FACT SHEET Q1 2019/20
- Sales adjusted for currency effects and portfolio changes1 decreased by -0.5%(-0.3% on a like-for-like basis); reported sales decreased by -0.8% to 6,821 €m; sales adjusted for currency effects and portfolio changes1 excl. iBood nearly on PY's level (-0.2%)
- Online sales1 increased by +4% yoy to 15.4% of total sales (Q1 18/19: 14.7%); online1 growth excl. iBood +6%; pick-up rate increased strongly to 47% vs. 44% in the prior year period
- Services & Solutions sales1 according to IFRS 15 grew by +10% yoy, accounting for 5.5% of total sales (Q1 18/19: 5.0%); increase mainly driven by extended warranties and SmartBar services
- Selective store expansion with 1 opening in the Netherlands and 2 closures in Germany as well as the deconsolidation of 12 stores in Greece; average store size reduced by c. -1% to 2,622 sqm since September 2019, mainly due to further store rightsizings and store closures
- Slightly lower gross margin (-0.1%p.) with trend improvement
- Adjusted EBIT2 increased by +20 €m yoy to 289 €m (incl. IFRS 16 effect of c. 2 €m); improvement driven by Germany due to higher Services & Solutions income and cost savings
- Reported EBIT increased by 84 €m yoy to 319 €m, including a positive restructuring-related earnings effect of 30 €m, mainly due to the Greece transaction
- Tax rate improved to 32.0% (Q1 18/19: 37.4%) mainly due to non-taxable gain related to Greece transaction; underlying tax rate3 at 38%
- EPS increased by +0.17 € to 0.47 € yoy, mainly driven by higher earnings and lower tax rate
- Change in net working capital (NWC) as per cash flow statement improved slightly due to higher increase in trade payables, mainly resulting from higher starting point as of 30 September 2018
- Cash investments as per cash flow statement increased by 22 €m yoy to 74 €m (or 1.1% of sales) due to the investment into a new corporation related to the Greece transaction; lower modernization and expansion investments compared to the prior-year period
- Lease adjusted Free Cash Flow4 at 1,272 €m; below PY's level mainly due to restructuring- related cash outflows and higher cash taxes
- Excluding Greek MediaMarkt business (portfolio change)
- Guidance-relevantEBIT excl. associates and non-recurring earnings effects in connection with the reorganization and efficiency program and adjusted for portfolio changes
- Before associates, M.video and restructuring-related effects
- Lease adjusted free cash flow subtracts the repayment of lease liabilities for better FCF comparability under IFRS 16
Outlook FY 2019/20 confirmed
The outlook is adjusted for portfolio changes. Non-recurring earnings effects in connection with the reorganization and efficiency program announced on 29 April 2019 are not included.
FY 2019/20 | thereof | |
incl. IFRS 16 | IFRS 16 effect | |
Fx-adjusted sales | Slight increase | |
EBIT (excl. associates) | 445 - 475 €m | 5 - 15 €m |
Financial figures at a glance1,2
€m | Q1 2018/19 | Q1 2019/20 | Change |
Sales | 6,879 | 6,821 | -0.8% |
Sales development adjusted for currency and portfolio change effects | 2.8% | -0.5% | - |
Like-for-like sales development | 2.4% | -0.3% | - |
Gross margin | 18.4% | 18.3% | -0.1%p. |
EBIT | 234 | 319 | 36.0% |
Adjusted EBIT | 269 | 289 | 7.6% |
Net financial result | 1 | 9 | >100% |
Tax rate | 37.4% | 32.0% | -5.3%p. |
Profit or loss for the period | 147 | 222 | 51.1% |
attributable to non-controlling interest | 40 | 53 | 32.4% |
attributable to shareholders of CECONOMY AG | 107 | 170 | 58.0% |
EPS (€) | 0.30 | 0.47 | 0.17 |
- From continuing operations.
- Due to the first-time application of new accounting standards (especially IFRS 16), some of the previous year's figures are not comparable.
Earnings position
Change compared to | Change compared | |||||||||||||||||||||
Reported EBIT | Reported EBIT | prior year | Adjusted EBIT1 | Adjusted EBIT2 | to prior year | |||||||||||||||||
€m | Q1 2018/19 | Q1 2019/20 | Q1 2019/20 | Q1 2018/19 | Q1 2019/20 | Q1 2019/20 | ||||||||||||||||
Total | 234 | 319 | 84 | 269 | 289 | 20 | ||||||||||||||||
DACH | 184 | 244 | 60 | 197 | 247 | 50 | ||||||||||||||||
Western/ | 66 | 83 | 16 | 69 | 50 | -19 | ||||||||||||||||
Southern Europe | ||||||||||||||||||||||
Eastern Europe | 15 | 7 | -8 | 15 | 7 | -8 | ||||||||||||||||
Others3 | -31 | -16 | 16 | -12 | -15 | -3 | ||||||||||||||||
Q1 2018/19 | ||||||||||||||||||||||
Earnings effects from | Earnings effects from | |||||||||||||||||||||
restructuring and | associates and portfolio | |||||||||||||||||||||
€m | Reported EBIT | management changes | changes | Adjusted EBIT1 | ||||||||||||||||||
Total | 234 | -34 | -1 | 269 | ||||||||||||||||||
DACH | 184 | -13 | 0 | 197 | ||||||||||||||||||
Western/ | 66 | -2 | 0 | 69 | ||||||||||||||||||
Southern Europe | ||||||||||||||||||||||
Eastern Europe | 15 | 0 | 0 | 15 | ||||||||||||||||||
Others3 | -31 | -19 | -1 | -12 | ||||||||||||||||||
Q1 2019/20 | ||||||||||||||||||||||
Earnings effects in | Earnings effects from | |||||||||||||||||||||
connection with the | associates and portfolio | |||||||||||||||||||||
reorganization and | changes | |||||||||||||||||||||
€m | Reported EBIT | efficiency program | Adjusted EBIT2 | |||||||||||||||||||
Total | 319 | 30 | -1 | 289 | ||||||||||||||||||
DACH | 244 | -3 | 0 | 247 | ||||||||||||||||||
Western/ | 83 | 33 | 0 | 50 | ||||||||||||||||||
Southern Europe | ||||||||||||||||||||||
Eastern Europe | 7 | 0 | 0 | 7 | ||||||||||||||||||
Others3 | -16 | 0 | -1 | -15 | ||||||||||||||||||
Adjusted EBIT1 | Adjusted EBIT2 | IFRS 16 effect | ||||||||||||||||||||
including IFRS 16 | ||||||||||||||||||||||
€m | Q1 2018/19 | Q1 2019/20 | Q1 2019/20 | |||||||||||||||||||
Total | 269 | 289 | 2 | |||||||||||||||||||
DACH | 197 | 247 | 1 | |||||||||||||||||||
Western/ | 69 | 50 | 0 | |||||||||||||||||||
Southern Europe | ||||||||||||||||||||||
Eastern Europe | 15 | 7 | 1 | |||||||||||||||||||
Others3 | -12 | -15 | -1 |
- Before earnings effects from restructuring and management changes, associates and portfolio changes
- Before earnings effects from the reorganization and efficiency program, associates and portfolio changes
- Including consolidation
Online and Services & Solutions1
in % | |||||||
Sales (€m) | Change (%) | of total sales | |||||
Q1 2018/19 | Q1 2019/20 | ||||||
Online | 1,007 | 1,048 | 4.0 | 15.4 | |||
Services & Solutions | 342 | 375 | 9.8 | 5.5 |
1 Reported figures, including Greek MediaMarkt business (portfolio change)
Store network
30/09/2019 | Openings | Closures | 31/12/2019 | |
Germany | 431 | 0 | -2 | 429 |
Austria | 52 | 0 | 0 | 52 |
Switzerland | 26 | 0 | 0 | 26 |
Hungary | 32 | 0 | 0 | 32 |
DACH | 541 | 0 | -2 | 539 |
Belgium | 27 | 0 | 0 | 27 |
Greece | 12 | 0 | -12 | 0 |
Italy | 117 | 0 | 0 | 117 |
Luxembourg | 2 | 0 | 0 | 2 |
Netherlands | 49 | 1 | 0 | 50 |
Portugal | 10 | 0 | 0 | 10 |
Spain | 88 | 0 | 0 | 88 |
Western/S. Europe | 305 | 1 | -12 | 294 |
Poland | 90 | 0 | 0 | 90 |
Turkey | 78 | 0 | 0 | 78 |
Eastern Europe | 168 | 0 | 0 | 168 |
Sweden | 28 | 0 | 0 | 28 |
Others | 28 | 0 | 0 | 28 |
CECONOMY | 1,042 | 1 | -14 | 1,029 |
Financial calendar
Annual General Meeting | Wednesday | 12 February 2020 |
Capital Markets Day | Thursday | 26 March 2020 |
Q2/H1 2019/20 results | Thursday | 14 May 2020 |
Q3/9M 2019/20 results | Thursday | 13 August 2020 |
Q4/FY 2019/20 trading statement | Friday | 23 October 2020 |
Q4/FY 2019/20 results | Tuesday | 15 December 2020 |
Contact
CECONOMY AG
Kaistr. 3
40221 Düsseldorf, Germany
Investor Relations
Telephone | +49 (0) 211-5408-7222 |
IR@ceconomy.de | |
Website | https://www.ceconomy.de/en/investor-relations/ |
Disclaimer
To the extent that statements in this document do not relate to historical or current facts, they constitute forward-looking statements. All forward-looking statements herein are based on certain estimates, expectations and assumptions at the time of publication of this document and there can be no assurance that these estimates, expectations and assumptions are or will prove to be accurate. Furthermore, the forward-looking statements are subject to risks and uncertainties including (without limitation) future market and economic conditions, the behaviour of other market participants, investments in innovative sales formats, expansion in online and multichannel sales activities, integration of acquired businesses and achievement of anticipated cost savings and productivity gains, and the actions of public authorities and other third parties, many of which are beyond our control, that could cause actual results, performance or financial position to differ materially from any future results, performance or financial position expressed or implied in this document. Accordingly, no representation or warranty (express or implied) is given that such forward-looking statements, including the underlying estimates, expectations and assumptions, are correct or complete. Readers are cautioned not to place reliance on these forward-looking statements.
This document is intended for information only, does not constitute a prospectus or similar document and should not be treated as investment advice. It is not intended as an offer for sale, or as a solicitation of an offer to purchase or subscribe to, any securities in any jurisdiction. Neither this document nor anything contained therein shall form the basis of, or be relied upon in connection with, any commitment or contract whatsoever. Historical financial information contained in this document is mostly based on or derived from the consolidated (interim) financial statements for the respective period. Financial information with respect to the business of MediaMarktSaturn Retail Group is particularly based on or derived from the segment reporting contained in these financial statements. Such financial information is not necessarily indicative for the operational results, the financial position and/or the cash flow of the CECONOMY business on a stand-alone basis neither in the past nor in the future and may, in particular, deviate from any historical financial information based on corresponding combined financial statements with respect to the CECONOMY business. Given the aforementioned uncertainties, (prospective) investors are cautioned not to place undue reliance on any of this information. No representation or warranty is given and no liability is assumed by CECONOMY AG, express or implied, as to the accuracy, correctness or completeness of the information contained in this document.
This document contains certain supplemental financial or operative measures that are not calculated in accordance with IFRS and are therefore considered as non-IFRS measures. We believe that such non-IFRS measures used, when considered in conjunction with (but not in lieu of) other measures that are computed in accordance with IFRS, enhance the understanding of our business, results of operations, financial position or cash flows. There are, however, material limitations associated with the use of non-IFRS measures including (without limitation) the limitations inherent in the determination of relevant adjustments. The non-IFRS measures used by us may differ from, and not be comparable to, similarly-titled measures used by other companies. Detail information on this topic can be found in CECONOMY's Annual Report 2018/19, pages 52-55. All numbers shown are as reported, unless otherwise stated. All amounts are stated in million euros (€ million) unless otherwise indicated. Amounts below €0.5 million are rounded and reported as 0. Rounding differences may occur.
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CECONOMY AG published this content on 07 February 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 07 February 2020 06:12:07 UTC