H1 2019
incl. IFRS 16
Net sales 17,787 - 17,787 17,841 - 17,841
EBITDA 772 429 1,200 663 463 1,127
Trading profit 437 79 517 347 90 437
Other operating income
and expenses
(137) 1 (136) (308) (75) (383)
Operating profit 301 80 381 39 14 54
Net financial costs (155) 4 (151) (159) 3 (157)
Other financial income
and expenses
(94) (116) (210) (7) (134) (141)
Income taxes (24) 9 (15) (47) 29 (18)
Share profit
of equity-accounted investees
11 (0) 11 (0) (0) (0)
Net profit (loss)
from continuing operations, Group share
(68) (10) (79) (226) (75) (302)
Net profit (loss)
from discontinued operations, Group share
4 2 6 (6) (4) (2)
Net profit (loss),
Group share
(64) (8) (72) (232) (72) (304)

Change in net debt by entity – H1 2019

Excluding IFRS 16
In €m
At
30/06/2018
At
31/12/2018
At
30/06/2019
Change
YoY
 
  France Retail (4,019) (2,709) (2,901) +1,117
  E-commerce (Cdiscount) (269) (199) (356) -87
  Latam Retail (1,715) (1,056) (1,481) +234
  o/w GPA Food (528) (224) (331) +197
  o/w Éxito (789) (426) (732) +57
  o/w Segisor (400) (400) (400) 0
  Latam Electronics 562 543 - -562
  Total (5,441) (3,421) (4,738) +703

 

Group net debt – H1 2019

Excluding IFRS 16
In €m
H1 2018 H1 2019
Group net debt as of 1 January (4,126) (3,421)
Free cash flow21 (649) (1,017)
Financial expenses (297) (257)
Dividends paid to shareholders and holders of TSSDI deeply-subordinated bonds (247) (274)
Share buybacks and transactions with
non-controlling interests
(135) (90)
Other net financial investments (41) 162
Various non-cash items 16 212
Assets held for sale recognised in accordance
with IFRS 5
96 (111)
Impact of discontinued operations (67) 59
Group net debt as of 31 June (5,441) (4,738)

France net debt – H1 2019

Excluding IFRS 16
In €m
H1 2018 H1 2019
France net debt as of 1 January (3,715) (2,709)
Free cash flow1 +net proceeds from disposal
and Rocade plans
150 133
Financial expenses (143) (143)
Dividends paid to shareholders and holders
of TSSDI deeply-subordinated bonds
(204) (218)
Share buybacks and transactions
with non-controlling interests
(134) (95)
Other net financial investments
(excl. Disposal plan and Rocade)
(78) 28
Various non-cash items (70) 210
  o/w non-cash financial expenses 77 69
Assets held for sale recognized in accordance with IFRS 5 (25) (108)
Segisor 200 0
Change in net debt (304) (192)
France net debt as of 30 June (4,019) (2,901)


 

Simplified balance sheet including IFRS 16 – H1 2019

In €m 31/12/2018 IFRS 16
adjustments
31/12/2018
incl. IFRS 16
30/06/2019 IFRS 16
adjustments
30/06/2019
incl. IFRS 16
Right-of-use assets - 4,811 4,811 0 4,982 4,982
Other non-current assets 20,302 (746) 19,556 20,196 (665) 19,531
Current assets 17,141 1,273 18,414 10,856 149 11,005
Total assets 37,443 5,339 42,781 31,052 4,467 35,519
Total equity 12,019 (255) 11,763 10,889 (367) 10,522
Non-current financial liabilities 6,817 (35) 6,782 6,328 (25) 6,302
Non-current lease liabilities - 3,771 3,771 0 4,074 4,074
Other non-current liabilities 2,023 (18) 2,041 1,665 (11) 1,656
Current lease liabilities - 666 666 0 692 692
Other current liabilities 16,584 1,174 17,758 12,170 103 12,273
Total equity
and liabilities
37,443 5,339 42,781 31,052 4,467 35,519


 

APPENDICES – NET SALES – Q2 2019

Consolidated net sales by segment – Q2 2019

NET SALES
In €m
Q2 2019
net sales
Total net sales
growth
Organic net sales
growth 22
Same-store sales growth1
France Retail 4,643 -2.4% -1.8% +0.7%
Cdiscount 412 +2.4% +0.0% +0.0%
Total France 5,055 -2.1% -1.6% +0.7%
Latam Retail 3,933 +5.6% +8.8% +3.8%
TOTAL GROUPE 8,988 +1.1% +2.9% +2.3%

Consolidated net sales – France – Q2 2019

NET SALES

BY BANNER
Q1
2019
Same-store growth1 Same-store growth1 over 2 years Q2
2019
Total
growth
Organic growth1 Same-store growth1 Same-store growth1 over 2 years
Monoprix 1,119 +0.0% +1.2% 1,143 +1.3% +0.5% +0.2% +1.6%
Supermarkets 723 +0.0% +1.3% 790 -1.8% -1.1% +1.2% +2.7%
o/w SM Casino23 689 +0.0% +1.4% 746 -2.1% -1.3% +1.4% +2.8%
Franprix 381 -0.5% +0.5% 399 -4.1% -2.2% +0.1% +1.4%
Convenience
& Other24
582 +0.9% +1.6% 595 +0.3% +0.5% +1.7% +2.4%
o/w Convenience25 308 +3.6% +4.7% 325 +2.1% +3.4% +2.5% +2.7%
Hypermarkets 1,054 +0.0% +1.6% 1,164 -0.9% +2.2% +1.4% +3.9%
o/w Géant2 1,010 +0.3% +2.4% 1,112 -0.5% +3.0% +1.6% +4.4%
 o/w food 694 +0.7% +4.9% 741 -4.0% -4.1% +0.5% +4.8%
 o/w non-food 119 -1.8% -10.5% 104 +5.0% +4.9% +5.3% -0.2%
Leader Price 543 -1.9% -1.0% 551 -14.1% -13.7% -1.6% +0.6%
FRANCE RETAIL 4,402 +0.0% +1.3% 4,643 -2.4% -1.8% +0.7% +2.5%

Main data Cdiscount26 – Q 2019

KEY FIGURES Q2 2018 Q2 2019 Reported
growth
Organic
growth
GMV total including tax 760 847 +11.5% +13.0%
o/w direct sales 428 416 -2.9%  
o/w marketplace sales 252 284 +12.6%  
Marketplace contribution (%) 36.6% 40.1% +3.5pts
Net sales (in €m) 445 469 +5.4% +7.0%
       
Traffic (millions of visits) 214 235 +10.2%
Mobile traffic contribution (%) 65.4% 71.5% +6.1pts
Active clients (in millions) 8.7 9.2 +5.3%

Gross sales under banner – France

Total estimated gross food sales
Under banner

In €m, excluding fuel
Q2 2019 Change
(excl. calendar effects)
Monoprix 1,160 +0.2%
Franprix 461 -2.3%
Supermarketss 737 -1.9%
Convenience & Other 688 +0.9%
  o/w Convenience 400 +4.1%
Hypermarkets 863 +2.7%
Leader Price 674 -9.7%
Total Food 4,584 -1.5%
 

 
   
Total estimated gross non-food sales
Under banner

In €m, excluding fuel
Q2 2019 Change
(excl. calendar effects)
Hypermarkets 148 +9.8%
Cdiscount 634 +11.4%
Total Non-food 782 +11.1%
     
     
Total estimated gross sales under banner
In €m, excluding fuel
Q2 2019 Change
(excl. calendar effects)
Total France and Cdiscount 5,366 +0.1%


 

Store network at period-end

FRANCE   31/12/2018 31/03/2019 30/06/2019
Géant Casino Hypermarkets   122 122 113
  o/w French affiliates   7 7 6
International affiliates   5 5 5
Casino Supermarkets   442 439 420
  o/w French affiliates   104 104 92
International affiliates   19 20 20
Monoprix   795 765 771
  o/w franchised affiliates   203 174 178
Naturalia   175 177 179
Naturalia franchises   13 14 16
Franprix   894 892 888
  o/w franchised   433 435 443
Leader Price   726 689 665
  o/w franchised   394 342 330
Convenience   5,153 5,139 5,142
Other businesses (Restauration, Drive, etc.)   591 579 395
Indian Ocean   239 243 246
Total France   8,962 8,868 8,640
         
 

 

 

 

 

 

 

 

 

 

 
       
INTERNATIONAL   31/12/2018 31/03/2019 30/06/2019
ARGENTINA   27 26 24
Libertad Hypermarkets   15 15 15
Mini Libertad and Petit Libertad mini-supermarkets   12 11 9
URUGUAY   89 91 91
Géant Hypermarkets   2 2 2
Disco Supermarkets   29 29 29
Devoto Supermarkets   24 24 24
Devoto Express mini-supermarkets   34 36 36
BRAZIL   1,057 1,059 1,059
Extra Hypermarkets   112 112 112
Pão de Açúcar Supermarkets   186 186 185
Extra Supermarkets   173 173 171
Compre Bem   13 13 13
Assaí (cash & carry)   144 145 148
Mini Mercado Extra & Minuto Pão de Açúcar
mini-supermarkets
  235 235 235
Drugstores   123 124 124
+ Service stations   71 71 71
COLOMBIA   1,973 1,959 2,000
Éxito Hypermarkets   92 92 92
Éxito and Carulla Supermarkets   161 161 158
Super Inter Supermarkets   73 70 70
Surtimax (discount)   1,531 1,520 1,561
  o/w “Aliados”   1,419 1,419 1,469
B2B   18 20 25
Éxito Express and Carulla Express mini-supermarkets   98 96 94
CAMEROON   1 1 1
Cash & carry   1 1 1
Total International   3,147 3,136 3,175


 

ANALYST AND INVESTOR CONTACTS

Régine Gaggioli – +33 (0)1 53 65 64 17
rgaggioli@groupe-casino.fr

or

+33 (0)1 53 65 24 17
IR_Casino@groupe-casino.fr

PRESS CONTACTS

Casino Group – Direction of Communication
Stéphanie Abadie – sabadie@groupe-casino.fr – +33 (0)6 26 27 37 05

or

+33 (0)1 53 65 24 78 – directiondelacommunication@groupe-casino.fr

Agence IMAGE 7
Karine Allouis – +33 (0)1 53 70 74 84 – kallouis@image7.fr
Grégoire Lucas – gregoire.lucas@image7.fr

 

Disclaimer

 

This press release was prepared solely for information purposes, and should not be construed as a solicitation or an offer to buy or sell securities or related financial instruments. Likewise, it does not provide and should not be treated as providing investment advice. It has no connection with the specific investment objectives, financial situation or needs of any receiver. No representation or warranty, either express or implied, is provided in relation to the accuracy, completeness or reliability of the information contained herein. Recipients should not consider it as a substitute for the exercise of their own judgement. All the opinions expressed herein are subject to change without notice.




 

Note: In the first part of the document the financial data are presented excluding IFRS 16. IFRS 16 data are presented in the appendix. The H1 2018 financial statements also take into account the application of IAS 29 on the treatment of hyperinflation in Argentina
[1] Organic growth in consolidated sales excluding fuel and calendar effects



 

2 Data reported by the subsidiary



 

3 Tax credit in Brazil



 

4 Organic growth. The organic change corresponds to the total change adjusted for changes in exchange rates and scope of consolidation
5 Continuing activities



 

5 Same-store growth, H1 2019 vs. H1 2018



 

6 Data published by the subsidiary



 

7 Excluding fuel and calendar



 

8 Data published by the subsidiary



 

9 For the sake of comparison, comments are based on data that do not include the impact of IFRS 16



 

10 Data published by Cdiscount. Organic changes include showroom sales and services but exclude sales to customers in the Casino Group’s hypermarkets
  and supermarkets (overall impact of exclusion: +2.5pts of GMV growth) and the GMV of 1001Pneus and Stootie, which were acquired in Q4 2018
  (overall impact of exclusion: -1.7pt of GMV growth)



 

11 One-off employee bonus paid pursuant to a French law dated 24 December 2018



 

12 See definition on page 7



 

13 Before dividends paid to owners of the parent and holders of TSSDI deeply-subordinated notes, and before financial expenses



 

14 Casino Group holding company scope, including the French businesses and the wholly-owned holding companies



 

15 The outstanding amount of commercial paper reached a maximum of €750m in the last 12 months. Moreover the only financial covenant for Casino lines of credit
  is the consolidated net debt-to-EBITDA ratio (3.5x for the most restrictive), which is tested at year-end and all lines are unsecured



 

16 Indicators excluding IFRS 16



 

17 Based on 2018 dividends



 

18 Other financial income and expenses have been restated, primarily for the impact of discounting tax liabilities, as well as for changes in the fair value of the total
  return swaps on GPA shares and the GPA forward



 

19 Income taxes have been restated for tax effects corresponding to the above restated financial items and the tax effects of the restatements



 

20 Minority (non-controlling) interests have been restated for the amounts relating to the restated items listed above



 

21Before dividends paid to owners of the parent and holders of TSSDI deeply-subordinated bonds, excluding financial expenses



 

22 Excluding fuel and calendat effects



 

23 Excluding Codim stores in Corsica: 8 supermarkets and 4 hypermarkets



 

24 Other: mainly Vindémia and Cafeterias



 

25 Convenience stores excluding Leader Price Express. Net sales on a same-store basis include the same-store performance of franchised stores



 

26 Figures published by the subsidiary



 

 

Attachment