DGAP-Adhoc: METRO sales and earnings development in the first half of 2020/21 within guidance expectation - Update of guidance for the financial year 2020/21 due to longer regulatory measures related to Covid-19

2021. április 20., kedd, 19:54

DGAP-Ad-hoc: METRO AG / Key word(s): Forecast

METRO sales and earnings development in the first half of 2020/21 within guidance expectation - Update of guidance for the financial year 2020/21 due to longer regulatory measures related to Covid-19

20-Apr-2021 / 19:54 CET/CEST

Disclosure of an inside information acc. to Article 17 MAR of the Regulation (EU) No 596/2014, transmitted by DGAP - a service of EQS Group AG.

The issuer is solely responsible for the content of this announcement.

According to preliminary figures for the first half of the 2020/21 financial year, total sales in local currencies decreased by -11.5% vs. the previous year, while EBITDA adjusted (excluding transformation costs and earnings contributions from real estate transactions) amounted to approximately EUR 490 million. Adjusted for currency effects that equals a decline of EUR -120 million vs. previous year. This development is well in line with guidance expectations for the first half of the 2020/21 financial year.

Nonetheless, the Management Board of METRO AG (METRO) has decided to update its guidance for the financial year 2020/21. The decisive exogenous factor is the continuous prolongation and a high volatility of regulatory measures related to Covid-19. These measures continue to significantly restrict public life in many of the METRO countries. METRO had assumed that re-openings of hospitality businesses would be starting in April at the latest. This appears no longer realistic on a broad scale before June. The Management Board, however, is still convinced of the fast and substantial recovery of the hospitality and tourism industry upon release of the governmental restrictions and has seen evidence of this in the countries where hospitality businesses have been reopened partially or in full.

A first half of the financial year 2020/21 in line with expectations, prolonged lockdowns coupled with unclear reopening dates and a positive outlook on the hospitality industry once re-openings can take place, leads to an updated guidance range. Based on the updated assumption of hospitality re-openings broadly between June and August, METRO now expects

- Sales (both total sales and like-for-like) decline by approximately -3% to -6% to previous year (previously: slightly below previous year)

- EBITDA adjusted decline by roughly EUR -50 million to EUR -175 million to previous year (previously: decline by mid double-digit EUR million amount)

The outlook assumes stable exchange rates and no further adjustments to the portfolio. The sensitivity of sales and earnings to the duration and severity of governmental restrictions is the highest for hospitality driven regions, esp. in the segment Western Europe. In contrast, the segments Russia and Asia are expected to perform better than the group.

Increased cost efficiency and proven measures support the operating business. A continuous resilient development with Trader and SCO customers further allows to partly compensate the impact on the hospitality customers. Considering the strong financial profile, the proven competitive position and the comprehensive digital footprint, METRO is well positioned to benefit from the upcoming recovery.

The H1 2020/21 half-year report will be published as scheduled on May 4, 2021 at 6:30pm, followed by an analyst conference call on May 5, 2021 at 8:45am.



Sabrina Ley

Director Investor Relations

20-Apr-2021 CET/CEST The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Archive at www.dgap.de

Language: English
Company: METRO AG

Metro-Straße 1

40235 Dusseldorf

Phone: +49 (0)211 6886-1524
Fax: +49 (0)211 6886-3759
E-mail: investorrelations@metro.de
Internet: www.metroag.de
ISIN: DE000BFB0019, DE000BFB0027
WKN: BFB001, BFB002
Indices: SDAX
Listed: Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange
EQS News ID: 1186866

End of Announcement DGAP News Service

1186866  20-Apr-2021 CET/CEST

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