Casino Guichard-Perrachon (CO) H1 2025 earnings summary

Executive summary

• H1 2025 marked by ongoing transformation under the 'Renaissance/Renouveau 2028' plan, with a focus on financial, managerial, and organizational restructuring.

• Net sales grew +0.5% like-for-like in H1 2025, with a return to growth in Q2 (+2.4% LFL), driven by convenience retail, quick meal solutions, and new store concepts.

• Adjusted EBITDA increased by 12.2% to €286m, reflecting cost-cutting, network streamlining, and operational improvements.

• Store network streamlined, with over 800 closures and selective expansion to boost efficiency.

• CSR policy updated with ambitious 2030 targets for gender parity, responsible sales, and carbon reduction.

Financial highlights

• H1 2025 net sales: €4.08bn (+0.5% LFL, -2.7% reported); adjusted EBITDA: €286m (+12.2%), margin 7.0% (+93 bps); gross margin: €1,174m (+1.3%).

• Free cash flow before financial expenses improved by €366m to -€48m year-over-year.

• Consolidated net loss, group share: -€210m, mainly due to financial expenses and restructuring.

• Net debt increased by €205m to €1,407m; net leverage ratio at 9.75x; liquidity at €1.24bn as of June 2025.

• Trading loss (EBIT) reduced to -€11m (from -€56m in H1 2024).

Outlook and guidance

• Execution of 'Renaissance/Renouveau 2028' plan to continue, targeting operational recovery, growth, and break-even free cash flow before financial expenses by 2026.

• Liquidity projected to remain above €970m in Q3 2025, with a minimum monthly liquidity covenant of €100m.

• Next financial covenant test set for September 2025, with focus on maintaining liquidity and reducing leverage.