Regulatory News:
Carrefour (Paris:CA)
- Sharp increase in sales in the first quarter of 2017, reflecting the relevance of Carrefour's multiformat model and balanced country portfolio
- Robust growth of +6.2% at current exchange rates
- Continued progression in food sales: up +2.2% like-for-like and +5.9% on a reported basis
- Significant increase of Group Gross Merchandise Value: +34%
- Solid growth in international operations (+10.9% at current exchange rates)
- Good sales performance on the back of strong comparables
- Continued growth in Latin America amid a slowdown in inflation
- Further sales growth in France (+0.8%)
- Continued roll-out of omnichannel strategy
- Good performance in convenience and growing momentum of ex-DIA stores converted to Carrefour banners for more than 12 months
- Target of 3% to 5% full-year 2017 sales growth at constant exchange rates confirmed
Sales inc. VAT | LFL ex petrol | Total variation | |||||
International | 11,889 | +2.1% | +10.9% | ||||
France | 9,406 | +0.5% | +0.8% | ||||
Group | 21,295 | +1.4% | +6.2% | ||||
This quarter, currencies and petrol both had a favorable impact of +3.9% and +1.3% respectively. The calendar effect was particularly strong at -1.6%, notably due to the fact that Easter is in the second quarter this year and there was one less trading day in Q1 2017 as 2016 was a leap year.
Total sales under banners including petrol stood at €25.7bn in the first quarter of 2017, up +4.7% at current exchange rates.
FIRST QUARTER 2017 SALES INC. VAT
Sales inc. VAT (€m) | LFL ex petrol | Total | ||||
International | 11,889 | +2.1% | +10.9% | |||
Latin America | 4,518 | +7.8% | +30.9% | |||
Asia | 1,987 | -4.0% | -4.1% | |||
Other European countries | 5,384 | +0.9% | +3.6% | |||
France | 9,406 | +0.5% | +0.8% | |||
Carrefour posted solid growth in the first quarter of 2017, with sales of €21.3bn, up 6.2%. This performance once again underscores the relevance of Carrefour's multiformat model and the good balance of its country portfolio. Food sales showed solid growth, rising by 5.9% in the quarter. Carrefour's omnichannel approach continued to gain momentum with a significant increase of +34% in Group Gross Merchandise Value this quarter.
This quarter was marked by a particularly strong calendar effect of -1.6%, due to the fact that Easter is in the second quarter this year and there was one less trading day in Q1 2017 as 2016 was a leap year. Carrefour benefited this quarter from a favorable currency effect of +3.9%, due to the appreciation of the Brazilian Real. The petrol effect was also favorable, at +1.3%.
Sales in international activities were up +10.9% in the first quarter of 2017. This performance takes into account a negative calendar effect of -1.8% and a positive currency effect of +7.3%. Like-for-like sales growth was solid, at +2.1%, driven by a +2.8% increase in food sales.
In Latin America, like-for-like sales were up +7.8% (+11.7% on an organic basis), a solid performance. The currency effect was +22.1%.
In Brazil, the roll-out of Carrefour's multiformat model continues to bear fruit in an environment marked by high unemployment and a slowdown in inflation in Q1. In this context, Carrefour posted a good performance, with like-for-like sales up +5.6% (+10.5% on an organic basis). Carrefour's success in the country reflects the continued progression of Atacadão and hypermarkets as well as further openings of convenience stores under the Express banner. Like-for-like sales in Argentina were up +14.6% in a difficult economic environment.
Asia posted another sequential improvement in sales, which were down -4.0% in the first quarter of 2017 (-2.3% on an organic basis). China recorded a like-for-like sales drop of -5.5% and sales in Taiwan rose for the ninth consecutive quarter, up +0.3% on a like-for-like basis on the back of strong comparables.
In Other European countries, sales rose again in the quarter (+3.6% in total) on a challenging comparable base in several countries. On a like-for-like basis, sales were up +0.9% in the quarter.
- In Spain, like-for-like sales were up +0.3% in the quarter on the back of strong comparables in the same period last year (+3.4%);
- Positive momentum continued in Italy, where like-for-like sales were up +1.6%, on the back of strong comparables in Q1 2016 (+4.5%)
- Like-for-like sales remained very dynamic in Poland and in Romania
In a first quarter marked by an unfavorable calendar effect and a very competitive environment, France showed good resilience and posted sales growth (+0.8% in total). For the fifth year in succession, food sales were up in the first quarter, with a like-for-like increase of +1.3%.
Total sales at hypermarkets were down -0.8% (-1.6% LFL) in an environment that remained highly promotional throughout the quarter. Other formats continued to perform well, with total supermarket sales up +1.1% (+2.2% LFL) and total sales in convenience and other formats continuing to be particularly solid at +5.5% (+4.4% LFL), benefiting from the growth of e-commerce and the positive momentum of ex-DIA stores converted to Carrefour banners for more than 12 months.
VARIATION OF FIRST QUARTER 2017 SALES INC. VAT
Total | Change at | Change at | LFL inc. petrol | LFL ex petrol | Organic | |||||||||
France | 9,406 | +0.8% | +0.8% | +2.1% | +0.5% | -0.6% | ||||||||
Hypermarkets | 4,848 | -0.8% | -0.8% | -0.4% | -1.6% | -2.0% | ||||||||
Supermarkets | 3,053 | +1.1% | +1.1% | +3.2% | +2.2% | +0.2% | ||||||||
Convenience /other formats | 1,505 | +5.5% | +5.5% | +8.6% | +4.4% | +2.5% | ||||||||
International | 11,889 | +10.9% | +3.6% | +0.6% | +2.1% | +3.9% | ||||||||
Other European countries | 5,384 | +3.6% | +3.6% | +0.6% | +0.9% | +1.3% | ||||||||
Spain | 2,110 | +4.3% | +4.3% | +0.6% | +0.3% | +0.8% | ||||||||
Italy | 1,328 | -0.4% | -0.4% | +1.2% | +1.6% | 0.0% | ||||||||
Belgium | 1,026 | -2.7% | -2.7% | -2.3% | -1.8% | -2.1% | ||||||||
Latin America | 4,518 | +30.9% | +8.8% | +5.0% | +7.8% | +11.7% | ||||||||
Brazil | 3,666 | +37.6% | +7.4% | +2.8% | +5.6% | +10.5% | ||||||||
Asia | 1,987 | -4.1% | -5.0% | -6.7% | -4.0% | -2.3% | ||||||||
China | 1,446 | -8.6% | -7.0% | -8.4% | -5.5% | -4.1% | ||||||||
Group total | 21,295 | +6.2% | +2.3% | +1.3% | +1.4% | +1.9% | ||||||||
EXPANSION UNDER BANNERS First quarter 2017
Thousands of sq. m. | Dec. 31. | Openings/ | Acquisitions | Closures/ | Total Q1 | March 31, | |||||||
France | 5,719 | 12 | 7 | -73 | -55 | 5,664 | |||||||
Europe (ex France) | 5,449 | 29 | 101 | -50 | 80 | 5,529 | |||||||
Latin America | 2,335 | 24 | -2 | 22 | 2,358 | ||||||||
Asia | 2,758 | 27 | -30 | -3 | 2,755 | ||||||||
Others1 | 920 | 20 | -1 | 20 | 939 | ||||||||
Group | 17,181 | 112 | 109 | -156 | 64 | 17,246 | |||||||
STORE NETWORK UNDER BANNERS First quarter 2017
N°. of stores | Dec. 31, | Openings | Acquisitions | Closures/ | Transfers | Total Q1 | March 31, | ||||||||
Hypermarkets | 1,480 | 9 | 19 | -7 | 2 | 23 | 1,503 | ||||||||
France | 243 | 2 | 1 | 3 | 246 | ||||||||||
Europe (ex France) | 439 | 17 | -3 | 1 | 15 | 454 | |||||||||
Latin America | 334 | 3 | 3 | 337 | |||||||||||
Asia | 374 | 4 | -4 | 374 | |||||||||||
Others1 | 90 | 2 | 2 | 92 | |||||||||||
Supermarkets | 3,212 | 23 | -37 | -4 | -18 | 3,194 | |||||||||
France | 1,065 | 2 | -4 | -3 | -5 | 1,060 | |||||||||
Europe (ex France) | 1,777 | 13 | -31 | -1 | -19 | 1,758 | |||||||||
Latin America | 150 | -1 | -1 | 149 | |||||||||||
Asia | 38 | 3 | 3 | 41 | |||||||||||
Others1 | 182 | 5 | -1 | 4 | 186 | ||||||||||
Convenience | 7,072 | 123 | -91 | 2 | 34 | 7,106 | |||||||||
France | 4,219 | 36 | -37 | 2 | 1 | 4,220 | |||||||||
Europe (ex France) | 2,312 | 77 | -52 | 25 | 2,337 | ||||||||||
Latin America | 468 | 7 | -2 | 5 | 473 | ||||||||||
Asia | 27 | 2 | 2 | 29 | |||||||||||
Others1 | 46 | 1 | 1 | 47 | |||||||||||
Cash carry | 171 | -1 | -1 | 170 | |||||||||||
France | 143 | -1 | -1 | 142 | |||||||||||
Europe (ex France) | 13 | 13 | |||||||||||||
Asia | 2 | 2 | |||||||||||||
Others1 | 13 | 13 | |||||||||||||
Group | 11,935 | 155 | 19 | -136 | 38 | 11,973 | |||||||||
France | 5,670 | 38 | 2 | -42 | -2 | 5,668 | |||||||||
Europe (ex France) | 4,541 | 90 | 17 | -86 | 21 | 4,562 | |||||||||
Latin America | 952 | 10 | -3 | 7 | 959 | ||||||||||
Asia | 441 | 9 | -4 | 5 | 446 | ||||||||||
Others1 | 331 | 8 | -1 | 7 | 338 | ||||||||||
DEFINITIONS
LFL sales growth: Sales generated by stores opened for at least twelve months, excluding temporary store closures, at constant exchange rates.
Organic growth: LFL sales plus net openings over the past twelve months, including temporary store closures, at constant exchange rates.
Sales under banners: Total sales under banners including sales by franchisees and international partnerships.
1Africa, Middle East and Dominican Republic.
View source version on businesswire.com: http://www.businesswire.com/news/home/20170412006174/en/
Contacts:
Carrefour
Investor Relations:
Mathilde Rodié, Anne-Sophie Lanaute, Louis Igonet
Tel: +33 (0)1 41 04 28 83
or
Shareholder Relations
Tel: +33 (0)805 902 902 (toll-free in France)
or
Group Communication
Tel: +33 (0)1 41 04 26 17