1 Overview of financial year 2018/19 and outlook

As a result of the sale of the majority interest in METRO China (signed on 11 October 2019), METRO China will be reported as a discontinued operation in accordance with 5 as of 30 September 2019; ’s income statement, cash flow statement and segment reporting figures have been adjusted accordingly.

Unless expressly stated otherwise, all presentations in the combined management report refer to continuing operations (excluding the hypermarket business and excluding METRO China).

Only the comparison of outlook with actual business developments as well as the dividend proposal refer to the outlook issued for 2018/19 which includes METRO China.

Furthermore, the results for the financial year are reported before IFRS 16 adjustments. A first indication will be published in the consolidated financial statements – notes to the group accounting principles and methods of this Annual Report 2018/19, while a complete adjustment will be made available in January 2020.

Earnings position

  • Like-for-like sales increased by 2.1%; reported sales rose by 1.1% to €27.1 billion (in local currency: +2.2%)
  • excluding earnings contributions from real estate transactions was at €1,021 million (2017/18: €1,088 million); reported EBITDA reached €1,359 million (2017/18: €1,216 million)
  • Profit or loss for the period (from continuing operations) amounted to €411 million (2017/18: €359 million)
  • (continuing operations): 1.12 € (2017/18: 0.98 €)
  • For continuing and discontinued operations, profit or loss for the period amounted to €−115 million (2017/18: €337 million) and earnings per share to €−0.35 (2017/18: €0.92)

Financial and asset position

  • decreased to €2.9 billion in adjusted year-on-year comparison (30/9/2018: €3.1 billion)
  • Investments totalled €0.5 billion (2017/18: €0.6 billion)
  • Cash flow from operating activities reached €0.8 billion (2017/18: €0.8 billion)
  • Total assets (continuing and discontinued operations) amounted to €14.5 billion (30/9/2018: €15.2 billion)
  • Equity (continuing and discontinued operations): €2.7 billion (30/9/2018: €3.1 billion)
  • Long-term : BBB- (Standard & Poor’s)
IFRS (International Financial Reporting Standards)
Internationally applicable rules for financial reporting developed by the IASB. Contrary to the accounting rules under the German Commercial Code, the IFRS emphasise the informational function.
Glossary
Previous year
Period of 12 months, usually cited as reference for statements in an annual report.
Glossary
EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortisation)
Profit or loss before interest result, income taxes, depreciation/amortisation/impairment losses/reversals of impairment losses on property, plant and equipment, intangible assets and investment properties. This key figure serves the purpose of comparing companies with accounting systems that follow different accounting rules.
Glossary
Earnings per share (basic/diluted)
The earnings per share (basic) are calculated by dividing the profit or loss attributable to the shareholders of METRO AG by the weighted average of shares in circulation. The earnings per share (diluted) give additional consideration to the effect of so-called potential shares, such as those issued in the context of stock options.
Glossary
Net debt
The net debt results from the balance of the financial liabilities (including liabilities from finance leases), cash and cash equivalents less financial investments. Financial investments include short-term bank deposits and short-term liquid debt instruments.
Glossary
Rating
In the financial sector, ratings represent the systematic, qualitative measurement of creditworthiness. Ratings are expressed in various grades of creditworthiness. Renowned agencies that issue ratings are Standard & Poor’s, Moody’s and Fitch.
Glossary