Investments/divestments

In financial year 2019/20, METRO invested €627 million, considerably less than the investment amount in the previous year. The decline in investments is partly due to more selective expansion activity. With 1 new store opening in financial year 2019/20, it declined compared to the previous year (2018/19: 3 new store openings). While 1 new METRO store was opened in Russia as well as 2 smaller and therefore more cost-effective formats were added in Turkey and Croatia in the previous financial year, 1 smaller store format was opened in Ukraine in the current financial year. In financial year 2019/20 there was 1 closure in Russia.

Furthermore, apart from isolated, country-specific Covid-19-related savings, the decline in capital expenditure is mainly due to sale and leaseback projects in the previous year, especially in the Eastern European region. Further progress was made in improving capital efficiency in the areas of modernisation, concept conversions and in the delivery business.

The investment focus in financial year 2019/20 still included IT and digitalisation. Here, too, funds were saved compared to the previous year as a result of a generally restrained investment attitude due to Covid-19. In addition to investments in the online marketplace METRO MARKETS and Hospitality Digital, above all digital services for wholesale customers and IT solutions for the delivery business were further expanded.

The divestments in financial year 2019/20 relate primarily to business and office equipment. In the previous year, there were also significant real estate divestments, from which payments of €74 million were received in the current year.