PRESS RELEASE - 14 June 2022 17h45 CET - Regulated information

Consolidated annual information on the financial year 2021/22

Revenue increases slightly, market share grows

Operating profit and net result under pressure

Halle, 14 June 2022

General

Colruyt Group's current year result evolution was impacted by specific effects:

the Belgian foodservice partner Culinoa(*) and of the Belgian fitness chain JIMS(*). The services Culinoa provides are complementary to the activities of Solucious, Colruyt Group's foodservice specialist. JIMS operates 27 fitness centres in Belgium and Luxembourg, which also offer group exercise classes and digital coaching.

Both have been fully consolidated since respectively April and May 2021, which has contributed to the consolidated revenue. The impact on the operating profit and the net result is limited.

Consolidated annual information on the financial year 2021/22

page 1 / 27

https://www.colruytgroup.com/wps/portal/cg/en/home/investors

PRESS RELEASE - 14 June 2022 17h45 CET - Regulated information

I. Financial report

A. Consolidated income statement

1/04/2021

1/04/2020

(in million EUR)

-

-

Variance

31/03/2022(1)

31/03/2021(2)

Revenue

10.049

9.931

+1,2%

Gross profit

2.752

2.792

-1,4%

% of revenue

27,4%

28,1%

Operating cash flow (EBITDA)

741

850

-12,9%

% of revenue

7,4%

8,6%

Operating profit (EBIT)

375

523

-28,3%

% of revenue

3,7%

5,3%

Profit before tax

383

521

-26,5%

% of revenue

3,8%

5,2%

Profit for the financial year

288

416

-30,8%

% of revenue

2,9%

4,2%

Earnings per share (in EUR)(3)

2,16

3,06

-29,4%

Colruyt Group's revenue rose to over EUR 10,0 billion in 2021/22. Revenue was positively impacted by the revenue increase from the fuel distribution activities of DATS 24 (excluding petrol, revenue decreased by 2,0%) and the full consolidation of the new entities. On the other hand, the revenue evolution was negatively affected by the food store volumes being under pressure following the easing of COVID-19 restrictions and by the discontinuation of the non-food sales through the Collishop website (as from October 2020).

Colruyt Group's market share in Belgium (Colruyt Lowest Prices, OKay and Spar) rose to 30,8% in the financial year 2021/22 (30,6%(**) in 2020/21). At the start of the financial year 2022/23, the market share maintains its upward trend.

The gross profit margin decreased to 27,4% of revenue. Excluding petrol, the gross margin improved by 12 basis points. The full consolidation of the new entities had a positive impact on the gross margin.

In the financial year 2021/22, the Belgian retail market was characterised by a competitive market environment, in terms of both price and promotions. The last months of the financial year were marked by price increases, which the group tries to limit as much as possible for the consumer by thoroughly analysing every price increase request and by entering into consultations with the suppliers.

At the start of the financial year 2020/21, the gross profit margin was positively impacted by lower promotional pressure following the ban on promotions and discounts in Belgian supermarkets.

Consolidated annual information on the financial year 2021/22

page 2 / 27

https://www.colruytgroup.com/wps/portal/cg/en/home/investors

PRESS RELEASE - 14 June 2022 17h45 CET - Regulated information

Net operating expenses climbed from 19,6% to 20,0% of revenue. The increase is mainly the result of rising inflation on all key financial statement items, such as employee benefit expenses and energy costs, the full consolidation of the new entities and the group's ongoing investments in its employees, high-qualityhouse-brand products, sustainability and digital transition. The increase is also explained by the one-off positive effect of EUR 31 million in the first half of the previous financial year 2020/21 (resulting from the contribution of Eoly's renewable wind energy activities into the energy holding company Virya Energy).

Further COVID-19-related costs were incurred in 2021/22, including additional benefits and days of leave that the group granted to its employees in sales, logistics and production as a token of gratitude for the efforts made. In the second half of 2021/22, following a decision of the Belgian government and the various agreements concluded at sector level, Colruyt Group granted to its employees a one-time compensation (the so-called 'corona bonus') in the form of consumption vouchers, for a total amount of approximately EUR 12 million.

The operating cash flow (EBITDA) amounted to 7,4% of revenue (8,3% in 2020/21 excluding the gain realised on the contribution of Eoly Energy).

The depreciation, amortisation and impairment charges rose by EUR 38 million. The increase is mainly attributable to the full consolidation of the new entities (EUR 14 million) and to the continuous investments in stores, production and distribution centres and transformation programmes.

The operating profit (EBIT) totalled EUR 375 million or 3,7% of revenue in 2021/22 (5,0% in 2020/21 excluding the gain realised on the contribution of Eoly Energy).

The share in the result of investments increased to EUR 6 million in 2021/22 (EUR -4 million in 2020/21). The increase is explained by the 2020/21 result that was adversely impacted by The Fashion Society and Vendis Capital due to the COVID-19 health crisis. This was partly offset by the higher result generated by Virya Energy in 2020/21.

The effective tax rate increased from 20,0% to 25,2%. The evolution of the effective tax rate is partly explained by one-off effects, such as the exempted gain on the contribution of Eoly Energy into Virya Energy in the previous financial year.

Excluding the gain realised on the contribution of Eoly Energy in the financial year 2020/21, the profit for the period decreased by 25,3% from EUR 385 million (3,9% of revenue) to EUR 288 million (2,9% of revenue).

The Board of Directors will propose a gross dividend of EUR 1,10 per share to the General Meeting of Shareholders.

Consolidated annual information on the financial year 2021/22

page 3 / 27

https://www.colruytgroup.com/wps/portal/cg/en/home/investors

PRESS RELEASE - 14 June 2022 17h45 CET - Regulated information

Revenue from the retail activities declined by 1,7% to EUR 8.165 million. The retail activities accounted for 81,2% of the consolidated revenue in financial year 2021/22.

The food retail revenue in Belgium, France and Luxembourg reported significant volume gains (offline and online) in the food stores in the financial year 2020/21 as a result of the COVID-19 health crisis. In the financial year 2021/22 however, the food retail revenue was marked by declining volumes in food stores due to the combination of the easing of COVID-19 restrictions and a competitive market environment in terms of both price and promotions. Notwithstanding this revenue decrease, the market share of Colruyt Lowest Prices, OKay and Spar in Belgium grew to 30,8% (30,6% in 2020/21).

In addition, the food retail revenue was impacted negatively by the discontinuation of the non- food sales through the Collishop website (as of October 2020) and positively by the full consolidation of Roelandt Group (as of January 2022).

Revenue of Colruyt Lowest Prices in Belgium and Luxembourgdeclined by 3,0%. The revenue performance was primarily impacted by the competitive market environment. The last months of the financial year 2021/22 were mainly marked by price increases which Colruyt Lowest Prices tries to limit as much as possible for the consumer, the consumer's financial situation being something that Colruyt Lowest Prices feels very strongly about. Colruyt Lowest Prices therefore continues to consistently implement its lowest prices strategy and delivers on its brand promise day after day.

In the financial year 2021/22, investments in the modernisation of 17 existing stores continued and a new Colruyt store in Luxembourg and a second Colruyt Professional store in Drogenbos were opened.

OKay, Bio-Planetand Crureported an aggregate revenue decline of 8,6%.

OKay opened five new stores in 2021/22, including one in Ghent with a new innovative store concept that allows customers to shop for groceries 24/7 (OKay Direct). Several stores were renovated this financial year, as in previous years. OKay thus continues to invest in convenience and in high-quality and fresh products.

For twenty years already, Bio-Planet has been a pioneer in sustainability with a large range of organic and eco-friendly products and healthy food. Bio-Planet wants to make conscious consumption more accessible and continues to focus on Belgian and local products.

For the Cru multi-experience markets in Overijse, Ghent and Antwerp, artisan products and customer experience, combined with craftsmanship, remain at the forefront while they pursue their efforts to improve operational efficiency.

The revenue of Colruyt in Francerose by 4,5%. Excluding petrol, Colruyt's revenue in France declined by 2,4%. Last financial year, the revenue was positively impacted by the COVID-19 crisis, especially in the second half of the year.

Three stores were divested near Paris and four new stores were opened in the last quarter of 2021/22. Colruyt Prix Qualit is a clearly laid-out neighbourhood supermarket, where customers can find everything they need for their daily and weekly shop.

Read the original post:
Colruyt N : Consolidated annual information on the financial year 2021/22 - Marketscreener.com