In This Article:
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Revenue: Increased by 5.3% to EUR22.4 billion.
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Adjusted EBIT: Grew by 26% to EUR305 million.
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Free Cash Flow: Reached EUR119 million, an increase of EUR742 million.
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Net Promoter Score (NPS): Improved by 8 points to 58.
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Market Share: Increased by 40 basis points last year.
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Services and Solutions Income: Grew by 12%.
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Net Sales: Grew by 5.3% to EUR22.4 billion.
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Adjusted EBIT Margin: Reached 1.4%, 30 basis points above the previous year.
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EPS: Increased by EUR0.24.
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Online Share: Grew to 24% in the '23-'24 fiscal year.
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Store Modernization: 64% of stores fully modernized.
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Stock Reach: Reduced by 10% to 9.3 weeks.
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Operational Services and Solutions Income: Increased by 17% to EUR167 million.
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Gross Merchandise Value (GMV): More than doubled to EUR277 million.
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Private Label Share: Reached 2.7% in '23-'24.
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Retail Media Income: Achieved EUR48 million in '23-'24.
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Gross Margin: Increased by 10 basis points for the full year.
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Adjusted OpEx Ratio: Decreased to 17.4% of group sales for the full year.
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Leverage Ratio: Improved to 1.7 net debt to adjusted EBITDA.
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Liquidity Reserves: Cash position of more than EUR1 billion, up 13% year-over-year.
Release Date: December 18, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
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Ceconomy AG (MTAGF) reported seven consecutive quarters of growth in both sales and EBIT, demonstrating strong consistency.
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The company achieved a significant increase in adjusted EBIT by 26% to $305 million, driven by operational improvements and growth businesses.
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Ceconomy AG (MTAGF) successfully refinanced its corporate bond with a new sustainability-linked bond, securing debt financing until 2029.
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The company reported a substantial increase in customer satisfaction, with the net promoter score reaching a year-on-year high of 58.
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Ceconomy AG (MTAGF) achieved a 12% growth in services and solutions income, highlighting the strategic importance of this business area.
Negative Points
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The German market remains soft, with challenges in maintaining sales growth amid a competitive environment.
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Despite overall positive results, the company faces a volatile market environment, particularly in Germany.
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The gross margin was impacted by a competitive environment, especially in Turkey, due to market normalization and price pressure.
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The company anticipates only a moderate increase in sales for the upcoming financial year, reflecting ongoing market challenges.
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Ceconomy AG (MTAGF) faces potential headwinds in financial results due to the full impact of the new bond and lower expected dividends from Metro.